More on Creative Financing for Green Businesses
I noticed that an old post (from January) has been getting a lot of views, so I thought I should revisit the topic of self-funding your green start up.
One way to fund your business without raising money is to find alternate (possibly just, interim) revenue streams other than your primary desired business model. For example, if you want to be a green retailer, you might start out as a match-maker/dealer, connecting buyers and sellers for a fee or markup without actually holding expensive inventory. As you build your “dealer” revenues, you can start to acquire inventory. This is the business model I described before.
However, I know that one of the most common ways that entrepreneurs fund their businesses without venture capital or other outside investment is with personal credit cards. Co-op America recently published an article called “Responsible Credit Cards,” which I see as a good resource for eco-entrepreneurs.
For those of you planning to fund your green business with credit cards, this article gives both a good way to compare credit cards as well as some specific information and contact information.
