Business Bootstrapping Rule Number 9: Be Driven

You should put a big difference between a bootstrapped business and a funded business. While funded business rely its success to the available fund, the bootstrap business is more on the drive and the determination. In bootstrapping, every details of the work should be considered. That is getting things done that doing things right. The rule is, you should always get things done for it is better than to get it perfect.

Successful bootstrappers are reckless and driven. You do not need to be as genius as Einstein to keep things going. You should not be super bright to become a successful bootstrap entrepreneur. If you are driven and determined with your business dream, you may find your business better than the funded counterpart of your business.

Business Bootstrapping Rule Number 8: Find a Mentor

Bootstrapping might be a solo flight business but you should not be alone in doing that. You have to seek help from people around you which has the same interest as yours. That means, if you are an entrepreneur, you must surround yourself with entrepreneurs also. If ever possible, you should surround yourself with people who are successful with bootstrapping business.

Being successful in the business cannot be transferred by simple word of mouth. Oftentimes, successful people won’t tell you what it is that makes them special. However, if you stay in a group of successful people, you will eventually learn from them through their actions. Action speaks louder than words still apply. Observing them while having a negotiating sessions, or just staying in the same room with them is a great learning experience for you. This will give you a unique piece of thought which cannot be read in a book.

Business Bootstrapping Rule Number 6: Pay Attention to Every Small Details

In bootstrapping business, you must keep in mind that every little things matter. You must manage your business in such a way that every small detail has been covered. Micromanaging your business will bring your bootstrapping journey to success.

Do not underestimate small details in your business. Just because it is small doesn’t mean you should not invest your time on it. Most often than not, the littlest details will bring big chaos to your bootstrapped business. Do not be blinded by the idea that little things can’t cause damage; sometimes blind trust is a luxury that startups can ill afford.

You must understand your business inside and out. Work out not only on the visible aspects but also with every small detail of the operation. This will give you much better operational control. In most cases, there is always a direct interaction between your decision and our revenue. Understanding even the small details that comprises this relationship will help your business to get even.

Business Bootstrapping Rule Number 4: Keep your Vision Intact

Bootstrappers don’t have a business plan where they can refer and follow for their business path. This is in contrast to what have been taught by academicians regarding the important role of business plan for your business success. In fact, generating a business plan is just a luxury for some bootstrappers.

The most important thing that should be considered when you are into bootstrapping is to have a constant need to keep your options open. You should have that relentless drive for revenues. Keep your peripheral vision intact and always keep an eye to every opportunity that may come along the way.

At the start up of a bootstrap business, bootstrappers have a little accountability for their actions. What they are after is to prove that they have a viable concept in a viable market. The highlight of this rule is to keep revenues come first before anything else.

Starting business at Zero

If you ever dreamed of starting a small business, the first thing that comes into your mind is money. This is not only limited to how much profit you may get but how much money you need for the start up. Starting a business is not all about money. You might be hesitant to start a business because you either do not have a lot of capital to start with, or you simply do not feel like putting at risk the small amount of money you have for a business. Either way, it is the reality faced by anybody who wants to start a business. I simply cannot blame you for thinking that way because that it is the reality.

However, you should not always settle yourself for less if you can have more. It is very much understandable if you don’t want to risk your own money but you must overcome the fear of risking. Just a little bit of change in the way you manage your business and you will surely survive with bootstrapping.

It is possible that bootstrapper can also do what many business people do without the need of putting thousands and millions of dollars at risk. You don’t need a lot of money to start a business, what matters most is you have a good business education and sources. If you don’t have this yet, you can take advices from business expert people. You just need to equip yourself with the necessary knowledge and you will surely bootstrap your way to success. Success in business is not about money, it is about taking the opportunities to learn and educate yourself.

Bootstrapping Benefits Part 2

Some entrepreneur treated Bootstrapping as an alternative, while others take it as a necessity. Whatever is the reason why an entrepreneur landed on bootstrapping, there are always benefits encrypted when you bootstrap a business.

1. Speed

To acquire a business financing, there’s a need to prepare a lot of paperworks. Aside from that, you will be scrutinized by your lenders and you will undergo a lot of interviews and discussions. Raising of capital may take three to six months. If you are into bootstrapping, you can use that three to six months generating an income to your business instead. You don’t need to spend that much time to start your business operation. In bootstrapping, you can start anytime you want.

