Entrepreneurship and risk-bearing are inseparable. Entrepreneurs carry the burden of starting a company singlehandedly. They pool resources together to establish a startup. It is after doing this that employees contribute to the sustainability and growth of the company. Even the task of recruiting competent workers is executed by the founder or chief executive officers (CEOs) of a company, whether directly or indirectly. And if a company fails, it is the founder or founders that suffer(s) the lot. Thus, the fear of running at loss due to fold up or natural causes is probably the reason many people shy away from starting a company.
People start a company for different reasons ranging from vision to will for self-employment, independence, desire for wealth, desire for fame, willingness to render one service or the other and make positive impacts, etc. To start a company, a lot of things are necessary but the basic requirements for starting a company are legal backing, idea, capital and appropriate resources depending on the nature of the company involved. Once you meet these requirements, you can go ahead to start your company.
However, people intending to start a company face series of challenges which prevent them from actualising their dream. Out of all these challenges, inadequate or lack of capital at all and lack of idea are the most ubiquitous and unruly. Many intending company owners have given up on their vision of starting a company because they cannot raise enough money. No matter how beautiful an idea is, it is not likely to be implemented if it lacks funding. Similarly, a lot of intending company owners are not creative enough to identify a gap for their business idea to fill.
Fortunately enough, you can still start a company in spite of these challenges. So far you can raise little capital and you have a wealthy mindset, you can found a startup of your own. Starting a company with little capital may seem to be unrealistic if you have a poverty mindset because it is poverty mindset that portrays entrepreneurship as a no-go area. But with a wealthy mindset, you think about opportunities and abundance against all odds.
You can become a founder and do good business with low budget but definitely not with a poverty mindset; the role of a wealthy mindset cannot be over-emphasised. It is in this light that this article will take you through how to start a company with low capital and wealthy mindset. In other words, it will teach you how to leverage your wealthy mindset and low capital to found your startup. Below are four (4) practical steps to take to start a company with low capital and wealthy mindset.
- Think Big but Start Small: Having a huge vision does not necessarily mean you must start big. You cannot implement all parts of your idea at once, hence the need for you to start small. As Mark Zuckerberg claimed, ideas do not come out fully formed. As you work on your business idea, you begin to see reasons you should remove some aspects and add some other ones. This means that even if you have more than enough capital, you still cannot implement all aspects of your business idea at once. So, in a case where your capital is low, all you need to do is to start with what your capital can afford; no matter how small. Notwithstanding, you should never allow your small start to kill your big vision. Try to balance the two accordingly with time.
As an entrepreneur with a wealthy mindset, you have to make reality your watchword. Study and write your business plan according to the dictate of your starting capital if you want to start a company that will stand the test of time. Avoid writing a business plan with imaginary figures. No one says you should not dream or think big but your capital has to determine the kind of business plan you will write for the start. As your company grows, you can re-strategise by developing another business plan suitable for current financial capability of your company. The goal setting software for high-achievers is ideal for this task. It will help you achieve your company’s objectives from small to big.
For instance, if your capital is 1 million but your vision is worth billions, you do not have to jettison your business idea. Found a company, implement whatever 1 million can do and start your company. You will only need to repeatedly invest your profit till you are financially buoyant to fund your idea fully. Though entrepreneurs with a wealthy mindset dream big, they also start small if need be. And of course, low capital is a good reason for you to start small. If have a wealthy mindset but low capital and you want to start a company, start small and grow big in the future.
- Build your Business Plan on Innovation: Irrespective of the amount you want to invest to start a company, innovative idea is compulsory for it to thrive. One of the reasons multinational companies thrive is that they are built on innovations. If innovative ideas are that connected to the success of companies established with high capital, you need no one to tell you that they are paramount to a company you want to establish with low capital. The success of starting a company with low capital is dependent on how innovative such company’s business idea is. By innovative ideas, I mean ideas that cater for target audience’s need. Besides, innovative ideas must also be able to fill a gap.
One of the edges your wealthy mindset will always give you is the ability to see business opportunities in every obstacle. This will enable you to create different products or render top-notch services so unique that your potential buyers might not know they need them until you make them available. To create such products or render such services, you should conduct a market survey. A market survey will help you to discover many things including untapped production/service ideas, new markets and possible audience size for your company.
- Seek Funding from Different Sources: This is two dimensional. First, if your low capital is enough for you to start, establish your company and seek funding to develop it simultaneously. However, if your capital is so low that it cannot begin your startup, you can seek funding from many and diverse sources to get started. Whichever one you choose to do, what is important is establishing your company. Insufficient capital has never been a reason for an entrepreneur with a wealthy mindset to give up on his or her dream of starting a company. Your wealthy mindset should motivate you as well to adopt strategies that can multiply your capital to the needed amount for your startup.
One of these strategies is to take a loan. Approach banks, cooperative societies and other appropriate corporate bodies including individuals for a loan to fund your business idea. Some of them may ask you to pitch the prospect of the idea to them while others may request a collateral. If you’re asked to pitch your business idea, that will be a good thing because you won’t have to worry about putting your property at stake. It will also be an avenue for you to convince them that giving you the loan is worth it.
Alternatively, you can opt for wealth activation code to make more money through commission earned from your sales. You can also seek financial support from non-governmental organisations (NGOs). There are many non-governmental organisations (NGOs) supporting business ideas and startups with fund. Interestingly enough, most of these NGOs give seed funds and not loans. If you are lucky to get one or more with your business idea, then you can start a company in style or inject more money into your company’s finances if you have started.
- Hire More Volunteers and Very Few Full-Time Workers: Hiring volunteers comes with both financial and non-financial benefits. First, it saves cost. More companies do not pay volunteers at all and those that pay spend chicken’s feed to remunerate them. If you want to start a company with low capital and wealthy mindset, then you should consider making the larger composition of your staff volunteers. Doing so will help you reduce your budget for salary payment.
The only criticism usually levelled against hiring volunteers is that a founder may end up hiring incompetent hands and lazy bones. While the allegation is true, there is a way you can get the best of volunteers. Make the recruitment process quite tough and taxing to scare away lazy and dull volunteers. You can then be assured that any volunteer who sails through the recruitment hurdles is not only smart but also efficient. This way, you can make brilliant volunteers work for you for free or a fee within your low budget’s capability.
The implication of this is that you will be able to afford hiring few full-time experts to execute tasks that are beyond the knowledge of your volunteer workers. Assuming your plan was to have ten (10) full-time workers, you can make it three (3) and employ seven (7) volunteers to support them for the start.