Recently I was asked by a wannabe entrepreneur how to raise money for his upcoming venture. He has all the skill set but requires money for capital expenses and monthly working capital. The upside is that he has a ready client who is promising a continuous flow of work. This is an excellent situation to be in if one is sure of the client and the business flow. Money automatically follows.

I asked him if he could ask his client to give him some advance to fund his small capital investment. My question may have scared my correspondent since he didn't come back.

Then I remembered the words of wisdom from N.R. Narayana Murthy, chief mentor, Infosys Technologies, who advises that we get an assurance from our clients pay us enough money to run our monthly show.

My correspondent was in a better position. His potential client believes he can deliver based on his personal skills and ability. The best thing to do in such cases is to go back to the client and explain your situation. Since the client knows you are new and are a wannabe entrepreneur he may come forward with an offer to help you. Give it a try.