Bootstrapping Business Back In The Day And Today

The owners of any beginning small business know the meaning of bootstrapping businesses; keep every penny, hold on to each dollar, and in general, save until the revenue is consistently flowing in. In this way you don’t have to worry about debt as you try and get your bootstrapped business off the ground; you can focus on revenue increasing tasks.  The following are some things you may want to consider when creating your bootstrap business plan. 

Almost all of us know that starting a small business can be fun, exciting and thrilling, however it can also be downright scary. The owners of any beginning small business know the meaning of bootstrapping; keep every penny, hold on to each dollar, and in general, save until the revenue is consistently flowing in. 

In this way you don’t have to worry about debt as you try and get your business off the ground; you can focus on revenue increasing tasks. The following are some things you may want to consider when creating your business plan. First of all, don't start big. It's ironic that the lean startup's best businesses did not spend a fortune in franchise fees, hire a huge staff, or even start with venture capital funds. They began small; a small business owner understanding a need, filling that need, and slowly adding products, services and people. Web businesses are obviously an ideal small business, but there are plenty of others that you can also do from home. Going hand in hand with keeping it small is starting out with your own money. 

Don’t even think about getting money from others before you manage sale number one. If you are an entrepreneur confident in your product or service, you need to take a chance on yourself with your own money. In fact, this can naturally force you to pay attention to your spending, and help you make better informed decisions. 

Another interesting tidbit is to not quit your day job immediately. Start out part-time in your new business and ensure that you know the market and the opportunity. As your small business proves fruitful and shows promise then you can take the leap to a full-time job. This provides a money cushion for you with proper frugal finance, thereby lowering your stress level. Start on your own, and outsource later. While outsourcing labor may prove a much easier time for you as a small business owner, it will also add additional costs that you may not yet have the money to pay for. Benefit outsourcing through professional employer organizations, however, is another matter. 

While you are only a one person business, being able to bask in the shade of the umbrella of benefits can really have an impact on the personal aspects of your life, such as insurance. Talk to other small business owners. You don't have all the ideas, you don't know everything, but someone else has been through it before - speak with additional small business owners in your area, listen and learn. Ask about their experiences with different services and companies. This is especially true for top new companies in China and India since they have massive lead potential.

Obviously these tips are not just for the new small bootstrap business startup. We believe that these are recommendations to be used by all businesses, being efficient is always a good thing. Small businesses that are survivors don't stay small businesses for long. 

History Of Bootstrapping Business 

Often, service-oriented businesses can bootstrap themselves to success. Bootstrapping is a policy of reinvesting all the money a company earns into the growth of that company. The owner may not draw a salary for awhile. It is truly a process that can take 3 or 4 years. At the end of that time, the owner has a debt-free business and recovers his recovers their unpaid time from the profits the business now earns. Over the years, I have developed about a dozen businesses using a bootstapping strategy. 

Here's an example of how to bootstrap a business. My wife is a veterinarian. In 1980, she was asked to vaccinate several dogs at the owner's home. She spent $25 and bought the vaccines. She did the house call. She took the money she made and invested it into more supplies. She did more house calls and kept doing them. In 1985, she had enough house call clients to buy a building and convert it into a veterinary hospital. The practice continued to grow. 

Today, she co-owns one of the largest veterinary hospital businesses in the Egypt area. From 1980-1983, she didn't draw a salary. I think anyone who intends to build a multinational corporation needs to bootstrap a business to success. It teaches them the importance of wisely reinvesting profits into the growth of a company. Without this lesson, public company officers believe they have a right to live off the risk capital of their investors. 

Too many public companies lose money because management insists upon excessive salaries. You won't get rich by paying yourself an excessive salary. Your excessive salary often leads to the bankruptcy of the company. You'll get rich by making your company a success. Once it succeeds, you can sell your stock in a merger at Market Capitalization. If you use my bootstrapping strategy, you'll walk away in 5-7 years with $80 million. There are sacrifices in building any company. If you expect your investors to make those sacrifices, your company will fail. If you won't work 12 hour days for several years for a middle-class income, don't take your company public. In fact, don't start a company. 

Get a job in middle management with a major firm in your industry. Remember that success comes from sacrifice. It comes from making the right decisions. It comes from keeping risks low while you keep rewards high and practicing disciplined fiscal fitness. The rewards must go to your company, not to your personal bank account. If you don't follow these bootstrapping rules, you won't create a successful public company. The "live off the investor strategy" often creates an SEC nightmare. If the SEC acts, it will make your lawyer richer. You didn't take your company public to make lawyers wealthier.

