How to start up a business with no experience or no money
When research shows an opportunity market gap in an industry that presents a promise of profit where the barrier to entry is no experience.
How to start getting experience to start up a business?
Keep your current income. Start learning the skill on the side for free, go into business with someone that has that experience or work for a company that is already successful.
I wanted to purchase homes that were in need of some renovation to sell for a profit after restoration. I did not have any experience in construction or any other processes for real estate. I needed to learn real estate.
I kept my job and volunteered to fix real estate from hurricane Katrina. I worked on side of professionals that volunteered as their helpers. I learned about concrete, electrical, plumbing, framing, painting, sheetrock, roofing and flooring.
I read Robert Kiyosaki ABC’s of real estate, Tax free wealth Tom Wheelwright and others. I learned how to write out a real estate purchase agreement from Louisiana Real Estate Association. I learned that money on the sale of a home is made when you purchase it. I went on to flip four houses for a profit of almost 300 thousand. 130% cash on cash.
How to start up a real estate business with no money?
One thing to understand about real estate is that it is not about money, it is about the deal. If you find the right deal that has everything factored:
- The low purchase price to reflect renovation costs
- Profit margin
Real estate does require credit and money. There are methods of getting started in real estate as a startup company. Here are some examples:
1. No money scenarios for real estate
- The profit will make you and someone else money. Share it with local people that own companies looking to make money on cash sitting there making no interest.
- Create a lease to own contract with the promise to purchase or sell at a future date that reflects your renovation time frame. You pay the owner the contract amount with your sale to another where you keep profit over that amount.
- Find a fixer upper lock it into a contract and flip the contract to a real estate investor for profit. This is wholesaling.
2. Little money scenarios for real estate
Look for a home that needs work and purchase it as your primary home with 3% FHA loan to renovate. There are a few ways that you can profit here:
- You can live in it for two years and sell tax free to purchase more expensive fixer upper for two years.
- You can sell it right away pay 20% capital gains.
- You can stay for months, rent it and FHA next home.
3. Money scenario for real estate
Save a hundred thousand and look for a flip or a rental. This will get you access to small apartments.
What are the real estate tax implications?
How you hold real estate has tax implications?
- If you own it and live in it there is no tax up to a certain amount when you sell single family.
- If you own it to flip it for profit there is a 20% capital gain tax.
- If you rent it out there are tax write offs. You get other people paying off your mortgage, write off expenses, increase rent with inflation, increase value of property with inflation and write off wear over time. This means that you pay virtually no tax on rental income and offset other money you make.
What are the steps to making an offer on a home?
What to offer? How to find out what they paid for home? How to find out what they owe on the home? How to find out what the home is worth in renovation value to factor what you can make after repair cost. Find it all in my real estate steps: Real estate pocket guide
How to start up a business with no money?
The times of capital intensive startups are over. There is still that avenue. There is another way that requires no money. Most people have a computer. There is access to online. Most people can access online with the phone. The point is that you own the tools already. What you lack is the idea or platform to utilize to make money?
There are a few ways that you can start up a company for no money:
- Amazon allows you sell their products as an affiliate. This means you get a tracking link that tells Amazon that you refer a customer through your link to that offer to purchase that offer. You just review that offer with Amazon picture on your social media or website with a link to purchase. (We talk about how to get website in following point)
- You can go to garage sales on Saturday with one hundred dollars to resell on Craigslist for profit.
3. Create your own online company
- You can create a website foe 2.95 a month for less than Coffee. You can put Amazon affiliate links, ecommerce links to print on order shirts or other. You just create content for offers. This is not a get rich avenue. This will take 6 month to 2 years in most experiences.
How to create the website from scratch for $2.95 a month? No coding required.
How long is the process to profit for a startup?
This is the same process that someone with no experience needs to follow to start up with success. The reason why most fail is they need the instant reward of a paycheck for their work. A paycheck is a drug that employers give people to forget their purpose. 8 out of 10 companies fail in first two years. The other two may survive if they make it to 10 years.
The reasons for failure is people are scared to fail. People do not want to go through the process to achieve greatness through learning for free to aquire skills. People want instant success or it is a failure. Most companies took up to 2 years with small revenue to even to profit.