SBA Loan Programs

• The U.S. Small Business Administration offers several different loan programs you may be able to qualify for with your book business. The 7(a) Loan Program provides financial assistance for businesses that handle exports to foreign countries, businesses that operate in rural areas and other very specific purposes. The Microloan Program provides small, short-term loans to small businesses. The average micro-loan is about $13,000. The CDC/504 loan program provides small businesses with long-term, fixed-rate financing to acquire new assets. Check with the SBA to see if your book business meets the requirements for any of these programs.
  
  

Business Credit Cards

• Business credit cards can be a convenient way to fund your book business. Search for a card with a low interest rate on a website like Bankrate, or go to your local bank and see what types of credit cards it offers for small businesses. Credit cards allow you to purchase your book inventory, new computing equipment and other supplies you will need for your business. For a larger-scale operation, you may need to consider other funding options.
  
  

Government Grants

• The federal government does not provide grants for starting a book business specifically. However, you can find grants for your book business through state and local programs, nonprofit organizations and other groups, especially if your business has an educational or charitable component. For example, if you donate books to local educational programs, you may be more likely to qualify for a grant. Use the tool on the U.S. Small Business Administration's website to search for grants (see Resources).
  
  

Friends and Family

• Friends and family can be one of the best sources of funding for a book business. Before you approach someone for money to fund your business, write a comprehensive business plan. Approach the friend or family member as a business professional, and treat the discussion like a business meeting. Outline specific terms for your loan, including the repayment period and any return the person can expect to get on the investment. For booksellers who need only a few thousand dollars, borrowing the money from your personal network can help you take the next step in starting your book business.