Modern Bootstrapping Business

These days it is much easier to bootstrap your business than ever before. There are countless online business opportunities and methods of marketing your business that require no money or little money. No investors needed, no equity lost. It is truly the golden age of bootstrapping businesses.

While there is still a lot of available investment capital these days, that might not be the case a year or two from now. Bootstrapping business ideas are a smart way to maintain control of your venture's destiny from day 1. 

All About Small Business Finances And SBA Bank Loans

Starting and running a small business without having some form of credit is nearly impossible. Many small businesses do not make it simply because they’re under-capitalized. One month where sales and expenses budgets cannot be met could signal the end for business that could otherwise have succeeded. Others find themselves unable to grow their operations owing to insufficient access to the necessary funds. The answer may appear to be simple: get a loan and grow your business. However, getting a small business loan isn’t always easy, which is tough for small businesses leading the lean startup life. 

Getting Bank Loans 

Since the recession, the FIDC has ensured that small businesses who apply for loans are subjected to very close scrutiny. The Dodd-Frank act of 2010 has effectively limited the possible sources of funding for small business. Many analysts feel that in doing so, economic recovery was slowed. Whether this is true or not, small businesses in need of additional capital often find themselves unable to secure conventional bank loans. 

But is a conventional loan best for your business? The convoluted application process takes a great deal of time and effort and few loans are granted. In addition, repayment terms are highly inflexible. Small businesses are increasingly turning towards alternative lenders in order to get the business finance they need quickly, successfully and under less onerous repayment terms than banks allow. 

The SBA 7A Loan Program 

Getting the Small Business Administration (SBA) to guarantee all or part of a bank loan might sound like a great idea in theory, but the program has been widely criticized for its limitations. Once again the application process is complex and lengthy and not all businesses can afford to wait up to three months to get finance approved — if it’s approved at all. 

Then too, the SBA isn’t actually offering the finance itself. The small business entrepreneur still has to work through a conventional bank and banks remain reluctant to supply credit to small businesses. By 2011 a Gallup survey found that although 88% of businesses had access to credit, only 29% were lending from banks despite the SBA program. 

What Banks Don’t Always Take Into Account 

The main problem with getting small business bank loans is that banks want to see guarantees that you’ll be able to pay back the money. That’s fair enough, but instead of looking at how good your business’ chances of success are, they look at financial history. That makes things difficult for a newer business that doesn’t have the track record banks are looking for. 

Remember, most banks aren’t investors, they’re lenders. If the business or its owners don’t have the kind of credit history and other financial signals that they’re looking for, they won’t issue the business loan. Nowadays, financiers can use algorithms to project business income, but banks don’t use these tools when deciding whether you’ll get a loan. 

Other Financing Options Besides Basic Banks

Getting finance fast, especially startup business loans, can be crucial to the survival and growth of small businesses, especially startup business loans. Since the banking sector isn’t making things easy for them, small business owners are increasingly turning to alternative sources of finance that offer them faster turnaround time, rate their creditworthiness based on the business itself and offer plans with flexible repayment options. The makes the loan seem like a more reasonable investment and risk.  

Merchant Cash Advances 

Businesses that handle a volume of over $5000 in monthly credit card transactions often choose the merchant cash advance as a source of funding that offers them easy repayments. A funding company advances cash to the lender at a pre-arranged fixed cost, allowing the lender to have a clear picture of the extent of the commitment in advance. 

Repayments are calculated as a portion of credit card sales and are deducted automatically from the lender’s account. Thus, if the business is experiencing an unexpected quiet period, the repayment is lower without the lender falling into arrears with repayments. Obviously, this form of financing would not be available to a brand new business, but as little as three months of transaction history can secure your business this type of financing. 

Business Cash Advances 

This model is similar to the merchant cash advance, but repayment is handled through pre-determined daily deductions from the business bank account. Once again, the lender knows the exact cost of the credit in advance and need not make allowance for large monthly repayments that would impact heavily on cash flow. 

Unsecured Lines Of Credit 

One of the most difficult obstacles to overcome in obtaining a small business loan from banks is the requirement for collateral. By working through agencies, lenders can obtain an unsecured line of credit that does not require asset collateral. A maximum credit limit is set, and the business is able to use as much or as little of the line of credit as it needs to at any given time. Interest is only levied on the amount of credit actually used. A minimum monthly repayment value is agreed in advance. Unsecured lines of credit is a type of financing that is particularly helpful to businesses that need credit to cover shorter-term expenses. 

