Looking to start or grow a new business? Consider bootstrapping.
Bootstrapping is building a new company with only your personal savings—and any money from initial sales. By using personal resources—instead of outside funding like venture capital—bootstrapping gives you some advantages as a business owner.
1. You maintain control over 100 percent of your company.
When you secure funding from a venture capital firm, you give up some of your business in exchange for cash. When you bootstrap, you maintain full control—and your vision is the only one that counts.
2. You make all the decisions.
If you’re the sole owner of your company, it’s your right and responsibility to make each and every decision. But if you accept outside capital, it won’t be long before you’re checking with others before making those decisions. Bootstrapping your business lets you avoid disagreements and move forward with confidence.
3. You control the growth.
Investors want your company to grow as quickly as possible so they get their money back sooner. Bootstrapping allows you to set your own timeline and make growth decisions—such as when to hire employees—based on cash flow and other considerations.
Learn what’s right for your business.
Does bootstrapping sound like the best decision for your business? Talk to your Truist banker to see how Truist can help you and your business.