Did You Bootstrap Your Business?
Did You Bootstrap Your Business?
Bootstrapping is the process of building a business from scratch without attracting investment or with minimal external capital. It is a way to finance small businesses by purchasing and using resources at the owner’s expense, without sharing equity or borrowing huge sums of money from banks.
Bootstrapping is building a business without the help of outside capital.
The main reasons for taking bootstrapping as a business model are a lack of experience in formulating business plans, as well as a lack of skills for product promotion and relationships with suppliers.
Keep in mind the following recommendations: reinvest net profit to scale the business, a business idea (product/service) should solve someone’s problem, and attract a mentor or any person who is successful in that business and who will give good advice.
Overall it is ok to bootstrap, but unless you have deep pockets or your business takes off out of the gate you will need access to capital to grow your business. Also, you should be concerned about personal liability if you did not keep the formalities of the corporate entity.
At BizCreditPro we address these issues: We help the small business owner get access to capital that is not contingent upon the owner's personal credit history or guarantee. We help to reduce or eliminate the personal liability of the business owner who is carrying business debt on their credit. Learn more about what we offer: https://bizcreditprollc.com/demystify-business-financing/ or