start Archives - Cortney Sargent, Sr. | "The People's Entrepreneur"

The Best Way Start a Business With No Money

You have an awesome business idea. You’ve been thinking about it for years and now is the time you want to step out there and try it. And, I know you have some reservations because people have told you that it’s hard to start a business, especially without startup capital. But, actually it’s not as hard as you may think.

Anyone can start a business with no upfront capital- all you need is the right idea and a few basic principles. This is a highly effective strategy because it relieves the pressure and stress of having to raising money to start your business. It also has proven to work for me down through the years with other projects and startup ideas.

The best way to start the business with no upfront money is to use what you have to get what you need. The key to starting a business with no money is to find ways to make the business startup pay for itself. By using what you already have access to, you can make money without actually having startup capital.

To explain this, let’s look at a real-world business situation:

Let’s say you want to start a business washing cars. But, the problem is you don’t have any supplies or equipment and no money purchase them. Since you have no supplies whatsoever, use some of the things that you have around the house. Find some old towels and a mop bucket. And, since you don’t have carwash fluid, you can use dish washing liquid. Now that you have the essentials, ask a neighbor, family member or spouse if you can wash their car for 10 or 15 dollars. With the money you earn from that job, you can buy some actual carwash fluid and a carwash sponge. Those items won’t cost you any more than $10 – $15 at the dollar store.

So, there you have it. This business principle is guaranteed to help you get from where you are to where you want to be.

Another way to start your business with no money, is to borrow. For many people this is pretty obvious. Using our real world example of starting a car washing business, if you don’t have a water hose you can borrow a neighbor’s or family member’s. And, after you’ve washed enough cars and earned some profit, you can then purchase your own hose. An important thing to remember about borrowing is to doing it in integrity. After you’ve earned the money you initially invested through borrowing, paid it back so you’re not in debt. This is called breaking even. This creative strategy of borrowing will help you get your business off the ground and set you up for healthy growth.

Speaking of such, if you want your business to truly grow, you must invest into it. So, after you’ve been in business for a little while, it’s now time to put money back into your business. It’s important to weigh the pros and cons in your reinvestment. Don’t do something just because you can; do it because it’s the most efficient, effective thing to do. Don’t spend money just because you have it. Wise investments will guarantee business growth and more customers.


At the beginning stages of business, it’s important to understand loss, gross profit and net profit.

Loss is the negative difference between retail price and cost of production.

Gross profit is the difference between revenue and the cost of making a product or providing a service, before deducting overhead (payroll, taxes, etc.).

Net profit, also referred to as bottom line, net income or net earnings, is a measure of the profitability after accounting for all costs. Basically, it’s the total amount of money after expenses.

Start a Business With No Money

Anyone can start almost any business with no money. All you need is the right idea, a few basic principles to follow and a dead-on focus that leads to success. In this business development guide, we’re going to give you some tips, advice and some guidelines that will help you start the business you’ve always wanted to or just make some extra money from your favorite hobby.

1. Identify your passion or idea. All of us have passions and ideas. We were all given some sort of gift, talent, skill or idea. Believe it or not, but that thing can actually make you money, and possibly rich. So, what is that thing you’re passionate about? The thing people always ask you to do. The thing that when you do it, it makes you feel the happiest. The thing that you will do for free? Whatever your answer is, that is the thing that can take you to your wealthy place.

2. Eliminate expenses. Now that you’ve figured out what your passion/idea is, the next step is to figure out what the expenses are and find ways to eliminate them. With any business launch or operation, there will be expenses; that’s inevitable. If you can not eliminate the expenses, then you can not start a business with no money. However, there is an alternative, which is investors. If someone invests in your business, you won’t have to pay for anything yourself. So, to a certain extent this method is still considered starting a business with no money. (it’s just not your money)

3. Make the business pay for itself. The number one key to truly starting a business with no money is figuring out ways to make the business pay for itself. If you can figure that out, then you won’t have to pay for anything out of your pocket, or anyone else’s (including loans). Nine times out of ten there is at least one way that any business can pay for itself.

4. Write the vision and make it plain. It is extremely vital that you create a business plan. It doesn’t have to be an elaborate plan that has yearly financial projections and investment proposals. It just needs to be something where you can see where you want your business to go. Holding something in your mind and writing it down is two different things and yields two different results. Writing allows creative ideas to flow. When you write down your thoughts, they become more clear and you’re able to see the end in the beginning. This also allows for better planning. If you fail to plan, you plan to fail.

5. Re-evaluate and invest. After the business has started making money, take a step back and re-evaluate it. Is it going where you wanted it to go? Are your time investments equalling the return of business that you’re receiving? If so, continue to more forward and invest money back into the business. At this point you may want to form your business as a company. In that case, you will need to register with your city and/or state to get a business license and get an Employee ID number and/or Sales Tax number. In setting up a company, there can be a lot of “red tape”, so make sure that you cross all of your “t’s” and dot all of your “i’s”.