MBA is a glorious academic achievement for management professionals. It has become a standard or status quo in recent years. Due to its benefits and prestige element, MBA is one of the most sought-after higher education programs worldwide. That means, MBA's popularity and constant rise in demand make it one of the most expensive programs too. This is why a quality MBA that is cheap is nearly impossible to pinpoint. The average cost of an MBA exceeds 60,000$ (Source: Top MBA). This is why considering how to finance your MBA is of importance.

This higher pricing helps attract only the most serious learners. However, it can also become a huge financial burden for the learners. The recent economic disruptions due to war, pandemics, and geopolitical tensions are all causing financial problems for learners. Even in such conditions, there are several ways for MBA dreamers to fund their education. Some are well known and some are unpopular. Some options here have never been seriously considered by learners. This is why we are writing this article to help potential learners minimise this financial burden.

The funds needed for an MBA depend on the type, format, and the MBA provider. It also depends on the location of the business school. Online MBA programs generally cost less than traditional full-time MBA programs. There are also cost variations between different specialisations and types of the MBA. Further, if your MBA provider is located in a faraway city or even a different country, it can attract additional costs. In such cases, living expenses and travel costs can greatly increase MBA costs. Additionally, visa, and test fees for MBA entrance exams like GMAT, and GRE must also be considered. For a full cost analysis of international higher education, visit here.

Generally, those who have the time, finances, and opportunity should attend full-time business schools. This can provide them with a closer network and a campus experience among other benefits. However, many learners have commitments that need higher priority than a full-time MBA. People with disabilities, women in oppressive societies, and learners hindered by poverty are all such examples. One most overlooked group of learners would be senior professionals who need an MBA but are hindered by obligations such as family, jobs, or businesses. SNATIKA is the best solution for senior professionals for a UK MBA. We also have some of the funding options discussed below.

Here are 7 ways to fund your MBA dream

1. Use Scholarships

Scholarships come in many different formats. Several scholarships pay a predetermined amount, some look for talent and grades while some look for religious affiliation. Some check your financial status and some require you of an obligation in the future. Also, many scholarships require that you take a test and win higher ranks. There are several authorities, NGOs, and organisations that conduct these tests every year. Scholarships are also used as a means of talent acquisition, or marketing tool in many institutions. Whatever the reasons are, learners can take full advantage of such scholarships and tests in pursuit of their dream MBA. Here are some popular scholarship providers you must check out right now.

University

Many, if not most universities offer scholarships to learners that are talented and need financial help. MBA scholarships in particular are very common and give learners financial relief. These scholarships take away a big chunk from your fees. Check with your university or institution if there are any scholarships available. Certain things like your grades or international student status can have a say in scholarship prospects.

Along with that, there is a tug-o-war between many high ranking business schools to attract talent. If you are a better business student, many University scholarships are waiting for you. For example, there is an age-old rivalry between Harvard and Stanford to attract the best talents in the world. Scholarships are used as a means to attract these high performing learners.

Government

Recently, higher education is becoming more popular than ever. Governments have come to understand this. Hence, there are many scholarship schemes in different countries that help underprivileged learners to attend business schools. For example, the Indian government provides special scholarships to minorities, women, backwards classes, physically disabled learners, and high-performing learners. The UK government also provides scholarships through universities. Many scholarships are available exclusively for international learners and socio-economically challenged learners (Source: WemakeScholars).

Check with your local administration to see possible scholarship options that suit you.

Religious bodies

Many religious organisations provide scholarships to high-performing learners. Active religious members can consult their respective authorities to get information on such scholarship schemes.

NGO

Non-governmental organisations are another source of MBA scholarships. NGOs are offering scholarships to economically disadvantaged learners, women, and learners from backward classes, etc.

Adult education funds

Many countries like Finland offer adult education funds to learners. Check your country's adult education funds if you can earn a scholarship from there.

Companies

Corporations are also a source of general scholarships. These, however, depend on unique rules and criteria that are specific to the companies. Check online to identify the relevant scholarships (Source: India Today).

2. Save money to fund your MBA

Source: Kenny Eliason Unsplash

The best option among all is funding your education through your own money that you have saved through the years. If you are planning to do an MBA far in the future, you may start saving for the cause with a new bank account. If your MBA plan is to get admitted immediately, it is wiser to use the money from other funds. Individuals with aggressive savings or deeper financial understanding can make an educated decision and decide for themselves which one they should prefer.

Retirement fund

Retirement funds have a set of rules against early withdrawals. Withdrawing from these retirement funds without a solid reason can result in a 10% penalty! However, there are certain exemptions that are allowed. Attending a business school is an exemption from this rule, though you will face taxes on those funds (Source: IRS.gov). But with the ROI of an MBA, the learner can easily manage these taxes. Financial education plays a major role in saving money and using savings.

