"We make a living by what we get, but we make a life by what we give."—Winston Churchill

It’s easy to fall into the trap of thinking you need start-up money for a business, and the only way to get that is through other people (because you don’t have a big pile of money sitting around waiting to be spent, do you? If you do, what are you waiting for? – go start your business!)

There are three problems with borrowing other people’s money. First of all, most other people don’t have a big pile of money sitting around waiting to be spent either (and if they do, there is probably a big lineup for their money pile!) Not everyone or every business idea qualifies for a bank loan.

Secondly, if you take other people’s money, you generally have to do what they want you to do – and that is the opposite of working for yourself. It’s a lot easier to be your own boss when you don’t already have one. If you lose money along the way, it’s a lot easier to lose your own money than money borrowed from someone else — whether you have to deal with hard feelings, disappointed family members, or worse!

Thirdly, having to pay back loans from elsewhere will seriously hurt your cash flow in a fledgling business.

So, if you don’t have the necessary cash to get started, why not earn it? You’ll appreciate it more. You will gain valuable experience along the way. Start a service business – find a need you can fill, find out how much you can charge, keep your costs and overhead low, and away you go. It can also be as simple as taking a second job, or merely disciplining yourself to save by setting aside as much as you can with every cheque.

The important thing is to find a project, earn the money you need, and re-invest in what you’re really passionate about. It’s only going to fuel your dreams and your drive to succeed if you’ve worked and saved your way towards that goal. Invest in yourself.

My first real business was shoveling my elderly neighbour’s sidewalk. I provided a service because she was a senior citizen and she always paid me after I was done. This was my first job but I didn’t realize it was a business till I was much older!

Scott Says: My first real business was shoveling my elderly neighbour’s sidewalk. I provided a service because she was a senior citizen and she always paid me after I was done. This was my first job but I didn’t realize it was a business till I was much older!