Rule No. 1: Sales is the top-priority job.
In every company, sales is the only job that must be done well. A lot of companies think sales is a necessary evil, but it’s actually their lifeblood. It’s much better to have great sales and a good product than a great product and good sales.
Rule No. 2: Don’t spend beyond your means.
Stay obsessive about costs and expenses. Saving cash is not a matter of miserliness - it’s purely a necessity of survival. Show how serious you are about thrift by generously rewarding anyone on your staff who identifies and brings about a significant cost savings.
Rule No. 3: Don’t be cheap.
When you find a tactic that works, apply all the resources to it that you can. You should also be willing to spend enough to hire the best people you can find. Being gun-shy about spending can tank your business just as fast as spending too much can.
Rule No. 4: Don’t spend beyond your means.
On the other hand, you must turn a profit. Prioritize your opportunities, and spend what you can on the most important ones. Only do the truly urgent things, and forget about the merely important ones.
Rule No. 5: “There is always another way.”
When starting a business from scratch, don’t listen to the “experts.” Conventional wisdom doesn’t apply. Your problems are unique, and it might take a unique set of solutions to overcome them. The stories of finding innovative ways of avoiding costs and getting over hurdles are legendary among true bootstrappers.
Founder and CEO
Co-author, Bootstrapping: Start and Grow a Successful Company with Almost No Money