By Terry Corbell
The Biz Coach
When there’s No Cash, 8 Tips to Organically Grow Your Business
If you’re a would-be entrepreneur in this economy, it probably makes sense for you to organically grow your startup. You probably don’t have another choice.
In other words, assuming you don’t have an angel investor or you’re not independently wealthy, or able to purchase an expensive franchise, bootstrapping is your likely option.
Further, bank funds aren’t available. Even if a bank would loan you the cash, it would be inadvisable to finance your operations with a bank loan.
So how can you grow your startup? Pull your business up by the proverbial bootstraps. Operate as affordably as possible as you strive to get ahead without help from others.
To grow organically, here are eight strategies:
- Consider a business that’s inexpensive to start and operate. For example, a restaurant is more expensive than other businesses to launch. That probably might means starting a home-based business. You’d have a short commute and would save on overhead.
- Do a SWOT analysis to assess your strengths, weaknesses, opportunities and threats. Focus on the easy-to-pick fruit for a fast start.
- Review your personal finances to see your liquid options for startup capital. But don’t tap into your credit cards or home equity.
- Manage your cash flow. Control your expenses. Evaluate even the smallest of costs. Ask if you need each item to be productive.
- Keep your day job. If you can, start your company on a daily part-time basis. Keep your job until your company is making enough to support your salary.
- Look for trade-out opportunities. If you’re able to trade for products and services, you’ll conserve assets.
- Half or more of expenses of all business expenses are usually in human resources. Recruit freelance workers to save on benefits and salaries. But beware of the federal and your state’s approach on employment laws. Typically, a person can’t be an independent contractor if you’re managing their work and they use your equipment.
- Become savvy in public relations and the use of social media. Here are 10 best marketing tips for growth even on a tight budget.
You might be interested in more advice on taking an entrepreneurial leap.
From the Coach’s Corner, here are additional resource links:
- Checklist to Increase Your Startup’s Cash Flow
- Startup Financial Planning: How to Get a Pragmatic Forecast
- 11 Sales Strategies to Outsell Your Big Competitors
“I have not failed. I’ve just found 10,000 ways that won’t work.”
Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.