More than 2.4 million American businesses are owned by veterans, which is a good thing, but the problem is this number is not rising. Fewer veterans are taking a chance on their dreams, which is a shame since there is no better time to start a business as a veteran.
Enthusiasm for Vet-Owned Businesses
There are several positive results that come from veterans owning businesses in this country like the employment of veterans who need work to name one example. This is just one reason why it is important for those who served to take a chance.
It would be hard to pinpoint the reason why many veterans are choosing not to pursue a business. Some may argue that it has something to do with the economy, which is not too healthy while others might say it has to do with the lack of interest in veteran-owned businesses, but this is not the case. Investors are interested in backing veterans, and customers are very interested in purchasing products from people who have served the country.
Investors who are interested in backing veterans have an easier time doing so with the explosion of crowdfunding platforms. Veterans who want to cater to customers and support veteran-owned businesses can communicate this easier using online tools of communication such as social media platforms. One reason why support for veterans is gaining traction could be linked to the increasing wish Americans have to ensure that their money supports their fellow Americans rather than large corporations.
Rise in Resources for Business-Minded Veterans
There are a number of resources that veterans can turn to in order to secure the funds to start a business, and that number is rising. Yes, as mentioned earlier, crowdfunding is one resource and very effective option, but there are a number of additional resources to consider.
Veterans can turn to a number of investors who are ready to use their capital to help a business from the ground up. Usually, these investors are willing to give this lump of money in exchange for things like partial control, equity, or even a seat on the board of the startup company.
The difference is that these investors have a soft spot for people who have served in the US military; for example, Hivers and Strivers is run by a group of investors who are graduates of US military academies. Veteran Ventures Capital is a firm that helps businesses that are ran by veterans, making it an important and exclusive resource for people with service history.
Loans and Grants
Veterans can also turn to federal grants, which are like financial gifts from the government. Yes, this means that those accepting these grants do not have to pay them back. There are a number of non-profit organizations who offer grants to veterans as well as loans. Veterans Business Fund is a non-profit that gives loans to people who want to take that next step in their lives.
StreetShares is another option for veterans looking for loans that could help them get started with their dreams. Another good option that military service people have is the Veteran Business Outreach Centers or the VBOC where veterans can find independent grants.
Of course, veterans can also use low interest credit cards so they can get some of the capital needed to start their business. Some of these cards have great offers that should be given some consideration.
It doesn’t seem like many veterans are taking the dive, which does make sense if the economy is a concern, but it seems like the odds for success are changing in favor of veterans.