So bootstrapping is a minimalist approach to financing a business and requires a larger amount of sweat equity compared to the money put in. So when do you find that the sweat part has gone too far compared to the dollars being spent to move the needle?
Obviously there is a minimum amount of advertising that needs to be done to communicate to get the interest in your product or service, need a place to work, some type of accounting, some type of store front, sales etc… Some of these activities don’t lend themselves to well to the sweat alone.
Right now I’m still in product development stage with a cash investment of less than 2k. That includes the web, development tools, some graphics and PC. In the next couple months plan on getting to release of the product and so want to generate interest.
Thoughts on how I should think through what to budget out to keep my financial risks at this point still low until my business hypothesis proves out and what I should think as sweat equity friendly?
