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I Have a Great Idea for a Business But No Money – Any Advice?

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Joe Escalante, Attorney

I have a great idea for a business that I am at least 90% positive would succeed. Problem is I am not a millionaire, so I don’t really have the money to even get the ball rolling, so to speak. Any advice or ideas?

– Nick Greco

 

Barely Legal Radio w/ Joe Escalante

My advice is to partner with someone who has an existing complementary business. Like if your idea is a cheap do-it-yourself doughnut kit, propose the idea to someone succeeding in the food industry, like a guy with a successful cupcake shop.

He will supply the money and the business infrastructure, and you will supply the enthusiasm and sweat equity. You will split everything 50/50 or 60/40, or 75/25, depending on how valuable you are to the project.

What if he steals your idea? Well, that could be a problem. The official way to avoid this is to have potential partners sign a non-disclosure agreement, or NDA.

However, those are kind of hard to get people to sign if you are new. You might just have to blurt out your idea to people you trust and hope for the best. Check out all the NDAs that LegalZoom has. Good luck.

Check this out for more info on NDAs: https://www.legalzoom.com/legalforms/

Attorney Joe Escalante answers your legal questions for free on our Facebook page every Tuesday and Friday at 10 a.m. PT.

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February 3rd, 2014 at 2:57 pm