2. Flexibility

There’s no need for you to please any investors. You can directly implement your plans at anytime. You can apply different approach which you think is convenient for your business. You can drive your business easily and in full control.

3. Efficiency

Because you are using your own money, you tend to spend it wisely. Bootstrapper are often spending their money in a disciplined manner, expenses are being tracked carefully and money are being used in an efficient tactics

Bootstrapping is not purely pain and sacrifice. There’s no reason for bootstrapper to self-pity because they can actually operate like any other normal businesses.

Recession Can Also Be Good…

Reading the title alone would really raise eyebrows of a lot of people.

What? Recession can also be good? Are you insane?

Those are just some of the over acting responses I get when I asked a few friends during dinner.  As you can see — “Recession Can Also Be Good…” — the triple dots there indicates there’s a supporting statement to that but my friends reacted outright the moment I uttered those 5 magic words.

Well guys, recession can also be good to us if we see things in a positive perspective. Here are four reasons why:

1. Expenses Fall
2. Angel funds haven’t shut down
3. Tough times weed out weak competition
4. Certain markets can be recession proof

Still not convinced? Why not read the detailed explanation of these 4  good things written by Mark Miller. Check it here.

Bootstrapping: Self-Generating or Self-Sustaining Process

There is one inspiring article from SEOBook.com which laid down the reasons of advantages of being small. And one of the reason that made it possible is bootstrapping.

Bootstrapping means a self-generating or self-sustaining process.

In terms of business, that means that growth is funded from – and remains in line with – revenue. Possibly one of the most successful recent examples of bootstrapping is the Wikipedia Foundation.

Take a look at Wikipedia’s recent financial report.

Wikipedia have few employees. Many of those employees were brought in relatively recently, and only as the project scaled up. The Wikipedia Foundation reports $3.5 million in costs, and has a turnover of over $7 million.

A bootstrapping approach to SEO/SEM might be to focus on revenue. Pay only for those clicks that make you money, and quickly cut the losers. Once you know which keywords make you money, THEN start your SEO campaign, focusing only on these terms. Repeat and scale up.

Understand that Cash is King!

Do you understand that Cash is King? Do We Really Understand It? Enough for the pretensions guys that someday may lead our business to closed doors.

I saw a startup with oceanfront real estate, great office, lots of space go out of business the other day. They had a great product and looked like a great company but then shut their doors. We on the other hand run our business out of a 3 bedroom apt, rent is $1000 a month, we have 3 employees, and are doing great. A nice office and furniture is a reward for success not a reward for starting. Most companies spend a couple years figuring out their business model. The key is not to figure it out quicker, but keep the company alive long enough to figure it out which is through cash management.

The above is quoted from Jimmy Hendricks’ blog which I think will help prove to my fellow bootstrapper that there are always the shining rays of success for our business in bootstrapping.

Source: The Founder of CollarFreeDot.Com – Jimmy Hendricks.

Meet Shelly Hart, Founder of Go-Girl

Today, I am featuring a successful bootstrapper, Shelly Hart.  Actually she was featured in Startup Princess website and below is quoted from Startup Princess.

Everyone is busy these days and looking your best on the go isn’t always easy. No one understands that more than this featured Startup Princess! That’s why Shelly Hart, event planner-turned-entrepreneur, created a company to help everyone look polished even “on the go.” Using her savings Shelly founded Go-Girl which provides “on the go beauty products for the diva in all of us.” The first product offered by Go-Girl is the Lint-On-The-Go-Sheets.

Use these compact, easy to carry sheets to remove lint, hair, dog hair, etc. from your clothes loved by celebrities, professionals, and moms. The Lint-On-The-Go-Sheets are disposable so it makes lint removal on the go super easy! Go-Girl also offers a product called Chic which is double sided apparel tape. Use it to fix a fallen hem, showing bra strap or loose button-whatever you need. She even offers private label for her products for companies who want to add their logo/image onto her style savvy products

Shelly has ideas up her sleeve for a few more products in the near future. Her overwhelming response to the first two products offered by Go-Girl has encouraged Shelly to continue offering new beauty on the go products. Because she is bootstrapping her startup company adding new products doesn’t happen as quickly as she’d like, but she has only been in business for one year and her products are already available all over the United States, Canada and Dubai! Way to inspire us, Shelly!