News and Announcements
Pros and Cons of Bootstrapping
- Published December 14, 2022 2:34AM UTC
- Publisher Osama Hassan
- Categories Capital Raising Tips
64% of all founders use personal finances to fund their business – Startup Muster, 2018.
Before starting down the path of venture capital, founders should really consider the alternative — bootstrapping.
Here are somethings you may want to consider:
Advantages —
– Founders able to spend more time on business instead of cap raise
– Maintain central ownership
– Easy to pivot
– Lean mindset
– Ability to execute quickly
Disadvantages —
– Personal financial risk
– Can limit ability to drive exponential growth
– Limited access to networks
– Fewer opportunities for mentorship
– Lack of external support
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