Cashing In on Your Assets

According to the dictionary, an asset is something you own or possess. It can be something intangible (like musical talent or computer skills), or it could be something tangible (like a bicycle or a lawnmower).

If you use things you own or possess (tangible or intangible) as a means to finance your business start-up, you are engaging in asset financing. There are many forms of asset financing. It is, in fact, the most creative method of business financing.

Let’s look at an example. What is a teenager’s biggest asset? Think for a second. It’s not likely to be a million-dollar bank account. If you’re a typical teenager, your biggest asset is probably time and energy.

How can time and energy be turned into money for start-up capital? Well, many young entrepreneurs do odd jobs or look for part-time employment so they can save up money to start a business. Even the crabbiest of grinches loves to hire teenagers who are brimming with optimism and energy. And you have another big advantage. You’re probably living and eating at home, so you can save almost all the money you make.