All the hullaballoo about venture capitalists and angel investors slinging money at high-tech companies can be discouraging for prospective entrepreneurs who don't have access to deep pockets. Is it really still possible in today's market to start a viable business on a shoestring?
Of course you can! Priscilla Y. Huff, iVillage.com's former resident expert on homebased business and author of several books, including 101 Best Home-Based Businesses for Women (Prima Publishing), says, "I talk to women every day who have started out on a shoestring and are now running all types of successful businesses."
Despite the general impression given by the media, most start-up businesses today are not multimillion-dollar, fast-track tech companies piloted by Silicon Valley 25-year-olds. According to the Department of Labor, approximately 898,000 new businesses with 500 or fewer employees were launched last year. Only 2 percent of those were high-tech ventures.
There is really no better time for people with big dreams and tiny savings accounts to start businesses. Affordable technology, easier access to free and low-cost information about entrepreneurship and (of course) the Internet have made it possible for almost anyone to start a business with almost any amount of money.
We've compiled information on the five hottest categories of low-cost start-ups and caught up with those entrepreneurs who actually made the leap with limited start-up capital. Now, set some money aside to launch your new business-and don't be surprised if you have a few dollars to spare.
Like this article? Get this issue right now on iPad, Nook or Kindle Fire.
This article was originally published in the August 2000 print edition of Entrepreneur with the headline: On a Shoestring.
The Biggest Business Challenge: Your Insecurity?