There is a common misconception in the business world that without money a business cannot be operational. This is because any business requires money to undertake and develop. It is important to note that a business starts with an idea and the business is the implementation of an idea (Amabile 12). The implementation of the idea requires funds for execution. Notably, the first requirement in a business is an idea.
It is difficult to have a viable and practical idea than to obtain finance to implement the idea. Most businesses have already been explored and thus the difficulty experienced when searching for a working idea. As stated above, the idea comes before money. Once a person has a viable business idea, it becomes easy to access funds as long as the idea can be put into operation. There are many channels that an entrepreneur can use to secure finance to start a business. For example, one may partner with venture capitalists who provide funds to the business in exchange for a certain percentage of shareholding in the business. The venture capitalists, in most cases, are experienced entrepreneurs who will help grow and develop the business idea into success. Secondly, with a business idea, a person may approach financial institutions such as banks and other financial providers for finance (Amabile 23). Most financial institutions ask for a business plan and evaluate it to determine whether the idea is viable and should deserve a financial help.
Although both the idea and money are important to start a business, it is still evident that an idea is critical than money. In practicality, it is difficult to develop a business idea than it is to mobilize funds to execute the idea. However, we cannot disregard the importance of money in a business as it is fuel of any business.
Works Cited
Amabile, Teresa M. How to kill creativity. Vol. 87. Boston, MA: Harvard Business School Publishing, 1998.
