Published on December 19th, 2017 | by Jose Vasquez0
How to Launch a Startup for a Few Hundred Dollars
If you’ve ever wanted to launch a business, but have held back because of money, this is the article for you.
Have you ever wanted to start your own business? If you’re like millions of Americans, you think about starting one several times a week. You might want the increased autonomy, the greater flexibility, or the pursuit of wealth—but in any case, if you don’t have much capital to fund the business, you can easily talk yourself out of the possibility. After all, the average startup costs about $30,000, and most people don’t have that kind of cash lying around.
Fortunately, there are several types of businesses that you can start for only a few hundred dollars—and they’re far more common than you think. So how can you start a business with such a minimal investment?
Choose the Right Model
First, you need to choose a model that allows you to start with minimal overhead. For example, launching a manufacturing business is a bad idea because you’d first need to invest hundreds of thousands of dollars in equipment. Instead, you could choose a small personal business, like blogging, preparing food, or walking dogs, or you could act as a reseller for other goods and services (possibly utilizing drop shipping or white labeling).
Eliminate Your Biggest Costs
Once you’ve decided on the right model, you can reduce your overhead even further by eliminating whatever costs you can. You can start by operating from home; this should save you several thousand dollars a month in rent and utility costs. Plus, if you work by yourself at the beginning, you won’t have to pay for others’ salaries (another major expense).
Finally, commit yourself to bootstrapping the project. Essentially, you’ll focus on generating revenue as early as possible, and as soon as that revenue comes in, you’ll reinvest it in the business, slowly growing your core business until it’s big enough to stabilize and become self-sustaining. Bootstrapping is tough, but doable.
Though your options may be limited with a low-cost business model, it is possible to become an entrepreneur for just a few hundred dollars. If you need help getting your idea off the ground, make sure to contact me and set up a free consultation today!