No Cash? Start your Business Anyway

Aug 21, 2010

Just a like marriage, starting a business with no cash can wreck havoc. It is the greatest stress experienced by business owners starting out. The fact is, a business generally won’t meet investment criteria until a later into development.

What are your options? How do you get around those cash issues when funds aren’t available? You can bootstrap, and here’s how to do it:

1. Development or Technology Costs
The power of technology is a vital asset for every business; and it’s no wonder financing this is a common challenge. A technology partner can help alot in this arena. Many developers will work part time, for a small percentage of equity (typically under 10%).

2. DIY Marketing
Try starting with the Internet, it’s fast and cost effective. Blogs get great SEO, and products to get to market fast. I recommend a flexible theme, like Headway Themes. Benefits of premium themes include built in SEO, along with a visual editor.  DIY Marketing requires little cash to get started, only an investment of your time.  The best benefit here is, with a marketing channel and plan in action you become much more attractive to investors.

Community involvement is important as well. Get your name out there, and present your company professionally. Maintain a small stock of business cards and marketing collateral at all times.

More importantly, you can reduce an investor’s risk substantially by cutting these costs. So start your business, with or without cash.