If none of these financial methods work, you can always bootstrap your costs if you need to buy low cost items like domain names and websites.

Final Words About Fiscal Fitness And Funding Finances

Obtaining small business finance through a bank is still very difficult in the United States and several other countries. Many small businesses are turning to other sources of finance that offer them easy and quick access to funds based on their business health and future outlook rather than the personal creditworthiness of the business owner. When investigating funding options, small business entrepreneurs would be well-advised to discuss various options with funding specialists in order to determine what kind of funding would be most suitable for their business rather than relying on the traditional bank loan. Keep these tips in mind when seeking SBA loans and SMB financing to maximize your fiscal fitness and frugal finances.


I hope you enjoyed this article about what you and your company need to know about small business finances and funding.

Interested in reading more articles about fiscal fitness and funding? 

Read My Blog Posts: 

- How To Stay Financially Fit In Expanding Economies

- Top 12 Tips To Improve Frugal Finances

More Fiscal Fitness Finds Below

Omar Yunes 54D Fitness Program Review Endorsed By Alex Rodriguez

When Omar Yunes became CEO of the international wellness brand 54D in 2017, he could never have foreseen the dramatic upheavals that would affect him, and the entire world, over the next several years. But, as it turned out, the global COVID-19 pandemic spurred significant growth for 54D at a time when most companies were experiencing overwhelming hardship. 

A Hot “New” Fitness Trend 

In fact, the 54-day 54D “human transformation” program has expanded by leaps and bounds over the last two years, securing celebrity endorsements from the likes of Brazilian model and actress Adriana Lima as well as legendary baseball player turned business leader and philanthropist Alex Rodriguez. 

However, 54D is certainly nothing new as we found in our fitness program review. A creation of professional soccer player Rodrigo Garduno, this fitness program became a minor sensation in his home country of Mexico a full decade ago. 

Garduno has always had a knack for instructing and motivating others. After years of motivating his teammates with his unstructured locker room talks, he decided to organize his guiding fitness philosophies into a single structure program. In addition to exercise, this program, which he dubbed 54D after the number of days needed to complete it, placed a profound emphasis on nutrition and recovery. 

“I was only helping people half of the way,” Garduno said. "You empower people with the ideas and motivation, but when they go back home they go to the same place they were before. For real life to change you need to go through the active process.” 

Furthermore, Garduno realized that the relevance of his new program extended far beyond his community of elite athletes. In addition to the physical benefits of 54D during his exercise reviews he conducted, the workout program is about breaking mental barriers, building community, and as Garduna puts it, “giving yourself wings.” 

The Expansion Of 54D Under Omar Yunes 

Educated in law at the Instituto Tecnologico Autonomo de Mexico and executive management at the Instituto Panamericano de Alta Direccion de Empresas, Omar Yunes has proven an incredibly valuable asset to his fellow Mexico native Rodrigo Garduno and the rest of the 54D team. 

Since assuming control of 54D, Yunes has led the company through considerable growth including the opening of multiple studio facilities and the development of its first digital program 54D ON. This program proved ideal for a global population in the throes of a pandemic that closed gyms everywhere and made exercising more difficult than ever before. 

In addition to reaching people virtually through 54D ON, Omar Yunes spearheaded a range of brand awareness initiatives such as providing free 54D workouts on Instagram. As these initiatives continue to garner more and more adherents from around the world, it should come as no surprise that luminaries such as Alex Rodriguez have joined the 54D movement. 

Although the company has developed many innovative outreach and delivery efforts over the past two years, the core of the 54D program, with its unique focus on mental dedication, remains the same. According to Rodrigo Garduno, 54D will change the way people look and feel, but the most important component of health and wellness is how people think. “Their mindset,” says Garduno. “That, to me, is the only thing that really changes people's lives.”

Why Companies Should Invest In Enterprise Business Solutions

What is enterprise business solution and how can a business benefit from it? Below is a blog article that talks about it and also enlists the benefits to help business owners take an informed decision. 

An enterprise is a very complex entity if one considers how many operations and processes are involved in order to make an enterprise run successfully. When there are so many processes at stake, there comes the need to take certain steps to ensure smooth business operations. This is where enterprises need a systematic approach and the solution comes in the form of enterprise business solutions. Firms that provide IT solutions, like The Digital Group, Clay Logix, and Cybage, offer enterprise business solutions that are designed to optimize the business process, increase efficiency and reduce costs. These are just some of the key benefits and this article looks at the many benefits that effective enterprise business solutions can offer to a business. 

