00:00:05:01 - 00:00:08:01 You need money to get your business off the ground. 00:00:08:04 - 00:00:13:15 With a financial plan, you map out whether your plans are financially viable... 00:00:13:18 - 00:00:19:13 or whether you need a loan and how much. And you estimate when you will make a profit. 00:00:19:16 - 00:00:23:06 A financial plan includes 5 partial budgets. 00:00:23:09 - 00:00:29:10 One: With the investment budget, you determine how much money you need to get started. 00:00:29:13 - 00:00:35:09 Two: With the financial budget, you figure out how you are going to finance investments. 00:00:35:12 - 00:00:38:09 Will you use your own money or take out a loan? 00:00:38:12 - 00:00:44:14 Three: With the operating budget, you calculate whether you are going to make a profit or a loss. 00:00:44:17 - 00:00:50:24 Four: With the liquidity budget, you show your monthly income and expenditure. 00:00:51:02 - 00:00:57:04 And five: With the private budget, you know what you personally need to make ends meet. 00:00:57:11 - 00:01:00:10 These entrepreneurs talk about their experiences. 00:01:00:15 - 00:01:03:04 Well, a financial plan is really not my thing. 00:01:03:07 - 00:01:09:13 So with the help of my accountant and my husband, the 3 of us made it. 00:01:09:16 - 00:01:14:00 We had absolutely no financial plan. Time was our investment. 00:01:14:03 - 00:01:18:00 Look, the product is digital, so with digital products you don't necessarily have to... 00:01:18:03 - 00:01:21:12 Of course, you have to make a website, but we figured that out for ourselves. 00:01:21:15 - 00:01:23:13 We put all our own money into it. 00:01:23:16 - 00:01:26:14 The investments at the beginning were actually so low... 00:01:26:17 - 00:01:30:11 that we didn't really need a financially substantiated plan for that. 00:01:30:14 - 00:01:33:12 In the beginning, we didn't use financing. 00:01:33:15 - 00:01:35:21 We've been able to do it using our own resources. 00:01:35:24 - 00:01:39:15 Sarah, of course, had a full-time job, so she was comfortable. 00:01:39:18 - 00:01:42:20 And so I really just had a pot. 00:01:42:23 - 00:01:46:22 My initial capital was actually my savings. 00:01:47:00 - 00:01:50:16 So I didn't have to borrow either, or knock on a bank's door. 00:01:50:19 - 00:01:55:05 For the first 6 months, I could actually make ends meet. 00:01:55:08 - 00:01:58:00 In time, the investments became so serious... 00:01:58:03 - 00:02:01:04 that we actually did have to approach a bank... 00:02:01:07 - 00:02:03:22 to take that next growth step. 00:02:04:00 - 00:02:07:16 We had existed for 2 years and most banks naturally only want... 00:02:07:19 - 00:02:10:12 to provide money if there is a financial plan to back it up. 00:02:10:15 - 00:02:14:06 Or if you can provide 3 years of figures, which we couldn't. 00:02:14:09 - 00:02:18:05 In the end, there was only one bank that wanted to help with some sort of youth scheme. 00:02:18:08 - 00:02:22:06 They then managed to give us a loan of €800,000. 00:02:22:09 - 00:02:25:03 Well, just make sure that you have something of a buffer... 00:02:25:06 - 00:02:27:12 And possibly a partner who can support you. 00:02:27:15 - 00:02:29:24 So that you are not completely alone. 00:02:30:02 - 00:02:34:01 It's good to have healthy buffers, but you also want to continue growing. 00:02:34:04 - 00:02:37:08 And growing costs money, so you have to strike the right balance. 00:02:37:11 - 00:02:41:10 I think that's what entrepreneurship is about, taking risks to get what you want. 00:02:41:13 - 00:02:44:03 But as long as you have that perseverance... 00:02:44:06 - 00:02:48:08 you do find a way to move forward. 00:02:49:06 - 00:02:51:03 And now it is time for action. 00:02:51:06 - 00:02:54:24 Make a financial plan to get insight into your finances. 00:02:55:02 - 00:02:59:16 Do you need more money? Research what financing options are available. 00:02:59:19 - 00:03:02:10 Determine a good hourly rate. 00:03:02:13 - 00:03:07:11 Put aside money for unexpected expenses and quieter times in your business. 00:03:08:14 - 00:03:12:22 For more information, check out the KVK Book of Finance. 00:03:13:07 - 00:03:14:08 Want to know more? 00:03:14:11 - 00:03:18:24 Visit KVK.nl/en/starting.