We’ve all been there — having a job that pays well but doesn’t necessarily give us a sense of self-fulfilment the way having our own business would. You might be thinking, “One day, I’m going to start my own business and finally do something I’m passionate about.” We totally get that. That’s how we started Frollo too. Do you have a business idea in mind? One that you want or need to start saving up for?
If you’re trying to find ways to save to start your own, then this post is definitely for you.
Here are the 5 fundamental steps to save money for your dream business:
1. Start with a goal
Before you can start saving money for your business, you might want to consider calculating how much you’ll need to start with. The total amount should include everything from the small expenses, such as setting up your website, creating business cards, developing a business email address, to the large bulky ones that would depend on the type of business you wish to put up. By adding all the startup costs, you get to define the total amount you’ll need to save.
2. Include “business money” in your monthly budget
Open a separate savings account for your business money and put in a certain amount every month. Having a separate savings account for this will help you avoid spending the money on other trivial things. These monthly savings will eventually accumulate, and soon, you’ll have enough to start your business.
3. Decrease discretionary spending momentarily
Whether it’s online shopping, eating out, or buying takeaway coffee every day, cutting down on your discretionary spending will accelerate your savings to start your business. Think about it this way: you’re saving money as an investment to pursue your passion. You will pay yourself back one day anyway when your business starts making money on its own.
4. Track your expenses and boost your savings
When you track your expenses, you will see which purchases you could have gone without, especially when it comes to impulse purchases — like that extra cup of coffee or a slice of cheesecake that wasn’t even yummy. When you get a clearer understanding of your spending behaviour, you will see the areas that are actually opportunities for you to save. When you seize these opportunities, you get to boost your savings even more.
5. See your savings grow
Nothing is more empowering and motivating than seeing your savings grow. At the end of each week, see how much your savings have grown. Let it remind you of where you started, where you are, and where you will be. Bit by bit, you will see incremental changes that will boost your willpower to keep going and finally start your business.
The Bottom Line
Saving money to start your own business can be daunting. But if you keep your passion alive and let that burning desire drive you to success, then the sacrifice will be worth it in the end. And one day soon, hopefully, you’ll be running your own empire.
Frollo can help you track and save the money you need to start your business. All you need to do is open the app and take on the available challenges to boost your savings today.
If you’ve already started your own business and looking to grow it, then check out the Frollo Business app. This app will help you manage your business finances better by providing you with an overview of your business cash flow and expenses so you can focus on growing your business without the added time and stress.
Got tips on saving money to start a business? Share them with us! We’d love to hear from you.