{"id":4222,"date":"2017-10-10T14:12:31","date_gmt":"2017-10-10T18:12:31","guid":{"rendered":"https:\/\/www.insureyourcompany.com\/?p=4222"},"modified":"2017-10-10T14:12:31","modified_gmt":"2017-10-10T18:12:31","slug":"how-to-start-a-small-business-when-you-have-student-debt","status":"publish","type":"post","link":"https:\/\/insureyourcompany.com\/blog\/how-to-start-a-small-business-when-you-have-student-debt\/","title":{"rendered":"How to Start a Small Business When You Have Student Debt"},"content":{"rendered":"

Around\u00a070% of graduates<\/a>\u00a0leave school with some degree of student debt. With an average of\u00a0more than $37,000<\/a>\u00a0accepted as the norm for the Class of 2016, that’s not a debt that’s going to be paid off in the first couple of years in the workforce.<\/p>\n

If you’ve always dreamed of starting your own small business, but you’re struggling to get out from under the load of student loan debt, there’s hope! You can<\/em> start your company while carrying this burden\u2014you just need to be practical and scrappy.<\/p>\n

Start by Shifting Your Balances<\/h2>\n

Have you attended several colleges throughout the course of your education? Are you paying balances in several different locations? You can\u00a0consolidate your student loans and possibly reduce your monthly payments as a result.<\/p>\n

In some cases, you may also be able to embark on a program that will allow you to temporarily put off paying on your student loans while you get your small business off the ground. Keep in mind, however, that these programs won’t stop your student loan from accumulating interest, so it’s still critical that you take whatever steps you can to pay off those loans as soon as possible.<\/p>\n

Boost Your Savings<\/h2>\n

Starting your own small business is a financially risky proposition with or without debt. If you’re successful, you have the potential to significantly increase your personal income. On the other hand, times may be lean for a while when you first start the business.<\/p>\n

Before you jump in, make sure you have a savings account that will support you for at least\u00a0three to six months.\u00a0This is important before any major change in your income status, but it’s doubly important when you have student loan debt that you need to pay off.<\/p>\n

Live Lean<\/h2>\n

If you genuinely want to get started with your small business venture as soon as possible, be prepared to\u00a0live lean<\/a> for the first little while. Starting this process as you’re building your savings is a great way to test your personal commitment and make sure you’re willing to live within your means while you’re building your small business.<\/p>\n

This might include steps like:<\/p>\n