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7 Ways to fund your business on a bootstrap budget

Business bootstrap fund

One of the most difficult tasks for an entrepreneur is funding. Most entrepreneurs find it difficult to source funds for their businesses and as a result they restricted when it comes to certain things.

While most entrepreneurs wallow in the fact that they cannot fund their businesses, there are lots of avenues to raise capital for your business which is why this article was written

Hi everyone my name is Timileyin and in this post i will be telling you ways to fund your business on a bootstrap budget. Read carefully and learn.

The first approach is to

GO MINIMALIST

When you are about to start your business, there are a number of things you will inevitably have to spend money on, things like fees for permit or fees to obtain your license, filling fees and so on. While making those expenses try and see which one you can be flexible with and take that opportunity.

When making expenses, think about them,  do you really need that equipment so badly that you have to get it or you can find a less expensive one that can still do the same job for you ?, should you really embark on that project or you can delay it or postpone it ?

The second approach is to

PARTNER UP

 

Partnership in business can go a very long way in determining the success of your business, running a business is good but running together with a team of people on a partnership basis is better. There are many reasons why this is a good thing to do but due to the context of this post, I’ll just be sharing a bit of why it’s important.

 

Partnership not only doubles your power, it also enables you to have access to new products and services as it relates to your existing target market.

 

Before entering into partnership with someone or a group of people, you should ensure that you do a background check on that individual or those individuals to ascertain that the person or people coming to be your partner or partners are a good fit for that role.

 

The third approach is to

 

APPLY FOR A SMALL BUSINESS GRANT

 

This approach involves you reaching out to state governments and private groups for grants as it regards to your business.

 

One thing to bear in mind is that to obtain that grant, you have to go through a very long and breath-taking process but while doing that also have it in mind that the end result is always worth the process.

The fourth approach is to

 

GET CROWDFUNDED

 

Crowd funding according to Wikipedia is the practice of funding a project or venture by raising small amounts of money from a large number of people, typically via the Internet.

 

As against peer-to-peer lending, crowd funding doesn’t require a payback but what it does is that the company or business that is in need of the crowd funding gives something in return to the people involved such as free products or services.

 

One of the popular ways to set up crowd funding is to go through this popular website “Kickstarter”. Kickstarter is the world’s biggest funding avenue for innovative projects business and so on. They deal with Music, art, theater, games, comics, design and so on.

 

If you are finding it difficult to go through this avenue, you can explore other options such as going for small business loans, venture capital investing, debt financing and so on.

 

The fifth thing to do is to

 

HAVE A PROPER BUSINESS PLAN

 

An excellent business plan can set your business on the way to the top especially when you don’t have enough funds to scale up your business on your own. Your business plan acts as a guide to what your business needs to achieve and also the allotted time for that to take place.

 

The sixth thing to do is to

 

REQUEST IMMEDIATE PAYMENTS

 

One powerful way to bootstrap your business is to ensure that all your customers pay immediately after purchases of any kind, this will make you have the available cash to always invest back into your business and also touch other areas you need to touch in your business so as to scale it up.

 

The seventh thing to do is to

 

KEEP AN EYE ON CASH FLOW

 

A business that is financially stable will most often than not experience growth irrespective of the amount of funds in the business. This is so because there are no unnecessary baggage and the popular quote that says slow but steady wins the race.

 

This is a very profound tactic to keep in mind

 

Read, practice and share

 

Regards

 

 

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