Where do people get the money to start small businesses?

[JudoThrowFiasco]

you work at a bank.....

how are you even asking "where do people get money to start a business"

i

 

[JudoThrowFiasco]

Yeah

Now that I think about it more, in my opinion his best move might be to buy a rental house outside of toronto.

He can either stay in the upstairs or downstairs and rent the rest out, thay will help with mortgage costs. he makes more money than the average Canadian household by himself I think. Why even rent if you dont have to?

I mean yeah you cant afford a house in toronto but you dont need to live in toronto to work in toronto


if he can afford a down payment and buy a rental property that might be his best bet.

As someone who was in his position -- moving out of the city and buying a rental is not that much of a cost saver / enhances quality of life. Any part of the GTA/ Mississauga/ Oakville is going to run him at least 500k+ for something decent -- now he also has to deal with an hr commute each due to Toronto density and traffic is going to add to his costs. Transit passes are going to cost 300 a month plus the wear and tear of additional driving and gas.

If he moves to lets say Simeco, Milton, Guelph, etc he still looking at 350-450 for something halfway decent (+ the hassle of moving his kid and finding decent tenants) and now has to a 2-3 commute each way because again, Toronto/ 401/400 traffic is a bitch -- and that brings extra costs.

 

[Treeloy]

As someone who was in his position -- moving out of the city and buying a rental is not that much of a cost saver / enhances quality of life. Any part of the GTA/ Mississauga/ Oakville is going to run him at least 500k+ for something decent -- now he also has to deal with an hr commute each due to Toronto density and traffic is going to add to his costs. Transit passes are going to cost 300 a month plus the wear and tear of additional driving and gas.

If he moves to lets say Simeco, Milton, Guelph, etc he still looking at 350-450 for something halfway decent (+ the hassle of moving his kid and finding decent tenants) and now has to a 2-3 commute each way because again, Toronto/ 401/400 traffic is a bitch -- and that brings extra costs.

Well it still might be his best bet. At least hes putting money in to something that could be an investment rather than just throwing it at a landlord.

 

[JudoThrowFiasco]

Well it still might be his best bet. At least hes putting money in to something that could be an investment rather than just throwing it at a landlord.

Yeah, but he's not asking for real estate investing tips. He's trying to obtain money for a SB -- so partaking in a upfront investment like a house and then adding 4-6 hours onto his work day may not be the best bet here.

But I see your point on rent v own

 

[no fat chicks]

Lol no. The Canadian dollar is weaker than the US dollar so imagine 70-75k Usd.

Now imagine I get taxed about 40-45 percent per year.

I live on about 4K a month, also I have daycare, car, rent/mortgage.

I’m aware that the majority of the world has it worse than a working class person in Canada. But I want to be successful. I think I’m sufficiently talented and motivated and not afraid to work hard.

I don’t have anyone with money who can really help me. My family is dirt poor. Part of the reason I need to get rich is to help out my elderly parents.

u need to live in a small town. I live in canada and make a bit more than u. But my house is only 290k

 

[minute bull]

 

[KBE6EKCTAH_CCP]

That’s a good question.

I worry that if I leave the city I won’t be able to find a Sales job where I can make 100k a year.

Most of my coworkers my age live with their parents and haven’t left home.

The older people I work with live in the suburbs outside the city where you can buy homes for 500-600k, which is affordable for me if I get a roommate.

But these people commute 1.5 hours each way to get to work.

I haven’t give up on finding success in the big city yet. The average income in this city is 35k. That’s like 25k USD.

I know it’s not supposed to be easy to get rich, but I’m the hardest working and most talented guy in my department at least, which means to me that I should be able to do something in Sales at a higher level and earn more money.

I’m just trying to get my start. I could get a house in a suburb outside the city and commute but I feel like the money is here, in the city. I just need to find it. I need to take a few days off and do some heavy research.

What do you sell ?

 

[Steven_Universe]

What do you sell ?

We sell mortgages, refinances, I help people borrow money to renovate, investments, all that jazz.

 

[Turtlejuice]

You work sales for a bank and can't work out where people get the money for small businesses?

 

[FierceRedBelt]

Not that a person's value should be lessened to what they offer between their legs nor should a man's value be assessed in how many women he sleeps with, but I can say I've slept with someone new almost every month this year. I know guys who are much more active than I am, but I compare myself to myself. I had a 10 month dry spell when I was 26 and never had that happen again since so I can't complain. Making fun of my own mistakes is funny to me which is why I make threads about my failures more than my successes. I could of course use some improvement just like anybody else though

I don't think I could move on from woman to woman that quickly to be honest. Doesn't it take a little time to establish a connection and play out something of a relationship?

I've had much much longer dry spells than ten months; I don't think it makes me less of a person.

 

[HIMBOB]

Mba is more big business. Trade schools usually offer business management courses often gave options tailored around small business and are 1 year duration.

Id suggest looking at starting something smaller.


However if you are kicking arse at sales in a bank that can be fairly lucrative. Not very successful own business money but damn good.

Also you think you have the time to do your $350k investment justice? Not to mention the basically no wage you will earn while starting?

 

[aerius]

Also you think you have the time to do your $350k investment justice? Not to mention the basically no wage you will earn while starting?