However, before we move on to the benefits, it is important to have a look at the characteristics that make it the need of the hour today. 

To begin with, enterprise business solutions are portable which means they can cater to the changing needs of a business. Secondly, leading IT providers provide solutions that are pocket friendly, yet help the business achieve its goals. Thirdly, scalability is an important feature. As the business grows, the needs change and requirements change, so the business solutions should be scalable to cater to the changing requirements of the business. The new age enterprise business solutions focus on security, which covers security of employee data as well as the organization data. 

Moving on to the benefits of enterprise business solutions, its implementation can help businesses create enterprise portals and Web Services, along with their maintenance and troubleshooting. 

Looking at them one at a time, application servers implemented through distributed systems add to the IT infrastructure of the organization. 

Application servers easily integrate the different software used in the organization. Application servers also make it easy to create and develop applications to meet the specific requirements of the business. 

Also, the fact that all the applications are centrally managed, reduces the cost of managing the applications. The initial investment for implementing enterprise business solutions is balanced out by the high ROI that it offers. 

With the automation of the business operations, the company's resources have the time to focus on strategy building for the growth of the company. Hence, this leads to better decision making, which in turn benefits the company in terms of innovation brought into the business operations. 

Enterprise business solutions also help Enterprises develop customized applications using languages like Java, .Net framework and even the Microsoft framework. With customized applications in place, the organization no longer needs to invest in getting customized software developed from third party developers. 

Another big advantage is the fact that it enhances the communication between the different teams and departments in the organization, as all the applications are centrally managed. This way, everyone is aware of the projects as well as the data that is available, which increases the level of transparency. 

Also, since all the data is at a centralized location, it facilitates reporting, ensuring availability of data as and when required. At the end of the day, enterprise business solutions act as a complete package that helps your organization manage projects, encourage collaboration among team members, track and monitor project status, take faster informed decisions and make the best use of the resources available. 

These days, leading it solutions providers are helping businesses transform their operations through correct implementation of enterprise business solutions. Interestingly, this is something that holds true for every business across domains and is emerging as a must-have in order to stay relevant to the changing market trends, as well as gain an edge over the business competition.

Today, the highly competitive market demands that every enterprise evolves in order to gain the edge and stay ahead. Needless to say, organizations are getting smarter by the day as they are embracing the latest technology solutions. There are so many aspects to a business and leading IT solutions providers like The Digital Group, Cybage and Accenture have come up with solutions to cater to each one of these aspects with the objective of helping build smarter enterprises. Enterprise business solutions is an umbrella term used for different services that are designed to help enterprises in planning, operations, digitalization, increasing efficiency, gaining key insights, and redefining costs. Most IT firms that provide Enterprise Business Solutions allow organizations to choose solutions that cater to one or more spheres of their operations. 

There are many ways in which Enterprise Business Solutions can benefit an enterprise. Some of the benefits are as follows: 

- Makes it easy to transfer information within the organization or to external clients. 
- Ensures effective implementation of web services. 
- Makes it possible for organizations to derive key insights from organizational data through powerful data analytics services. 
- Facilitates highly targeted enterprise resource planning. 
- Ensures quality maintenance of applications. 
- Helps organizations increase the efficiency and productivity of the various processes. 
- Helps organizations make the most out of the latest technology to meet their goals. 
- Empowers organizations with the insights required for informed decision making to boost growth. 
- Enables organizations to effectively manage risks to maximize profits. 

Ideal enterprise business solutions should be flexible, easy to implement and customize to meet the different requirements of organizations. It should integrate seamlessly with the other enterprise applications to enable easy management from a central location. Given below are the key features to look for in an enterprise business solution: 

1] Scalability: It should be designed to offer scalability – so that it is capable of meeting the needs of the organization even as it grows and expands. 

2] Cost-Effectiveness: It should be cost-effective i.e. the return on investment (ROI) should be higher when compared to the initial investment required for implementation. 

3] Portability: It should be so designed that it can easily incorporate every new change in the firm with great results. 

4] Security: Companies involve a lot of sensitive or confidential information, which calls for the highest levels of security from the enterprise business solution to prevent threats and unauthorized access. 

The objective of effective enterprise business solutions is to enhance communication between the employees working in the different departments of the organization, thus enhancing collaboration. It also makes it possible to have information available at the click of a button. The most common frameworks used in developing these applications are Microsoft, .Net and Java, to allow for easy customization for your business on a budget. It is worth investing in enterprise business solutions whether you run an ecommerce business, leading torrent site, martech software business, or any other viable business model. Enhance your enterprise today!

