You have a good
business idea but need cash to make the dream reality. You have not been able
to find that money. Your thoughts are now entertaining the idea of selling your
house to raise the finances you need. Sell the house? You are extremely
apprehensive, for good reason. Owning a house is one of the major milestones of
life. It has fundamental implications
for the family’s wellbeing. What if selling the house brings perpetual poverty?
Sell the house? Sounds a crazy idea; sell house make money? Most people work
hard to buy a house. How could one sell it off just like that?
Owning a house means that the possibility of being on the streets with no shelter, if the worst came to the worst, is eliminated. It means though you may be hungry, you will be in your own home, assured of the comfort and protection a house brings. And after daybreak, you can fight whatever problem is keeping you hungry, like joblessness. So, where does the idea of selling one’s house come from?
Well, in this
case, we are talking about the big money that normally goes with funding a
business. Let me state what many will say you do not do. You can sell your
house, your only house, to start the business you wish to have. Yes, you can sell your only house. But there are things
to look at first!
Your uneasiness
about selling your house is understandable. So, let us soften those feelings
first. You only sell your house when certain conditions are satisfied. Only
then.
The first
consideration to make is whether or not after selling your home you are able to
buy a smaller house and use the remaining money to do that business you dream
about. This approach will ensure you do not remain without a house of your own.
An equally good approach is partitioning the house and selling off one section.
If one of these approaches is possible, then you do have a really safe way to
start off into your business. And if neither of these, or a similar model, is
possible? Well then, indeed, you have to look in other directions. You do have
to find the money, don’t you?
Do look for
sources of loans or grants. Are they there in your country? Can you find
foreign sources online? Let us assume that there are no external sources of
financing, and you have to depend on yourself. Then, of course, you just have
to sell that beautiful house of yours. You do have to take care of certain
things, though.
Firstly, if you
are selling your house, then you almost certainly have to pay rent for your new
accommodation. Here is the rule: find a really low-priced place. The rent
should not finish up all the money you get after sale of the house.
Secondly, as
soon as your business picks up, buy a new house, even if it is a really small unit.
That will put an end to paying those rents, and will bring you back the protection
and joy owning a house brings. That is, the protection and joy you had before
selling the first house.
Thirdly, you
have to be sure your business is likely to succeed. This is perhaps the most
fundamental step you need to take. Some businesses that appear easy to do prove
very difficult when one starts them. One way to limit the likelihood of
unpleasant surprises is picking a business one is already familiar with. It is
no wonder many people start enterprises similar to those done by organisations
they have worked in in the past. So, many former employees of automobile
companies later start motor-vehicle-related businesses. Many former IT firm employees
have started their own IT businesses.
Ensuring that a
business has chances to thrive is not only about familiarity with the type of enterprise.
It involves other basic business considerations such as the size of the market
and location of the business. When you have all these taken care of, and you
have the discipline and heart to persevere when challenges come, selling your
house should be the wisest decision you ever made.
As we end the story, let us revisit the basic
contents. Selling your house to do business with the money you are paid for it
is not the first consideration one should make. It should be the last. What I wish
to dismiss here is the myth that selling one’s own house to invest in a
business is always wrong. It is not wrong sometimes. You do, however, need to
lay the right foundation for such a decision. For example, you must be sure there
are no other ways to raise the financial capital you need. Additionally, if you
can sell only part of your property to find the money you need, and remain with
a part yourself, that would be a lot better than selling the entire house.
Goodday and do
not be scared to sell your house when all the conditions are right!
