Business Setup in Dubai Cost : Start a Gift Basket Business – Start Up Costs and Funding. Costs of Setting Up a Business in Dubai UAE. How much does it cost to start a business in Dubai UAE? How can I get business license in Dubai? How can I start trading business in Dubai? How Much Does It Cost To Set Up A Company In Dubai UAE?
The startup cost estimate table will help you answer the second question of this business startup financial series: how much money will you need to start your business? The chart is for a generic retail business. Items will vary for service, construction, and manufacturing businesses. The answer to the third question (How much money will you need to stay in business?) must be divided into two parts: immediate costs and future costs.
Business Setup in Dubai Cost : Start a Gift Basket Business – Start Up Costs and Funding. When you begin to do your research into how to start a gift basket business many people will tell you that you can get started with less than $100. While it is true that this industry generally has low entry costs, there are nevertheless things that you have to consider budgeting for when you prepare your business plan. In this article we examine some of the startup costs for a gift basket company and we also look at some of the funding options that you can consider.
Gift Basket Business Startup Costs
It is hard to estimate startup expenses as every entrepreneur will have a different direction that they will want to take. One of the biggest influences on initial costs will be whether you decide to locate your business at home or whether you will be facing the costs associated with setting up a retail unit in commercial premises.
When listing out your startup expenses for a home-based business you will need to figure in the costs of a business license or company registration, setting up a work space, equipment for basket preparation (paper shredder, shrink wrapper etc), office equipment, website development, logo design and initial marketing and advertising costs. Some business plans also allow for several months of operating costs to be listed with the start-up requirements as revenue during this early phase in the businesses life will be limited. Don’t forget to budget a decent amount for unforeseen costs as well.
If you are going into rental premises then you will also need to allow for other initial expenses relating to the terms of the lease, building renovations and signage.
So set up costs for a gift basket business can realistically run anywhere from a few hundred dollars up to over a hundred thousand dollars. To start off properly though, even from home you do realistically have to have access to at least five hundred dollars.
You probably will have a variety of options available for funding your gift basket business if you are unable to come up with the required amount yourself. The following are some financing options that you may consider.
1) A family loan. If you can get a loan from family or friends for a low interest rate without damaging your relationship with them then this is the best way to go.
2) Partners or investors. If your business plan is strong then you may be able to convince a business partner or investors to support you and share costs. Beware of this approach though as if you give up an ownership stake in your company to these parties they may want to have some influence in business decisions.
3) A small business loan from a bank is an option if you have a reasonably good account history with them and you are able to show them a solid plan and a willingness to put your own assets on the line (you may need collateral or a guarantee)
4) Government loans and grants. There are various small business loans and grants available but these can be difficult to get and often require applicants to go through a rigorous screening process.
5) Credit card cash advances are a final option for many entrepreneurs these days and while they can be a bit of a trap for those that don’t know what they are doing they can represent a good option if you are reasonably confident with your business plans and know that you will be able to start making repayments within two to three months.
A gift basket business can be started off with minimal investment so it is wise to start small and use your own funds rather than going into debt right away. However you choose to fund your business just make sure that you budget in a way that puts every dollar to the best possible use.
Business Setup in Dubai Cost : Start a Gift Basket Business – Start Up Costs and Funding. Costs of Setting Up a Business in Dubai UAE. How much does it cost to start a business in Dubai UAE? How can I get business license in Dubai? How can I start trading business in Dubai? How Much Does It Cost To Set Up A Company In Dubai?