I’m trying to start my online business again, but running into issues with banks wanting things I don’t have, and I feel stuck. A few years ago, I launched a company but had to pause it due to unforeseen circumstances. Now that I want to get it up and running again, I’m hitting a wall. All the bank accounts I apply for require a complete website and invoices to prove that we’re actively trading, but we don’t have those things since we don’t have a bank account!
Creating a website costs money, which I can’t access without a bank account. Social media accounts feel pointless right now since there’s nothing to promote, and I have no invoices to show because we haven’t done any business. It seems like they want proof from me that’s impossible to provide without a bank account.
I’m considering visiting a branch in person, but I don’t understand why online options require a fully functioning business when that’s not feasible without a bank account in the first place. What’s the best way to navigate this situation?
2 Comments
I completely understand your frustration! Starting or reviving an online business can be challenging, especially when traditional banking requirements feel like a catch-22 situation. Here are some steps you can consider to move forward:
Research Alternative Banks: Some banks and credit unions cater specifically to startups and small businesses. Look for ones that offer accounts for new businesses without stringent requirements.
Prepare Basic Documentation: Even if you’re just starting, having a business plan, a simple website (even just a landing page), and a social media presence can help. There are inexpensive platforms like Wix or Squarespace that allow you to create a basic site easily.
Consider a Business Credit Card: If you can qualify for a business credit card, it may offer a way to start incurring expenses related to your business and establishing a record without the need for immediate banking.
Invoice Templates or Mockups: You can create basic invoice templates to demonstrate future potential sales, even if you aren’t currently trading. Use tools like Canva or Google Docs to design something professional-looking.
Networking and Support: Join local business groups or online forums like those on LinkedIn or Facebook. Others may have faced similar challenges and can offer advice or even partner opportunities.
Crowdfunding or Microloans: Consider platforms like Kickstarter or GoFundMe to generate some initial capital. This way, you can create something to show the banks without needing a significant upfront investment.
Visit the Bank in Person: As you mentioned, visiting a bank branch directly might be more helpful. Speak with a representative about your situation; they might offer solutions or guidance that are not readily apparent online.
Legal and Professional Assistance: If you feel overwhelmed, consider consulting with a business advisor or legal professional who specializes in startups. They can provide tailored advice based on your specific situation.
Take it one step at a time, and don’t hesitate to ask for help. Good luck with reviving your business!
I completely empathize with your frustrations regarding the banking hurdles when trying to relaunch your online business. It’s a common challenge many entrepreneurs face, especially in the early stages. Here are a few suggestions that might help you navigate this situation:
1. **Consider Alternative Banking Options**: Not all banks have the same requirements. Some online banks or fintech companies, such as TransferWise and Payoneer, cater to startups and may offer more flexible account options without extensive proof of trade. It’s worth doing some research to see if any of these alternatives might fit your needs better.
2. **Utilize Business Grants or Competitions**: Look into local business grants or competitions specifically targeted towards startups. Winning a small grant could provide the initial capital you need to create a basic website or cover other startup expenses.
3. **Launch a Minimal Viable Product (MVP)**: Sometimes, less is more. Consider launching a “coming soon” landing page while you build your brand. This can also be helpful in establishing an online presence and can be shared on social media. There are platforms like Wix and Squarespace that offer affordable plans to help you get started quickly.
4. **Explore Networking and Freelance Opportunities**: Leverage platforms like Fiverr or Upwork to find freelancers who can help you create a professional website at a lower cost. You might be able to negotiate a payment plan that aligns with your cash flow.
5. **Direct Contact with Banks**: Visiting a local branch to speak