Business Funding

Money is a big worry when we starting a business, no matter it's a small business or it's a big one. And I wonder who wants to lend thousands of dollars to a business that doesn’t even have revenue yet? By thinking about that since I don’t have a business started up yet, I likely have to borrow money based on my personal finances.

while LÜG-ER 's products haven't been fully developed yet and they will be launched year by year, so the first year will be low revenue. With these considerations in mind, I would go for self-funding, family and friend, and later on will be equity and debt. For first year, because most of the year, LÜG-ER is gonna spend time to finish the permanent RFID tag and building airport RFID baggage tracking system. The revenue can be really low, so I have talked to my parents and friends about this business and got their approve they will help me out with around $250,000, me personal having $30,000 and the rest will go with loans by using business card to fill out the rest. From the second year, after successfully get permanent RFID tags to clients and apply the airport RFID baggage tracking system for airline, either it's in testing or officially put into operation, I think I will go for equipment financing since we need to build up the equipment, factory, and materials,etc. While the company having a good amount of asset, I might consider about the equity since this plan is developed a huge system and need step by step building and developing.

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