Wednesday, April 13, 2011

Personal Gifts & Funding a Business

The Types 5 of Personal Gifts
• Cash (direct to you, paid on your behalf, etc.)
• Discounts (letting you piggyback on a deal…)
• Freebies (free use of something or someone)
• Sweetheart Deals (overpayment, 1st choice…)
• Loan Forgiveness (from debt to gift)

Making Personal Gifts Work
• Gifts always cost time, usually cost aggravation, and sometimes even money
• Gifts work best when leveraged
• Most start‐ups depend on gifts, but don’t notice them
• Restate them as “in‐kind payments” to realize their value
• Get it in writing, e.g. a promissory note, see:‐to‐write‐a promissorynote.html

A possible source of grants for small businesses is the White House Faith-Based and Community Initiative funding that comes from federal agencies like HUD down through to churches and non-profits, to which you apply for a grant for your business. Do not be misled by the name, the program is for any for-profit or non-profit business that qualifies. You can view the program at