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Bootstrapping 101 - Coggle Diagram

- - - - The Bootstrapper is in the business of finding a market need and only then making the product that meets that need.
  - - - Truly Understand a Customer's Needs
        
        Find that Special Niche Need
        
        Find your Key Differentiators
        
        Individualize your offer, be imaginative, convince them your ethos is similar to theirs and that your serice will be more personal than others, play the 'green' & 'tech' cards, assure them that you'll step in something goes wrong.
        
        Keep your message SIMPLE & really listen.
        
        Mirror their speech & Speak for max 3 sentences before letting them speak, ask what are their key business objectives for this year.
        
        Only talk about the business problem - 3 mins.
        
        Offer a Pilot Implementation
        
        Ask Tough Questions
        
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- - - - Needing a Major New Market
        
        Need for a Marketing Agency
        
        I need some glossy color brochures
        
        I need to travel far and wide
        
        I must partner up
        
        I need everything brand new
  - - - Bootstrapper' Cash Flow Forecast
        
        Expected Revenue - Expected Spend = Expected Cash Flow on Weekly or Monthly Basis.
        
        3 to 6 months, or if you operate on very tight cash then it is weekly.
        
        Beginning Cash - Cash Spent + Cash Collected
        
        Underestimate Cash Collected a bit and Overestimate Spend.
        
        Invoices and Net 30 Terms are not Cash in Hand. Count them into the month they are about to be paid in + or - some time.
      - Getting More Cash or Cutting Back Expenses
        
        Get Cash Faster, Net 30 2% Net 10.
        
        Build a relationship with their AP team, understand their whole AP System and Process.
        
        Set payment terms and that only yours apply, get them to agree.
        
        If they are waiting for a payment from their customer tell them to get a credit line based on it and pay you.
        
        Build Credit Lines with Suppliers - Start small, pay early, use them maximally!
        
        Spend Less
        
        On the cash forecast sheet - Delete not life saving items, can purchases be deferred?, can we consume less, can we buy a used version, can we barter for it, can the time of use be deferred?
      - Marketing
        
        Market Research
        
        Is costly, isn't direct, takes too much time, often ineffective & is notoriously inaccurate.
        
        Rules of Marketing
        
        Pick One Message, Make it Clear & Consistent. Promote Key Differentiators, Launch Laser Beam Marketing Campaigns, Reward Your Top 20%, Find Affiliate Businesses, Social Networking, Uniforms & Stickers on Vehicles, get VIP endorsement, Stay Loyal to Your Earliest Customers, Stick with your Strategy, Do yout best on the WEB.
        
        Internet & Direct Marketing
        
        Business Cards
        
        News Publications - Forbes etc.
        
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        Stress Busting Strats
        
        Learn to Think Through Problems instead of Worry Through Them.
        
        Remember your WHY
        
        Don't let Big Issues Linger
        
        Take the Long Term View
        
        Keep your focus - On revenue building activites
        
        Share the Workload
        
        Delegate - Share your workload
        
        Make sure your expectations don't exceed your requirements
        
        Focus on Satisfying Your Customers
        
        Keep things in Perspective - There is life outside of work
        
        Make time for staff socializing
        
        Create a fun environment in the office
        
        Never Take Things Personally
        
        Check Your Ego at the Door
        
        Make a to Do List and Use the 80-20 Rule on It
        
        Deep work for 20%, Shallow for 80%
        
        Optimize your PC Productivity
        
        Give back to those less fortunate!
        
        Hiring
        
        Start with generalists and then narrow down when you grow.
        
        3 Is' - Initiative, Intelligence & Integrity
        
        Customer Service
        
        Quick Problem Solving, Keep Your Word, Ignore the small amount of impossible customers, Listen to Customers from Day One, Be a trusted adviser and provide proactive service, Manage Expectations Well, Monitor Customer Satisfaction via Surveys, Acknowledge Feedback, Monitor Customer Use of Product, Treasure your earliest customers, have a regular customer event.
        
        Act Like a Winner
        
        Affiliate yourself with another company.
        
        Offer Money Back Guarantee
        
        Give out for free in exchange for references.
        
        Solicit Influential people/magazines with free products
        
        Know Yourself and Your Enemy
        
        Attack Where the Enemy is the Weakest
        
        Fight From Positions of Strength
        
        Don't take ground you can't hold
        
        Weigh the situation, then move
        
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        BOOSTRAPPER TOOLBOX
        
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- - - - Find the right customer avatar. Call them.
      - Become the Expert Yourself
        
        No need for Biz Plans, It's a Full Time Effort, Do work for free at the start or give money back if it doesn't work, everything will take longer than expected.
        
        Think in Black and White
        
        Business is simple provide a product/service at a cost less than someone is willing to pay for it.
        
        Get Ready for Rough Times Ahead
        
        Don't Buy an Existing Business
        
        Consider Carefully Before Joining up With a Partner
        
        Establish upfornt how someone will leave the business, decide how disputes will be resolved, minimze the number of partners you bring into the business, resolve issues quickly - if not ask the partner to leave.
        
        Just Jump In.
        
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