Here is exactly how to start a business with no money in 2024. Starting a business with no money, not easy but very doable. And as someone who has walked this path before and done exactly what you are looking to do, I wanted to create a full how to guide on how you can start your business with no money.
I remember in 2018 I started a business with $0 dollars and grew that to 420K in one year. This only happened after failing about 10 times with other business startups. So it’s safe to say, I’ve tried starting and running a small business, many, many times.
That repetition is what encouraged me to write this article, mostly because there are parameters that I started using for each business startup.
With the right mindset and a clear strategy, you can turn your dreams of starting and running your very own business into a reality.
For every business idea you are thinking of starting you must run it through our first step which is.
1. Idea Validation
Any successful business begins with a great idea. If you’re starting with no money, it’s important to choose a business concept that’s realistic and doesn’t require a significant upfront investment, because the whole idea here is about starting your business with the least amount of upfront capital.
There’s a book I mentioned in a previous video, Good to Great, by Jim Collins where he uses a Ven diagram (He calls the Hedgehog concept) to illustrate if your business idea checks all your boxes.
The 3 circles represent your passion (Or a business that you are deeply passionate about), skill (What you can be the best in the world at), and the reward or (what drives your economic engine).
For our email and YouTube subscribers, many of you might already know that you don’t necessarily need to be passionate about a business to make money. But for some entrepreneurs, it’s important that they are passionate about it and that the business idea aligns with their strengths and interests.
It’s also important to make sure your business idea solves a problem. Successful businesses often solve a problem or fulfill a need. Look for pain points in your community, industry, or daily life, and consider how you can address them.
Next you will need to validate your idea: Before committing to a business idea, validate it. Talk to potential customers, conduct surveys, spy on competitors and research the market to ensure there’s demand for your product or service.
If you don’t have a buyer for the product or service you are selling, then this will all be for nothing, and you will just be wasting your time, energy, and resources. So choose wisely.
I made a video that I will link below where I go over 5 Online business ideas You Can Start With $0. In case you need some inspiration and ideas to get started.
Now that you have your business idea, you need to:
2. Bootstrap Your startup:
The business I touched on earlier where I went from $0 and grew to 420K. It was a reselling business, and I started by selling stuff around the house to get the initial seed capital to be able to bootstrap the rest of the growth.
I remember at this point in my life, I had no savings, I was making about 24K a year at my job, and my wife was pregnant with our second daughter. Super stressful
So, after flipping the stuff I had around my home. I made almost $800 from the random things I had in my home. I then used the $800 and reinvested it into more items to sell and grew from there.
Starting a business with no money means making the most of your existing resources and finding creative solutions. This is where you take your business idea and create a game plan on how you will start. Now for the sake of this article, we are assuming that we have zero dollars to start, so here’s how you can do it:
a. Utilize Your Skills: If you have skills or a service that you are offering that’s in demand, then use some sweat equity, your time and energy, to generate some income that can be reinvested into your business.
b. Networking: You can also leverage your existing network. Connect with potential partners, mentors, and advisors who can provide guidance, support, or even initial funding.
c. Trade: Trade your services, skills, or products with other businesses. For example, if you need a website, you might be able to barter your skills for a professional website in return.
d. Crowdsourcing: Crowdfunding platforms like Kickstarter can help you raise money for your business ideas. Create a compelling campaign and offer attractive rewards to your backers. There are huge companies that started from raising money on Kickstarter.
Ok now that you have your business idea and you know how you can start it and fund its growth, we want to now operate it as lean as possible.
3. Keep it Lean
When starting a business with no money, it’s crucial to adopt a lean business model. This means keeping your expenses to a minimum and maximizing your efficiency. This is even more important if you are using someone else’s money.
I’m a huge believer in that when you use OPM, that you have an even greater amount of responsibility to protect the investors investment, and by operating as lean as possible, you can focus your spending on growing the business. So you can do this by:
a. Home Office: Working from home or get a co-working space instead of renting an expensive office. This will significantly reduce overhead costs.
b. Virtual Team: Hire freelancers and contractors as needed rather than full-time employees. It’s a cost-effective way to access specialized skills.
c. DIY Marketing: Learn digital marketing and social media to promote your business. These tools can be powerful and cost-effective ways to reach your target audience. Which brings me to my next step ans that’s…
4. Build content
Having a strong online presence is non-negotiable for any business. Staying in line with starting a business with no money… building, and maintaining an online presence doesn’t require much or any capital.
So you can do this by:
a. Website and social media: Create a professional website and set up profiles on social media platforms where your target audience hangs out. Use can use free or low-cost website builders like WordPress or Wix.
b. E-commerce Platforms: If you plan to sell products, utilize e-commerce platforms like Shopify, Etsy, or eBay to reach a wider audience without the costs associated with a brick-and-mortar store. I think with shopify you will be paying around $30 a month.
c. Content Marketing: Invest your time in content marketing. Create valuable blog posts, videos, or podcasts that demonstrate your expertise and attract more customers.
All low-cost methods or no cost methods to building authority in your business idea.
5. Collaborate
Collaboration can be a powerful way to grow your business without spending a lot of money:
a. Joint Ventures: Partner with other businesses or entrepreneurs that complement your offerings. You can share resources, knowledge, and customer bases. Create a win win with another business that has some synergy with your product or service.
b. Affiliate Marketing: Implement an affiliate marketing program where other individuals or businesses promote your products or services in exchange for a commission on sales. Very powerful.
6. Personal Finances
I remember a few months into starting that business, I went through all my personal expenses and cut out a lot of things that I didn’t need. This helped me free up some excess capital, which I used to further grow my business.
All these minor tweaks created major results in the growth of my small business.
Also, make sure you appear lendable on paper. Start working on your credit and build your business to be lender friendly. Meaning your business looks healthy and companies and banks are willing to loan you money for your business.
Just something to think about. I wouldn’t consider getting a business loan, until you know you are able to make money with the funds you receive. This happens only after you have proven that your business can make money and you know your numbers.
7. Adaptability
Starting a business with no money can be challenging. There will be setbacks and obstacles along the way. However, adaptability is the key to overcoming these challenges.
If you are starting a business and are truly motivated to see it through, then you will need to have tough skin and get up, over and over again from being knocked down, for the inevitable moment life throws you a curve ball.
For example, your payment processor could get shut down, the cost to acquire a customer goes up, your ads stop working or google decides to make a tweak and you’re no longer showing on the first page. Whatever it is, you need to adapt:
a. Learn from Failure: Don’t be discouraged by failure. View it as an opportunity to learn, adapt, and improve.
b. Stay Resilient: Stay committed to your business vision and remain resilient in the face of adversity.
Next step we have is very important for the future of your business.
8. Reinvesting to Scale
As your business grows, focus on long-term sustainability and scaling. Continue to seek out new opportunities and innovative ways to expand your business.
So as your business starts generating revenue, resist the urge to spend it all. Instead, adopt a bootstrapping mentality and reinvest profits back into your business:
This was a game changer for me, I reinvested every penny. I wanted to grow a business and wasn’t in a rush to use the money for anything else, but to grow the business.
And 6 months into the business startup I got a loan for I think 47.5k and invested all of that as well.
I was all in!
a. Prioritize Growth: Use the money wisely by investing in areas that will help your business grow, such as marketing, product development, or expanding your team.
b. Track Expenses: Keep a close eye on your expenses and eliminate unnecessary costs that don’t directly contribute to your business’s growth.
