6 Money-Saving Tips for Cash-Strapped Young 'Treps
Business consultant Joshua Medcalf shares his advice for launching a business on a shoestring budget.
By Joshua Medcalf •
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Q: How do I work up the courage to start my own business when I have a very minimal budget? What are your low-cost startup tips?
- Paul Murray
Brookhaven, Penn.
A: I've started companies with funding and without -- and I can now say I prefer launching without.
By starting with little or no cash, you are forced to focus on the two most important things: Helping people by meeting a real need, and creating cash flow. If you're funded when you launch, you're more likely to push those two facets to the backburner.
Here are six tips to help you get your bootstrapped startup off the ground:
1. Work your way up. Many of the top brands didn't start with big funding. They started with a big idea that was executed and evolved overtime. It's easy to look at the big guys and think you need everything they have to be successful, but they didn't fall at the top of the mountain, they climbed there -- and can you too.
Related: Are Your Eyes Bigger Than Your Budget? 3 Tips to Rein in Your Startup Costs
2. Think smaller. Many people are obsessed with big ideas and don't understand the value in doing all the small things really well. Fall in love with small opportunities, and treat them as though they were big opportunities. Your customers will love you for it.
Related: Stop Searching for "The Next Big Thing:' Tips for Building the Best Business for You
3. Build an inner circle of wisdom. It's important to actively seek out trusted mentors. There are going to be many times when you need wisdom on speed dial. You need people in your corner who know what it takes to build a successful company. Also, YouTube has interviews with tons of successful entrepreneurs you can learn from for free.
Related: 4 Inspiring TED Talks for Young Treps
4. Read a lot more. You can learn so much and avoid the mistakes of those who have come before you if you make a commitment to reading. I've tricked a lot of people into thinking I'm brilliant by simply committing to reading as much I can. You are never wasting time sharpening your mind.
5. Have a growth mindset. Forget about proving yourself or your idea. Focus on learning and growing everyday. Believe that everything that happens to you is in your best interest. Rather than asking, "Why is this happening to me?" Ask, "How can I learn from this experience, and how can I grow?"
6. Learn to master free tools. It's time to hustle hard. Utilize social networks like Twitter, Facebook, LinkedIn and Instagram to build buzz around your brand.
Related: 4 Tips for Using Pinterest to Market Your Startup
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