Undercapitalization is one of the most common reasons a company fails. Have successful businesses been started with $5,000 or less? Sure. But don't drink the Kool Aid. Lesson #1: it usually takes a lot more than $5,000 to get a business going and to sustain it long enough to reach break-even. In your case, just think of it this way: any salesman worth his salt is unlikely to work for less than $5,000/month...

Lesson #2: at the age of 24, if you don't have even $5,000 worth of savings that you can afford to blow and need to borrow that amount from family, you should probably take a step back and think long and hard about your financial priorities. Depending on your location and your education and/or skills, you can probably earn $5,000/month, if not substantially more, working for someone else. Yeah, that's not as cool as starting a business, but opportunity costs are greatest at your age. What's really not cool: wasting away your twenties and having nothing to show for your efforts once you hit 30. Sure, everybody in StartupVille is always one venture away from a big exit or a $100,000/month business, but when you go to conferences and meetups and see thirty-somethings who have no net worth because they've been swinging for the fences since they were 20, it isn't pretty. Bottom line: at your age, in the absence of substantial existing savings or alternate sources of income (a trust fund, etc.), working on anything that requires you to "work for free" for any length of time is likely to be really, really harmful to your finances in the long run.