Financing at start-up | Consumer Loans

Many Norwegians dream of starting their own business, as many as 500,000 in 2012, according to Astro. There are many companies that are forced to give up after a few years for a variety of reasons, but with good preparation you will have the best chance of surviving. There are many types of company to choose from, but in this article we will only look at limited liability company (AS) in general and the financing of one in particular. It is exciting to start your own company and there is a lot that needs to be in place in the beginning for everything to go well. A lot can be put on the financing as there are some expenses that you do not avoid in the beginning, so we hope this is helpful!

What does it cost to start an AS?

What does it cost to start an AS?

The cost of starting an AS will vary with respect to type of business, but some expenses are fixed anyway. The requirement for equity of $ 30,000 and a fee to the Brønnøysund Register of $ 5,666 must nevertheless be covered. In addition to that, most people who start a business need capital for investment and other costs. Get an overview as soon as possible of what you need money to get started. Think about materials, premises, marketing, and everything else needed before starting up. If you want to depend on customers’ payment, for running the business, then it is important to take into account that they do not always pay on time. For this reason, you should set aside money during the start-up phase to cover running costs. To be absolutely sure of what you need in your account each month, it is recommended to set up a liquidity budget.

When starting a business it is also important to make sure you have the insurance in order. There are both insurances you must have and some it pays to take out. Contact insurance companies and ask for insurance advice specifically for your company. After you have arranged the insurance, this must also be included in your budget. Bring all the help you can along the way, when it comes to money, there are many banks that can offer good online banking solutions for start-ups. Then you can get an overview of the running economy, and get access to good solutions for operations.

Finance

Finance

It is rarely an impulsive act to start an AS so many people have saved up some money in advance, which is of course a very good starting point. If, on the other hand, you do not have a large amount of money, or start at zero in relation to equity, then it is important to think about financing right away. The first thing you can do is see how much you can raise without taking out a loan. Innovation Norway has a good overview of what you can do to get everything from small to large amounts to start a business. Establishment support from Innovation Norway itself is an alternative. You can also contact the branch in your municipality to hear about support schemes. When you know how much you have in addition to what you have saved yourself, you will get an overview of how much you need to borrow.

Borrow money

Borrow money

No matter how much you manage to finance yourself and perhaps with the help of well-known ones, you will most likely need to contact your bank or another source of funding to request a loan. If you want to borrow money to start an AS, this can be done easily by applying for a consumer loan. This is a very popular loan as you can get it granted quickly and you can use it for whatever you want. However, there are often quite expensive loans so it is recommended to spend the money on something that can result in value rather than spending it on shopping or traveling. When you start a business you will hopefully invest in something that will give you a return in the long term so then consumer loans can be a good form of financing. Instead of contacting all possible banks and creditors, you can use a loan calculator like the one we have. Then you can more easily see what you are being offered and where you are getting the best terms.

There is a lot of good start-up help when you want to create an AS so read up and take what you can to get a well-prepared start for your business. With all the papers in order and a neat economy, you will be taken seriously in business and a much better opportunity to do well. There are several good templates for business plans online, especially innovasjonnorge.no and altinn.no are worth visiting. Good luck!