More Than Money

Cash-poor friends may still have a lot to contribute.
Magazine Contributor
2 min read

This story appears in the August 1999 issue of Business Start-Ups magazine. Subscribe »

Support from people you know can come in many forms other than financing. Here are a variety of alternatives for cash-poor friends and relatives who want to help:

  • Cosigning. Sometimes you have to rely on someone else's credit, net worth or disposable income to get a loan. In those cases, a willing friend or relative could cosign a bank loan, knowing if you default, he or she is responsible to make good. It's risky for the cosigner and for your friendship if the business fails, but it saves the friend from having to give you cash upfront.
  • Office equipment and furniture. You can often set up a rather spiffy office with a variety of hand-me-downs supplied by people who'd like to help you out. An uncle who owns a printing store might spring for your letterhead and business cards. A computer programmer friend might be able to get your computer system at below cost.
  • Baby-sitting or child care. Just because you've decided to start your business from home doesn't mean you can rock the cradle at the same time you're at the computer. Having a parent or other relative watch your children while you tend to business can be invaluable.
  • Clerical, administrative or professional help. Friends and relatives can do everything from stuffing envelopes for mailings and setting up a computer system to helping you organize your office and keeping your books.
  • Contacts. Send a letter to your close acquaintances explaining your new business and asking whether they know anyone who could use your products or services. People are generally happy to provide their competent and trustworthy friends and relatives with leads.

More from Entrepreneur

Learn to be a better leader and develop successful marketing and branding strategies with Dr. Patti Fletcher's help.
Book Your Session

For a limited time only, get this bundle of Entrepreneur PressĀ® titles for less than $30 (60% OFF) on our bookstore when you use "LEAP" at checkout.
Buy Now

Are paying too much for business insurance? Do you have critical gaps in your coverage? Trust Entrepreneur to help you find out.
Get Your Quote Now

Latest on Entrepreneur

My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.