How much seed money will you need to grow your business?

That old saying is true: “it takes money to make money.” Some business models require more start up funds than others. I started my own business on a shoestring budget, but there were certainly expenses I have to cover during the first few months.
Whether you need a sizable investment, or are operating on a tight budget (like me), you need an estimate of how much money you’ll need to get started and carry you through those first few months.

One time costs

You’ll need money to cover one time expenses like the co of a business license, incorporation fees, and any essential equipment (E.g. computer, printer, website design, display materials for trade shows, etc.).

Ongoing costs

Examples of on-going costs are things like web hosting, monthly fees for an autoresponder service, inventory, insurance, utilities (phone/fax line, and a portion of other utilities if you have a separate office space).
Ongoing costs are usually in one of two categories: fixed and variable costs. Fixed ongoing costs include expenses you are always responsible for – phone/fax, insurance, utilities, etc. Variable ongoing expenses change from day to day, week to week, month to month and so on. Examples include shipping or printing costs, costs associated with a particular product or service, outsourcing fees, etc.
A successful home business needs access to enough seed money that it can grow and become profitable.

Muslimahs Working at Home was created to provide women with a financial alternative to earning an income outside of the home. Our objective is to share resources and tools needed to operate a successful, home-based business.