Despite the economic climate, you’ve still got dreams for the future. If those dreams include starting your own business or taking out a loan to consolidate your personal debt, you might find it hard to stay optimistic when banks deny application after application. How can you raise the money to make your plans a reality? Here is a small list of often overlooked resources that could mean the difference between financial success and unrealized dreams.

Your Inner Circle

It can be humiliating to borrow from friends and relatives, but sometimes there’s no other choice. If you do ask them for money to fund your venture, keep things professional. Draw up a business or debt reduction plan just like you would for a bank loan. Tell them how you plan to be successful, and why they’re making the right choice by lending you money. Then come up with a detailed repayment plan that you both approve of. You’ll be surprised how much funding you can get from your friends and family when you show them that you take the endeavor very seriously.

Credit Unions

Credit unions operate on the principle that account holders are members who own a share of the business. That usually garners better customer service and more reasonable terms on loans. If you belong to a credit union, go to them before you hit up a regular bank for money. Chances are, you’ll get approved more easily and with more generous repayment terms. 

Credit Cards

It’s not ideal, but you can fund your business with credit cards. Just factor the interest payments into your costs, and be aware that interest rates can fluctuate with little warning. Look for cards that reward you for purchases you’d be making anyway. Some give you cash back when you purchase certain types of goods or services.

Social Lending Sites

Social lending sites like prosper.com facilitate direct person-to-person lending. If you’ve got good credit, you can go and apply for a three-year loan at a low interest rate. Lenders will then bid on your loan. You can select the lender you want to go with, and the funds are directly deposited into your account. Automated monthly payments ensure that you don’t fall behind in the repayment phase. 

The Government

There are grants and loans available to small business owners. The problem is that some of them require you to live in certain geographical locations, while others lend only very small amounts of money. If you’re hard-pressed to find funding, though, government assistance is worth checking into. Go to grants.gov for more information.

When banks shut their doors and leave you out in the cold, it’s time to get creative and persistent. Use this list as a starting point when it’s time to decide how to fund your small business venture or consolidate your debt.