Financing tends to be one of the biggest challenges for people who want to launch a home based business.  Even if you expect your start-up and monthly operating expenses to be minimal, finding the money you need may still be a challenge.

If a traditional business loan isn’t an option, you might want to consider some simpler financing options:

Take a look at your assets. If you own things, you can sell them. Jewelry, rugs, antiques, time-shares or second properties are just a few examples.

What about your car?  If you drive a nice, late-model car, you can sell it and lease a less expensive one without a down payment. This might net you $15,000 to $20,000 and leave you with a small monthly lease payment.

Borrow against your home.  If you have established equity in your home, it should be very easy borrow against it.   Keep in mind though that once the loan kicks in, you’ll have monthly payments. Or, you may want to consider refinancing your mortgage with a new one.

Friends and family.  Friends and family may be willing to support your business start-up. If you do chose this option for financing, be sure to put your agreement in writing so that it’s official and there isn’t any miscommunication about the terms of your relationship.

Borrow Against Your Investments.  If you plan to continue working full-time while you start your business, consider borrowing against your 401(k) retirement plan.

Consider a low or no interest credit card.  Credit cards are a quick and easy method of funding your start-up and can help build business credit at the same time.  You can start with deferred payments or a minimum monthly payment until your business starts to generate income.

Regardless of the financing option you chose, be responsible and keep your financial security at the forefront of your mind.  If you’re determined to succeed at your new home business venture, investing in yourself is the way to go!