Starting a Business with a Lottery Jackpot
Guest Post by Austin Weaver:
While many people who become a EuroMillions winner (or win any of the other big lottery jackpots) are content with hanging up their work hat for good and indulging in a life of leisurely pursuits, others may have more enterprising ambitions in mind.
Having such a generous windfall in the bank could enable entrepreneurial lotto millionaires to get their business ambitions off the ground, but how exactly can they make these dreams come true and turn their payout into something they will be proud to say they have made?
Consider the risk
If an individual is using their own money to fund a business then they have the advantage of having more control than by going with other financing options.
UK government body, Business Link states this means the entrepreneur does not need to worry about paying back lenders or relying on outside investors who could decide to withdraw their support at any time. However, there is some risk involved, which is something lottery winners need to take seriously.
“If your business were to fail, you could lose your home and other personal possessions. And just knowing how much you have invested can put a lot of pressure on you and your family,” Business Link commented.
Ask the professionals
It is a good idea to consult professionals about such matters. Lottery winners can afford to hire the experts and assembling a team of lawyers and accountants is a good idea to help lay the best possible foundation for their venture and put a lotto payout to good use.
However, the time and effort required in starting a company can be a very isolating and stressful experience, which is why finding a mentor is a good idea.
Small business website, Smarta recommends entrepreneurs consider their own contacts for somebody they can rely on for help while in the early stages of setting up shop, while asking for recommendations may also prove fruitful.
Furthermore, targeting business people an individual admires could lead to exciting partnerships with well-known investors, or a government-backed mentoring scheme may be a good way to find this kind of support.
Focus your goals
One of the UK’s most successful entrepreneurs, Lord Alan Sugar, says setting out goals in a weekly review is the best way to keep control of one’s business aspirations.
Those who check lottery results and find they are the big jackpot winner may find they have the luxury of throwing money at problems or hair-brained schemes – which may prove wasteful or short-righted – therefore following Lord Sugar’s advice could be priceless.
As he asserts, “Set simple goals and don’t give up until you do it – and stop dreaming that someone is going to give you something to do it.”
Investing in others
Finally, lottery winners who have business dreams and the capital to get started but are not sure about going it alone could put their windfall to good use by investing in other start-ups if certain projects appeal to them.
Lotto millionaires could market themselves and spread the word that they are looking to go into business with promising entrepreneurs if their ideas and strategy pass muster.
Austin Weaver loves cricket and rugby and cooking. During the day he is a content and blog writer, and theLotter.com creator, a website selling lotto tickets throughout the world.
image via Business Pundit