Financing & Risk Assessment Resources
There are many ways a business can be financed. Many popular basic ways are personal cash, personal credit, personal loans, etc. (bootstrapping), as well as the business version of those options. However, you’ll first want to perform a risk assessment of your personal finances and your business before making a decision to finance your business.
The Small Business Administration (SBA) discusses how to fund your business. According to them, “It costs money to start a business. Funding your business is one of the first — and most important — financial choices most business owners make. How you choose to fund your business could affect how you structure and run your business.” (Learn more)
How to Finance a Business: 4 Options to Consider (Harvard Business School)
The bootstrapping guide for startups: What entrepreneurs need to know (Stripe)
Starting a Business Without Funding: 5 Bootstrapping Strategies (Gusto)
Small Business Financing: A Resource Guide (Library of Congress: Research Guides)
Financing and Capital for Small Businesses (Texas Economic Development & Tourism)
Financing Resources
Thomson Reuters explains that a “risk assessment is the process of identifying, analyzing, and evaluating risks associated with a particular activity or project. It helps businesses and government agencies understand the potential risks they might face and how they might mitigate them.”
In addition to the typical risk assessments, you’ll want to be sure to perform one for your personal and business finances prior to making a funding decision.
Personal financial risk management—prepare for the unexpected (New York Life)
Financial Risk Management Process (Corporate Finance Institute)
How to calculate your business risk using a Risk Assessment Matrix (Wolters Kluwer)
Risk assessments can be as simple or complex as you make them. Just be sure to perform these regularly to help guide your decisions.
Risk Assessment Resources