Many people constantly look for options which would bring a better life for them and their families. While starting and running a business is not for everyone, it can be a great way to turn a great idea into a profitable venture and earn your living while being your own boss. However, there is always one initial hurdle — raising the starting capital to kick things off in style. For a successful launch of a business, there needs to be a bulk amount of money available to the entrepreneur at the very outset, which can be used to set up the building blocks of a successful business.
This is indeed the hurdle which forces many great ideas to remain ideas and never become successful businesses. If you have a great business idea but are struggling to raise cash to take things off the right way, there is one interesting option you can explore — selling a structured settlement.
It might be a demoralizing scenario where you find yourself with a winning business idea but no cash to start things off. However, if you have just won a structured settlement as the outcome of a lawsuit or lottery, you might be in a better position than you think. While annuity settlements like the Mega Millions pay out a little cash every month for a number of years, you can easily consider selling a structured settlement and get settlement money now. This gets you all your money up front, saves you some money in the way of taxes and fees, and provides you with nice starting capital which you can use to get your fresh business idea off the ground.
Why Selling A Structured Settlement Makes Sense
First and foremost, you need to consider how easy selling your annuity is. There are a number of companies that buy structured settlements and provide cash up front, and all you need to do is find the right people to do business with. The whole process involves very little time, effort or red tape, and it is likely that it will be expedited to get you your money as fast as possible.
Compared with other forms of raising capital like business loans, selling a structured settlement does not put you in debt. Nor does it require you to expose yourself to the usual paraphernalia that comes with applying and qualifying for business loans. It is a clean, smooth process designed to bring your capital to your pocket in as little time as possible.
Another important reason why you might want to get settlement cash now is that you get to save on certain costs that way. Annuity payments are usually subject to income taxes, and the annual fee on an annuity can go up to 3%. These costs can be avoided if you decide to cash in on your settlement and get your money up front.
In short, if you are currently receiving monthly payments from a structured settlement and want to start your business as soon as you possibly can, choosing to sell your structured settlement can be a great way to achieve this. Due to the speed, simplicity and advantages of the process, you can have the capital you need and the peace of mind which often fosters good decision-making — a particularly crucial element when you are just about to start a business.