#Bootstrap builder business catalyst how to#
#Bootstrap builder business catalyst full#

Every single penny counts, so you’re not wasting time on stuff that doesn’t matter or you’ll go out of business.

Next, when you bootstrap you learn to be thrifty, creative, and efficient. Bootstrapping gives you the option to remain in control or try to make a profitable exit and the only person who you need to get onboard with your decision is you. Similarly, if you want to build a long-term business, perhaps one that you can pass down to future generations in your family, you don’t want to look at divvying up ownership and control to outside investors because they will expect a quick profitable exit – a completely different goal.

#Bootstrap builder business catalyst how to#

You will be forced to take into account how your investors want things done and, depending on the deal structure, may legally need their permission for decisions about how to manage and where to take your company. When you bring on VC investors, they take equity in your company and seats on your board and you are no longer the only leader at the table. If you want to be able to steer the ship based on your goals alone without being bogged down by principal and interest payments that may come due before you’re generating revenue, you have to maintain complete control.

#Bootstrap builder business catalyst full#

Therefore, just to make sure that any of you who won’t be raising VC cash don’t get distracted by the glitz of VC land, here are some of the benefits of bootstrapping that entrepreneurs should take full advantage of if they have the option.įirstly, bootstrapping is the only real way – with the exception of rewards crowdfunding – to maintain complete ownership and control of your business without taking on debt. Somehow over the years raising venture capital has become seen as a success in and of itself as opposed to another step on the journey to success, which means everyone wants to raise it, whether or not they should. However, for most of you entrepreneurs out there, you’ll just be spinning your wheels because the business you’re building is not suited for that type of investment. If you need a large sum of money in order to achieve the rapid growth that you know your company is capable of and can generate huge returns for an investor, by all means get your strategy together for raising VC money.

While raising outside investment from a venture capitalist or an angel may be the glitziest way to go, it’s not right for the vast majority of businesses. If you follow me at all, you know that I am a huge proponent of bootstrapping your business if at all possible.