There’s some truth in the old adage – ‘You’ve got to spend money to make money’. But what happens if you’ve got nothing to start with?
Not having any cash doesn’t have to stand in the way of your goal to start a business, but you might have to go about things a little differently. Here are our top tips for starting a business with minimal money.
Do what you know
With a bootstrapped business, you’re going to need to hit the ground running, so it’s best to work your new company around what you know you’re good at. Your time and resources are precious at this vital stage, so it may be wiser to put them into supporting your talents, rather than learning a new one.
That doesn’t mean you have to give up on your dreams of re-training or entering a new field entirely – you can always use this enterprise to build up the funds to start your perfect business.
When money is tight, paying outsiders to run vital parts of your business can work out to be expensive, so where possible, do what you can yourself until you can afford to bring in the experts. This could mean learning the basics of marketing and social media, or doing your own books for a while. Check out our blog post to work out if your start-up needs an accountant, or if you can wing it yourself.
Don’t give up your day job just yet
Until you’re earning enough to make your side-hustle your main hustle, you’re going to have to pay the bills somehow. You may hate the grind, but it’s a valuable safety net, and if all goes well, it won’t be long before you can write that resignation letter.
Nail your business plan
Having a watertight business plan before you start can save you so many headaches further down the line. Accurate forecasts can help you work out where you need to re-invest, and are also essential if you want to eventually secure funding from an outside source.
It can be tempting to go gung ho when you’re enthusiastic about getting stuck in to a new business, but by starting small, you can keep your costs low. Being able to grow organically by re-investing profits will also let you see what works and what doesn’t without making costly mistakes.
Use all the free resources you can
In this digital age, we now have access to a wealth of free resources right at our fingertips, so make the most of them!
There’s advice to be had from the likes of the British Chamber of Commerce, or the Department for International Trade, as well as video tips and guides on every aspect of business on YouTube. And for the practical side of running a business, there are tools and programmes a-plenty to help, from Google’s email service, to social media scheduling tools like Buffer or Hootsuite.
We love helping start-ups to grow and can offer bespoke advice, no matter what your size. Get in touch today to find out more.