It's All Relative
You can ask your family to fork over funds, but make it worth their while.
Question: I've been turned down for loans by several banks because my business is a startup and I have no experience in the industry I want to enter. Should I try asking relatives to lend me the money instead?
Answer: Borrowing money from family members can be a double-edged sword. On one hand, it's only natural for first-time entrepreneurs to seek funding from the people who have known them the longest and have the greatest motivation to see them succeed. Relatives are also generally more patient than banks, commercial lenders and professional investors when it comes to recouping their capital and making a return on their investment.
Continue reading this article -- and everything on Entrepreneur!
Become a member to get unlimited access and support the voices you want to hear more from. Get full access to Entrepreneur for just $5!
Get 3 months free with code ZENDESK
Presented by zendesk