Mark Cuban: Only Morons Start a Business on a Loan
June 14 (Bloomberg) — Entrepreneur Mark Cuban discusses the U.S. Economy and starting a business with Trish Regan at the Clinton Global Initiative in Chicago on Bloomberg Television’s “Street Smart.” (Source: Bloomberg)
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About the Author: John McKerry
”99% of small businesses can start with next to no capital”, are you
fucking kidding me?? Clearly this guy himself is a Moron and has way too
high of a platform to actually impart productive advice to people. 99% of
small businesses aren’t paper crafts that are sold around the neighborhood.
He obviously doesn’t see that he was very lucky to earn big on his initial
businesses that lead him to where he is today. He’s also very corrupt and
has been caught using his wealth to do insider trading in the past. Effort,
wit and stamina doesn’t mean you’re going to be successful at your venture
and this idiot should know that. Like many other people that believe in Ayn
Rand’s philosophy; this guy’s blaming the person entirely and not the
environment around them. bahhhhh!!!
I guess I’m a moron for taking a 15 thousand dollar loan and turning into
to a 6 digit business
So every person that took his money on shark tank he just called morons lol
what a douche …this guy is so far away from the reality of the average
citizen that he’s just foolishly blind …take 99.9% of his money and he
would still be in a better position the most ….
he is saying so many bullshit!!! You always need at least a small amount of
capital if you want to start a business…you don’t have to make a loan BUT
you must have small sums of money to start your business…that guy is
lucky, he doesn’t understand a thing about business…he had the chance to
sell before the internet bubble, that’s why he has 2 fucikng billion
dollars!!!!! Another thing, buyback share is great for shareholders,
because with the companies buying back their own shares, they create value
for shareholders BUT they help shareholders avoiding paying taxes on the
dividends..
Yeah don’t get your “work” fronted, always pay for it in cash then flip it!
Never get high on your own supply. Don’t be flashy and get out while you
still can, reinvest in legit business. Don’t work harder, work SMARTER.
You can’t build an economy around services. You actually have to produce a
product that people need and want!
I’m tired of the dot comers that think you can build a national economy on
selling content and entertainment. As it still leads the advertisers to
actually sell something anyways or else why pay for advertising slots when
nobody has the ability to buy it! Hell anybody with a brain see the economy
has shrunk in the last 7 years. And 2% is not growth. The damn cost of
energy to produce and transport eats that up. Just look at the cost of food
and fuel. It’s taken the biggest part of people’s budgets just to keep a
roof over their heads and eat. Never mind the old disposable income days.
There long gone and yet Wall Street is posting record highs like nothing’s
happened. It’s all smoke and mirrors and the end is closer then most think!
Is there a law against: 1. Making a prototype, putting it up on eBay, then
stopping the sale, to see how much someone will pay for it 2. Take orders,
after successfully advertising it 3. Manufacture it 4. Use Paypal, or
rented retail space to accept payment 5. Put that shit in your bank
account? Really?
I started my business on a shoe string buget and that means anyone can do
it.
Capitalist kill men who create the world. First create an unfair capitalist
led world and then take great pride in lecturing how to be successful in
business. I know a lot of scientist who are not rich financially and who’s
work has changed this world for good, but hey!, they could never invent
something if they had that capitalist brain.
I am trying to patent a product that I invented, This product works and
there is nothing on the market like it, I have used it for 5 years now.
The problem is the USPTO. the amount of information needed to file is
astronomical. The format must be exactly correct down to the last dot or
it is rejected. I entered one sheet with numbering at the center of each
paragraph and It was rejected because numbering must be to the side of each
paragraph. Their instructions are such that you must hire an patent
attorney whether you can afford one or not. I bet patent attorneys drew up
the forms needed to apply for a patent. I am about to give up.
Mark Cuban started his first bar business on a $15,000 loan.
I still don’t get it… How do I start a business with out money? Money
rules the roost… Yes there are risks involved but I can’t believe
this…. There are a millions who take a loan to start up an activity and
yes are successfull in paying up… How can somebody label people as MORONS
when they do something that is the only option..
If u need 40k or more to start a business that u are convinced on being
successful then save up for it
In most cases it will take an average person 2-3 years to save that money
up
Ha I wish this was the case what is this mans definition of a small
business? I respect and actually look up to Cuban what he has done is
amazing. No offense to this statement but some small business can cost
upwards of 300000+ especially if you are building your own building. My
moms business is a Gymnastics facility for example it’s a small business
and the initial cost was around 800,000. I would say to Mr Cuban that with
all due respect that capital was not available in any other form but a
loan. But guess what that’s the risk small businesses are willing to take
are all successful no but it’s the system and world we live in.