3. Take a Loan to finance your MBA

The next option would be to apply for loans. Banks, lenders, online lending platforms, or personal loans can all provide you with part of the cost of the program.

Education loan

Many bankers and lending platforms offer education loans at moderate interest rates. Check with your bank manager or lender to discuss the option (Source: Shiksha).

Federal loan

The government provided education loans are not uncommon in many countries! Student loan schemes are parts of many democracies like India. These loans depend on the country of the learner and the country of education if the learner is planning to do an international MBA.

Private loan

Personal or private loans are also an easy option, especially for professionals. Nowadays, there are many digital platforms like ZestMoney that are offering personal loans to working professionals. If you have a great credit score, you can easily avail these loans without much ado. Convenient EMI options take away the financial burden from the learner's shoulders.

4. Use EMI/Instalment option to make MBA affordable

Currently, several universities and MBA providers have the option of paying the fee in monthly instalments. SNATIKA is one such online MBA provider. The MBA is awarded by the UK University. However, SNATIKA is designed only for senior management professionals. If you have no managerial experience, you will have to choose other MBA providers. Check the website of your university of choice to see if they have an instalment option. This can take away the huge financial burden. With monthly instalments, the fee payment can become considerably easier and affordable to many.

5. Ask your Company to sponsor your MBA

Several companies like Deloitte, Apple, and Intel sponsor higher education dreams (Source: Investopedia). Modern companies recognize the benefits of upskilling their loyal workforce and hence, there is already an increase in company sponsorships for education. However, keep in mind that all such sponsorships come with some strings attached. After completing your program, you will be required or expected to work with the same company for several years. 

It would be wise to talk to your manager or HR about prospects in the company after your MBA completion. Also, if you are considering taking a sabbatical from working, discuss the reimbursements after you bring your new sets of MBA skills to the table.

Sponsorships vary from company to company. A few companies let you take a sabbatical from your work while others only sponsor you for a weekend executive MBA. Some companies sponsor Part of your MBA program fees while others sponsor all of your MBA fees. The exact percentage of sponsorship depends on your company. Online MBA programs offer all the flexibility to professionals. With an online MBA, you can keep your job and pursue the MBA in your free time. SNATIKA MBA requires only a couple of hours' effort on the learner's part. This is why such programs are invaluable to senior professionals. At any rate, company sponsorships can significantly cut MBA fees.

6. Raise money on Crowd funding sites

Crowd funding has become a popular medium to raise funds for virtually any cause. Websites like gofundme and Patreon can all be used for fundraising. If all other options are exhausted, crowd funding can help you. With a simple online account on such sites, you can ask your family, friends, colleagues, or network to fund your MBA. If you have a large social media following, you may leverage it to raise money for the program.

7. Pursue an MBA while working

MBA for working professionals can be less about funding than about time. Most full-time MBA programs involve you with internships or industry experience to adapt you to real-world challenges. These internships can provide additional funding that a learner can use. However, a part-time or full-time job would be the better solution for professionals.

Part-time jobs

With the advent of digitalization, professionals can use freelancing or contract-based jobs online for additional funding. Additionally, they may take working from home and flexible working hours that complement the MBA education.

Full-time jobs

MBA while working was a dream until executive MBA was introduced. If you have 9 years of experience, you may earn an MBA while attending weekend classes. These would take more than two years to complete in some cases. But, with recent educational reforms, many universities are offering 1 or 2-year eMBA programs to managers. If you are lucky enough to have over 9 years of management experience, you should consider the eMBA programs. However, not all managers have such long experience. This has made many professionals indefinitely postpone their MBA dream into the future.

This is where online MBA programs become the best solution. Some popular online MBA programs like SNATIKA MBA let their learners pursue both their MBA and career goals simultaneously. Moreover, the program is only 12 months long which saves a year of professionals' precious time. Again, SNATIKA MBA is awarded by the University of West London, UK, making it one of the most prestigious MBA programs. Experience requirement is also not as rigid as an eMBA. For graduate management professionals, the experience is just 2 years while the same is expected to be 5 years for non-graduate managers.

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Conclusion

In conclusion, the MBA can be funded in many ways. Apart from full payment in cash, MBA dreamers can use scholarships and government funds. Many companies sponsor their employees but expect you to work in return for the favour. You can use the money you have saved and leverage it with the highest salary an MBA brings. Using a retirement fund is also an option though you face taxes on the money. Then, you can use the instalment option from your MBA provider. As a last resort, you can use education loans, personal loans, or even crowd funding to raise the money!

Finally, online MBA programs like the SNATIKA MBA can relieve you if you are a senior professional. Executive MBA programs and online MBA programs give professionals flexibility in learning. A learner can use one or a combination of all these funding options to easily afford even an expensive international MBA! Using several of these options will be better and easier for those with financial education.

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