Venture Financing:


Bootstrapping Options to Minimize the Need for Capital


Important Bootstrapping Techniques to Minimize the Need for Capital:

  • Buy used equipment instead of new

  • Borrow equipment from other businesses for short-term projects

  • Use interest on overdue payments from customers

  • Hire personnel for shorter periods instead of employing permanently

  • Coordinate purchases with other businesses (mutual purchasing of goods)

  • Lease equipment instead of buying

  • Use routines to speed up invoicing

  • Cease business relations with customers who frequently pay late

  • Offer same conditions to all customers (that is, no expense on preferential treatment to some)

  • Buy on consignment from suppliers

  • Obtain trade credit from suppliers

  • Deliberately choose customers who pay quickly

  • Share business premises with others

  • Employ relatives or friends at non-market salaries

  • Run the business completely from your home.

Venture Financing Funnel

Venture Financing: Key Documents

One of the least used methods to minimize the need for capital is constant sharing of equipment and employees with other local businesses to reduce fixed commitments.


Step-by-Step Guide To Venture Financing

Bootstrapping Methods

Strategies for Successful Bootstrapping

Bootstrapping Options for Product Development

Bootstrapping Options for Business Development

Bootstrapping Options to Meet the Need for Capital

Venture Map To Financing

Venture Planning

Business Planning Chart

The Funding Round

Long Term Capitalization Planning

Business Finance, Administration, Marketing and Sales

Business Operations

Would-Be Entrepreneur

Reality Check

SWOT Analysis for a Start-Up Venture

Venture Planning Checklist

Customer Assessment

Venture Model

Financial Assessment

Overall Venture Evaluation and Reality Check

Startup Company

Venture Financing

Alternative Financing: VC Is Not The Only Way

Start-up Capital Formation Process

5 Tips for Internet Startups

Startup Company Intellectual Property (IP) Strategies

Protecting Your Business Name

Venture Management

5 Critical Success Factor for New Ventures

What Changes as Company Grows

Entrepreneurial Success

How To Succeed in Business

Seven Simple Steps to Small Business Success



1.    "Bootstrap Finance: The Art of Start-ups" by Bhide, A.

2.    "Who Bankrolls Software Entrepreneurs" by Freear, J., Sohl.J.E., and Wetzel, W.E.

3.    "Financial Bootstrapping in Small Businesses: A Resource-Based View on Small Business Finance", Winborg,J., and Landstrom.H.

4.    "Angel Investing", Osnabrugge,M.V., and Robinson, R.J.,