You guys saying you don’t have start up money…start building capital via
saving while working a regular full time job and part time jobs and even
low end businesses (e.g., selling roses on the street, t-shirts out of your
car, etc.). If you stay away from bad relationships, drugs, high rent, etc.
you’ll be able to save up several thousand dollars easy in a year. (I
earned 20k just selling all my no-longer-used CDs and books on amazon).
Keep working full and part time jobs and invest those several thousand in
the next tier businesses (e.g., flipping cars, ice cream vendor, food
truck, etc.). After another year, you’ll have 50k to 100k.
Next, you guessed it, invest that 50k to 100k in the next tier businesses.
It could be expanding one or more of your existing businesses (fleet of
food trucks) or buying a franchise store (Waffle house) or starting a
business from scratch (martial arts dojo).
So you can work and save up money instead of borrowing….PLUS, the
business skills you learn selling roses, t-shirts, etc. will help you at
the next tier.
Again, you have to live way under your means, stay away from bad
relationships, stay away from booze and drugs, etc.
BTW: The year after I got debt free, i saved more in one year than ten
years of donations to my 401k. The ONLY interest you should concern
yourself with is avoiding debt interest. Don’t worry about checking/saving
account interest, 401k interest…just get out of debt and watch money pour
into your life.
How do you start a business WITHOUT a loan?
The title is amazingly misleading. I thought a service like Bloomberg had
the journalistic principles to stay away from sensationalist headlines that
overshadow their content, especially since it referred to only a fraction
of what Cuban said or was questioned about.
Besides that statement, everything he said proved Cuban is actually
insightful, and the comment itself is true to the extent a good amount
(though i need to check the stats for this) of small firms fail not because
they didn’t have enough capital to pump into their business and exhausted
it all, it’s that their fundamentals were shaky and they were throwing
money into an endless pit, often financed by debt, where research into
their industry or field would have showed low probability of return.
Watch Bar Rescue (yeah yeah, “fake”, scripted, unrealistic in a lot of
aspects, “stopped reading right there) if you want to see owners chasing
their own tail until they drain themselves, and what kind of industry and
consumer research, inventiveness, 24/7 mindset and constant adaptability is
needed to get even a percentage of revenue increase- which may mean staying
above or below water, or getting just enough competitive edge. It’s all
about priorities; if one is a small business owner that thinks putting
hours of mental groundwork a week and rethinking how they operate it isn’t
worth a 5% revenue increase, but simultaneously thinks getting a loan will
set the foundation and the rest will work itself out, one is setting up to
fail.
Read “GET RICH IN MARITIME SHIPPING STOCKS” by Jerry Henrie at Amazon. You
can start with small sums, and if invested at the RIGT TIME make a fortune.
Everyone can come up with $400 to $500 to start.
Gee very clever Brogan. Now please explain how and when Cuban used his
wealth “TO DO” insider trading in the past (as opposed to “in the future”).
You can’t because you’re talking out of your ass. I guess by using his
wealth “TO DO” insider trading you’re saying he paid people off or are you
just talking in generalities.
If taking out a loan is for idiots how can small businesses buy fixed
assets such as a restaurant, or a bar? most investors won’t be willing to
go in on business that small especially if you don’t want to give up half
your equity what are some options for raising capital for a small business?
The fact is that lots of the Mega businesses around today were started by
people who borrowed from family and friends to get started. I personally
don’t have much use for Mr. Cuban…
Well there is a shit ton of morons then ..A regular American that has no
ties to government has been so victimized by big government and big corps
so bad that it has made the cost of living way too hard to keep money ..The
IRS can just go any where a person has a business, mostly white owners, and
steal the owners money at will while certain immigrants can get money to
open a store and pass it on 7 years later..
Then I guess just about every small business owner is a moron. How else
are you supposed to start a business when you got no money?
The reason it’s not an intelligent decision to take out a loan and the
reason Cuban called those people morons is because you don’t know if the
business will prosper. You’re basically risking filing for bankruptcy based
on your BELIEF on your business. Which isn’t smart because if you fail
that’s your whole life down the drain, gambling with your whole livelihood
is NEVER a smart move. So save enough money to start your small business
that’s the only intelligent decision you can do.
Mark Cuban’s a fucking moron who’s lost nearly 75% of his wealth in the
past 15 years. He made ONE good business move, which was purely a matter of
luck, and has been absolute shit ever since.