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How To

How to Finance a Green Business Opportunity

Contributor
By Catherine Madison
eHow Contributing Writer
(0 Ratings)

If you have a great idea for a green business, the next big step is to find financing to get it off the ground. In this new green era of business, there is likely no better time to go for it. Don't let fears of finances get you down. Learn the tried and true ways to take the green plunge. Explore your options to see all of the financing opportunities currently available.

Difficulty: Moderate
Instructions

    Find the Financing Necessary to Start a Small Business

  1. Step 1

    Apply for an SBA loan. The SBA loan is not directly given from the Small Business Administration; rather you work with smaller banks in your area to secure the lending. These loans have good interest rates. Contact a bank that you normally work with in your area and ask about applying for an SBA loan.

  2. Step 2

    Apply for social venture capital (or angel) funds. These funds are more likely to finance those start-up companies that will have a positive impact on society. Contact DBL Investors or Omidyar Network to ask if you are eligible for the funds, as they specialize in them.

  3. Step 3

    Seek out friends and family who would be interested in the success of such a business. Many a start-up was funded by the friends and family of the entrepreneur and that's no different for green business. If there are any wealthy, environmentally conscious members of your family, seek them out and ask for help.

  4. Step 4

    See if you're eligible for any government grants. Especially if your business is green minded, you're likely to find an opportunity to get government help as you get started. Research funding at the local level as well by searching both national and local government grant websites. Go to Grants.gov to see what's available.

  5. Step 5

    Contact your local Chamber of Commerce to see if it can put you into contact with other green entrepreneurs in the area. Once you contact the businesses, ask how they got their funding and how they were able to get started.

Tips & Warnings
  • Call environmental nonprofits in the area and tell them about your idea to see if they have any funding opportunities or any other ideas of where you can find them.
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