How to Bootstrap your Business to Success
You might be surprised to learn that most start-up businesses begin without funding from venture capitalists or angel investors. In other words, if you are an entrepreneur, you should be prepared to get out your wallet! Below are a few tips on how to bootstrap your start-up to the top:
- When you are relying on personal funding to start your business, it is imperative that your company generates revenue quickly. Most businesses require a constant influx of cash to survive and your personal reserves will run out quicker than you think.
- Start-up companies are popular and it is important to create some “buzz” about your business. Don’t be afraid to serve as your own marketing and public relations officer in the beginning. Take advantage of social media, but remember that word of mouth is your best form of advertising. Create ways for your initial customers to spread the word. For example, offer coupons or discounts for bringing a friend or randomly select winners of prizes.
- Grow your website as your business grows. In other words, your website is very important, but don’t dump all of your seed money into creating a fantastic website and have nothing left to actually operate your company.
- Abide by your budget as much as possible. When you are starting out, your business will fly through the money, but you must keep track of every penny spent. Negligent or lazy accounting can get you into big trouble. Additionally, you should be prepared to cut-back on your personal expenses as well. Until your start-up is profitable, you will need to be strict with your spending.
- When possible, handle it yourself. This means that you should be prepared to wear a wide variety of hats until you can afford to hire employees. This can obviously be exhausting, but it will be worth it when your business is a huge success.
- Stay focused. You should expect some rejection, but don’t let it get you down. You will undoubtedly encounter obstacles along the way, but determination and persistence will prevail.
It is not easy to bootstrap a new business, but it can be done. If you are starting a new business, let us help you comply with all the various applicable laws, regulations and rules. The attorneys at Nielsen Law Group can help with all business formation matters. You can schedule your initial consultation by calling (480) 888-7111 or submitting a web request here.