Source | LinkedIn | John Boitnott | See my work at jboitnott.com – Writer at Entrepreneur Media, Inc.com and Readwrite.com
When starting a business, it’s typical to look for venture capital, angel investors, and even co-founders to help get the company up and running. While funding is necessary for almost all businesses, seeking it out yourself isn’t necessarily the right path for everyone. Instead, knowing how to bootstrap your startup might be a better option.
How to Bootstrap Your Startup
When you bootstrap your startup, you retain full control of the new business. You don’t have to worry about securing and keeping funders happy. If bootstrapping is right for your small business, the following tips can help you through the process.
Get Creative With Startup Funds
It takes money – sometimes a lot of money – to start any business. So, your initial funding has to come from somewhere. But that doesn’t mean that you need to give away equity in your business or seek out external funding. During the early stages of your business, it’s possible to rely on credit cards and the personal savings of startup founders as you get things up and running.
When launching a bootstrapped startup, you may need to get creative. Design your business model so that you can quickly start selling services or products to establish cash flow. Taking the time to write up a detailed business plan outlining all of your expenses can help you better envision the expenses that will be involved, as well as the time it may take to pay off those credit cards.