Advantages to Bootstrapping Your Business
Many of us are looking for more money for our businesses. We know that a little more money can make a big difference down the road. However, many startups find themselves bootstrapping.
The need for bootstrapping your business can be disappointing, but it is a common occurrence. Luckily, it doesn’t mean the end of the world for your business. In fact, there is a lot you can learn from bootstrapping your business.
One of the biggest advantages to bootstrapping your business is that you are forced to get creative with what you do. Because you can’t rely on the ability to throw money at a team, you have to be creative about how you proceed.
The good news is that there are creative and crowdsourced ways to build a team — at least a team that will do for now — without spending a lot of money. Places like 99designs, Fiverr, and freelance marketplaces can help you find what you need at a relatively low price.
You might also need to get creative about the way you use social media, run your company, and offer perks while you are bootstrapping your business. Bootstrapping forces you to think outside the box, and in the long run that can be good for your startup.
Learn the Ropes
When I first started my business, I couldn’t afford an accountant. I also couldn’t afford to pay someone to manage my social media. That forced me to learn the basics of a lot of different jobs. I had to learn a little bit about SEO, accounting, social media, and more in order to succeed.
The same is true when you are bootstrapping your business. You have to practice sales, supply chain management, invoicing, bookkeeping, and more when you are the only person. Eventually, you will want to hire people who specialize in different areas and who can free you up to do what you do best.
It can be valuable to learn these different skills. Even if you don’t have to do everything yourself anymore, need your advantage to understand the different processes. Bootstrapping your business gives you that chance.
Build a Solid Financial Foundation
Bootstrapping your business also allows you to build a solid financial foundation. You learn how to manage your money carefully and learn how to run your business efficiently. There’s a lot to be said for being forced to be frugal with your business.
It’s true that you need to spend money to make money. But when you’re strapped for cash and making important business decisions, the fact that you need to figure out what really matters to your business can help you learn to prioritize. You quickly learn what is a true need and what you just want.
As your business grows and as become successful, you will be able to expand and spend more money and scale of your business even more. But starting out by bootstrapping can lay the solid foundation for even greater success down the road because you will have had to work harder and be more creative to get your foot in the door.