Why you should bootstap as a startup owner. E-Book

Lekan Afolabi

• Herausgeber: BookRix
• Kategorie: Fachliteratur
• Sprache: Englisch

Veröffentlichungsjahr: 2020

Beschreibung

All you need to know about starting up your business as a boostrapper till it grows to become viable and ripe to catch the attention of venture capitalists.

Leseprobe

Lekan Afolabi

Why you should bootstap as a startup owner.

BookRix GmbH & Co. KG81371 Munich

Why you should bootstrap as a startup owner.

For six months, I interacted with and engaged more than 15 startup founders offline and online. Those I couldn’t meet, I read about them on the web. It is safe to say that the Fintech takes the lead with the highest number of startups than any other sector in Nigeria.

According to EFInA FinTech report in 2018, over $100B has been invested I FinTechs globally which 50% of this was in Digital Banking which is 1 of the key 4 segments of FinTech. Nigerian FinTech ecosystem comprises f 210 – 250 FinTechs.

Just in their shadow lie other promising niches with viable value propositions and services. One dominant similarity is that they all started from just being an idea in the founder’s head to being a business with 5, 10 or more capacity. While some of these recent startups came from an already established stream of cash flow with foreign investments like Opay, Okash, Oride, Pamcredit, Easybuy, some small medium scale ones are basically growing on the go within the scope and financial capacity of the founder and how resourceful the team is. This is the case with most start ups and this is called Bootstrapping. A large percentage of top companies across the globe today from Alibaba to Amazon and many other valuable companies started with bootstrapping because of lack of stable cash flow and resources in the beginning.

The purpose of this article is to disambiguate what Bootstrapping is, why it is the best business model for a startup and how to know if your business is fit for bootstrapping and also as a bonus, how you can successfully boostrap.

Bootstrapping is basically starting your business lean without external support or cash flow.

This writing would be short of its essence if it doesn’t highlight what bootstrapping is according to startup owners and how they have been able to integrate it as a business model.

Bootstrapping means running a business on a very lean budget that’s focused on keeping things simple and small and growing gradually over time.

Dunsin Bankole, co-founder of Crystal Mix, a hailing cocktail startup.

“Bootstrapping is using what you have to get what you want.”

Wale Adegoke, co-founder of Nimbus media, a leading company in outdoor marketing in Lagos state, Nigeria.

He continued saying:

“Using your connection, talent and resources to get to where you need to be. It’s a means to an end and the ideal situation is to get to a point where your can business can create value to attract investment of capita and leverage on high quality talent.”

According to the cofounder of Sorari Hedge Partners, an investment firm, Stanley Duru