I am not a fan of investing in time-zapping, expensive prototypes or the kind of complex business plans that make War and Peace seem like a quick read. Not at first anyway, not until you know for certain an idea has legs and is worth investing in financially and emotionally.
This is where the practice of making money from nothing comes in – and by “nothing”, I mean just an idea.
I come from the “fail fast” school of entrepreneurs. I am at peace with the idea that not every idea works, but I do want to lose as little – financially and emotionally – in that loss as possible.
Here are my tips on setting up a start-up on a shoestring:
- Keep your overheads low
- Hit the ground running
- Pay in perks
- Leverage – anything!
- Overestimate expenses, underestimate revenue
- Piggyback on power