Taking a loan for your business

The most popular approach to doing business is that you would talk to your bank and they would give you a fat cheque with an amount that will make you rich.

But does that help?

Well, you might make it, and you might fail. And in the case of failure, you need to remember that the bank is not your friend. They don’t care if you succeed or not. The only thing they want back is their money, and the interest on top of that. And if you can’t pay it back, you might lose everything that you had. Your house, your car, and in worst case, your life.

So how do you start a business?
Well, ask your friends or family. Look for some part time work and save some money. If you are still crazy enough to set up your own business by the time you have saved some money, you can now invest without taking money from the bank.

But remember that not all businesses make it, so you need to have a backup plan if you are thinking of investing everything you have in something only you feel comfortable about.

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