In the business world, we all understand that risk is everywhere. We all have to face risks and know how to manage it properly in order for our business to survive and grow. They say doing business is like a gamble in the casino, you’ll win some, you’ll lose some but the house always wins. Surely, all of us want to win in our real-life game of money. But how can you beat the odds when everything goes south? That depends on your capability, courage and financial intelligence.

Starting a small business from scratch is probably the most fulfilling work for entrepreneurs. When we observe it develop and gain more revenue, we want it to grow even more faster and better. How can you speed up the process? By placing more “bets” like in the casino, or investing more money in the real life. Giving up your savings, luxurious lifestyle and other spending may contribute big in your company if you want to invest more of your money to the business itself. If you don’t have these kind of savings, you might as well wait for your business to grow in a slow pace, but surely you want it to be fast-paced because of the opportunities you don’t want to miss.

Another option for your business development is to borrow money. It can be from your friends, family, colleagues, banks and other types of financial companies. It may sound simple as it seems, but borrowing money isn’t that easy. Take into consideration the amount, time of return and the interest rates. Like for example banks, they need so many requirements before they loan you money. Imagine the long queue, papers to file and the collateral they take if you don’t successfully return the money (it can be your house, car or other properties).

If you understand these risks and confident enough to borrow money, you should ask yourself this question, “Are you loan ready?”. Are you willing to take the leap of fate and dive deeper into the business world? If so, you must consider these factors to beat the odds and have more chances to winning.


  • Understand the status of your business- if your business is struggling financially but you believed if you develop your system, it has a higher chance of gaining more revenue, then go for it. But if your customers don’t have good feedback, maybe you should focus on developing your product first before taking the loan.


  • Lifestyle check- borrowing money to make the business grow sounds easy, right? But when there are other hindrances like paying off other debt, mortgage on due, paying for your car and other expenses, I don’t think loaning isn’t the best idea for that. You might get interests be doubled, cash flow to be less than ever and the main reason why you loan the money if for the business, so stick to it.


  • Planning the loan- they say when someone borrowed something from you, you expect it to be return as soon as possible right? That’s also applicable to debts. First, you must consider the right amount of loan, not excessive and not short. You must calculate the time when you’re ready to pay off the loan and consider the business when that specific amount of money is returned.


  • Contingency plan- whatever happens, you must have plan B if the first one failed. Keep in mind that loans are debts. No matter what happens, financial institutions will get their money one way or another. So, before you commit, you must have a contingency plan ahead in case everything goes south. It can be selling your car, house or other properties, or venture in another business.

No matter what we do, choices we make, steps we take, we must plan ahead and be ready for the risks. Your mind and body must be trained like a soldier prepared to be wounded or get killed in a war. But this is the game of business, your weapon is your financial intelligence and your allies will be money and the business itself. Make sure you use them wisely to gain more, grow and win the war to financial freedom.