When you begin a Boston Metro business, it’s important to have enough capital to support your needs. Whether you seek business financing through an investor group, a commercial lender, or family and friends, you must be able to describe your business plan and show a profit strategy. Here are tips from Inc. magazine, along with our own insights!
1. Display your knowledge of the industry. How well do you understand the opportunities – and challenges – of your industry? Where do you see your business fitting in?
2. Show knowledge of the local Boston Metro area where your business will be located. While you may not know exactly where your business will be located, you should have an idea of the area’s supportive amenities and demographics. Consider traffic count, availability of parking, access to public transit, proximity to supply chain, local economic and population trends, and so on.
3. Explain in what your business does in plain language, in one or two sentences. The more complex your “pitch” is, the more skeptical your listener could be. What is the benefit of your product or service? Who will be your target customers?
4. What is the cash flow cycle of your business? How would a sample financial statement look?
5. How exactly do you plan to use the financing? What is your plan for paying back the loan? Do you have any collateral to offer? Will you have a co-signer?
Another important consideration is the type of business entity you plan to create. There are significant legal and tax distinctions between different types of business formations. You can learn the basics online by visiting www.mass.gov/types-of-business. Even if you’re familiar with various business types, you may wish to obtain the advice of a business attorney or certified accountant before making your final choice!
When you are ready to begin, expand, or relocate your business, team up with the Jay Nuss Realty Group, LLC! Whether you are thinking of buying or leasing Boston Metro commercial real estate, we can help you find the ideal property.
Contact us today for expert guidance!