That's the part that people don't like to talk about. In the vast majority of cases, and I mean well over 90%, more like 99% or even more, you will spend the first year of business operations LOSING money while working 7 days a week and worrying about when the cash bleed will stop. If you're lucky & good, you'll break even the 2nd year and make a small profit in the 3rd, it's usually not until the 4th or 5th year that things start rolling along and you can start making some real money.

I work in banking and one of my previous jobs was putting together business plans & financing for startups and smaller businesses. Succeeding in small business operations takes an insane amount of work, dedication, and a bit of luck. The first couple years are rough as hell, quite a few businesses don't make it and a lot of owners are burnt out and just wanting to GTFO by the 3rd or 4th year.

IMO starting a business is a lot like playing the lottery. You're gambling that your business will succeed and take off before you run out of cash or get burnt out.

 

[Pugilistic]

I don't think I could move on from woman to woman that quickly to be honest. Doesn't it take a little time to establish a connection and play out something of a relationship?

I've had much much longer dry spells than ten months; I don't think it makes me less of a person.

I am not interested in any sort of relationship or commitment. I have a date with a girl tonight who lives 5 hours away from me which is actually perfect for me lol.

Not saying you are but too many guys on here equate a man's worth to how much sex he gets.

 

[therealdope]

I’m working my butt off in Sales every day for a major bank. I’m doing 48 hours a week, sometimes 50.

I am a top performer in my department and will make about 110k Canadian this year, but I’m getting absolutely nowhere.

Average house here in Toronto costs a million dollars. I live in a crappy apartment in the hood.

I drive a 2008 Chrysler 300.

My friend at work is pushing me to start a small business with him, like a Pizza franchise or something.

Pizza Pizza franchises here need you to have 350k in liquid assets. Who has that Kind of money?

No one that I know.

I don’t care if I sound poor because I am. What’s the alternative? Am I supposed to go back to school
And do my MBA? Study my CFA and make a living in trading?

I like Sales and I’m not afraid to work very hard, but how do I upgrade my life?

Franchises are a terrible business model. you're basically working for the franchisor.

I started my first business in Canada. We boot strapped it, sold stuff before we had a product and then had to deliver. We also ran a service business to pay the bills.

You could look for individual investors --- the there "F"s (family, friends, fools). You could also go to VCs.

 

[therealdope]

IMO starting a business is a lot like playing the lottery. You're gambling that your business will succeed and take off before you run out of cash or get burnt out.

You're betting on yourself and it's all on you. I couldn't imagine doing anything else TBH.

 

[FierceRedBelt]

I am not interested in any sort of relationship or commitment. I have a date with a girl tonight who lives 5 hours away from me which is actually perfect for me lol.

Not saying you are but too many guys on here equate a man's worth to how much sex he gets.

There is some merit to it as women flock to who's perceived as the best man or men.

There's never been a time in my life where I've been the obvious choice in the room; no matter what I was doing. That's not to say I haven't been the best in my community at whatever.

It doesn't upset me that women don't flock to me but that's not to say that I don't end up really liking someone from time to time. Usually every couple of years I'll meet a young lady who catches my attention and maybe once a decade I meet someone I really like. I couldn't imagine going through that monthly.

 

[HIMBOB]

As to the actual question usually it is people taking a loan against their home and buying the franchise with that.

Either that or straight savings.

 

[sickc0d3r]

You need to write a business plan if you want someone to lend you money. Look into the SBA for a loan (not sure if that's US only). And it is way cheaper to come up with your own concept than to franchise. Want to sell pizza? All you need is a pizza oven and a good location to get started.

 

[therealdope]

As someone who was in his position -- moving out of the city and buying a rental is not that much of a cost saver / enhances quality of life. Any part of the GTA/ Mississauga/ Oakville is going to run him at least 500k+ for something decent -- now he also has to deal with an hr commute each due to Toronto density and traffic is going to add to his costs. Transit passes are going to cost 300 a month plus the wear and tear of additional driving and gas.

If he moves to lets say Simeco, Milton, Guelph, etc he still looking at 350-450 for something halfway decent (+ the hassle of moving his kid and finding decent tenants) and now has to a 2-3 commute each way because again, Toronto/ 401/400 traffic is a bitch -- and that brings extra costs.

I cannot believe how much Milton has been built up. I spent a lot of time riding in that area as a kid, just went a few weeks ago and fuck me --- housing everywhere.

FWIW my brother rents in Toronto. He has a great place run a great area and I think it's $1200/mo. Of course he's single so a small place is fine.

 

[MadSquabbles500]

I’m working my butt off in Sales every day for a major bank. I’m doing 48 hours a week, sometimes 50.

I am a top performer in my department and will make about 110k Canadian this year, but I’m getting absolutely nowhere.

Average house here in Toronto costs a million dollars. I live in a crappy apartment in the hood.

I drive a 2008 Chrysler 300.

My friend at work is pushing me to start a small business with him, like a Pizza franchise or something.

Pizza Pizza franchises here need you to have 350k in liquid assets. Who has that Kind of money?

No one that I know.

I don’t care if I sound poor because I am. What’s the alternative? Am I supposed to go back to school
And do my MBA? Study my CFA and make a living in trading?

I like Sales and I’m not afraid to work very hard, but how do I upgrade my life?

Sell, your house, and move somewhere real cheap, or camp out in the chilly canadien wilderness.

Or get some partners.

Tell me about your plans. I am interested.