How To Choose The Right Video Production Business

Hosting a large event is a challenging task. Every step of the preparation process leading up to the event is crucial to its success. It is undeniable that one of the most significant aspects of planning a big event is hiring a video production company. The right video production equipment and technology is fundamental in setting the tone, making the event even more unforgettable. But how do you choose an video production company? 

Top-Notch Equipment And Technology 

Event production businesses stay on top of trends and technology within the industry to remain competitive. One indication that an AV company is on top of its game is the availability of high-end equipment and new tech. Anyone renting AV equipment knows that quality is a must, and the budget is only secondary. If you are comparing several companies, it will all boil down to which one of them has the best and most advanced equipment. 

Experience And Versatility 

AV companies cater to almost every kind of event. But there are some which have more experience in providing the services needed for particular productions. Are you hosting a business convention or a concert? With the goals of the event in mind, you may proceed with determining which AV Company has the relevant experience to provide the best possible service. 

Competitive Quotes 

Do not get a quote from a single company. Get at least three quotes and scrutinise the details of each. What are the inclusions and exclusions? Which company offers the best value for money? Are you also looking into factors such as accessibility and logistics? 

Some event venues offer the option to use an in-house AV company. If the location is otherwise inaccessible to third-party AV vendors, you may also consider hiring the in-house AV team instead. When it comes to pricing, the cheapest is not always best. With several factors to consider, make sure that you are selecting an AV rental service which will best serve and realise the intended outcome of the event. 

Full Service 

The AV rental company also needs to include take-down costs as part of the quote. Post-event clean-up is time-consuming and worrying about removing and storing AV equipment should be the responsibility of the AV Company. Apart from the quality of the equipment, the company also needs to have reliable staff and employees who will handle the set-up, maintenance, and take-down of the facilities. 

Communicates And Is Open To Ideas 

As the client, you need to be able to realize your vision for the event. The AV company needs to be flexible regarding your ideas. A good AV company will act as your partner and collaborator, listening to your input and making sure that it is put into action. Although it helps for an video production company to have a distinct point of view, the client’s needs should remain paramount. 

Choose The Right Video Production Company

Nonetheless, there is a delicate balance between the creative freedom of the AV company and giving in to the whims of the client. As the customer, it is also critical that you allow them to guide you in coming up with the best AV solutions to successfully execute your vision.

Hooray Health & Protection Review - Online Insurance Broker Business

A new digital insurance broker called Hooray Health & Protection has been launched to change the way SME's buy group insurance. Hooray Health & Protection will be one of the only firms in the UK to offer financial reviews by WebEx and telephone, making it more cost effective and time efficient for SMEs seeking health and protection insurance for their employees. The British company is headed by Charlie Cousins, who has a background in managing key relationships at one of the world's largest employee benefits insurers. 

Charlie Cousins saw a gap in the British market where archaic insurance brokers were abstaining from technology and the ever-changing needs of business owners. 

"At the start of last year there were only about 50,000 group life policies and 18,000 group income protection schemes in the UK, which is shocking considering there are approximately 1.4 million businesses that have employees. This signals a serious problem in the industry where Britain brokers are not keeping up with today's SMEs and their needs," said Charlie Cousins, Director of Hooray Health & Protection. 

Hooray healthcare plan to take a step away from old-fashioned practices, such as demanding client reviews are done face-to-face, which often comes with a hefty fee attached, and will instead embrace technology to help close the protection gap being faced in the UK. With the current lack of availability in options for online and telephone reviews in the United Kingdom market, Hooray plan to use this to their advantage to help grow the industry in the England, Scotland, Wales, and Northern Ireland. 

"There will always be financial advisers who won't embrace technology and believe financial reviews have to be done in-person but the majority of business owners we talk to would prefer to speak with a protection expert straight away and save the cost of paying for financial advisers travel costs and expenses," Cousins continued. That way they won't have to take our costly and risky loans.

About Hooray Health Insurance United Kingdom: Hooray provides health and protection solutions to SMEs in the UK. The company was launched in September 2019 to shake up the industry and fill a gap that other health insurance brokers were not satisfying. Obviously they have succeeded thus far for Brits!

Contact Hooray Health Insurance: Telephone: +44-(0)-1273-222805 Email: hello@hoorayinsurance.co.uk Website: www.hoorayinsurance.co.uk