Bootstrapping
What is Bootstrapping meaning?
Bootstrapping refers to starting and growing a business using your own resources—typically personal savings, cash flow, or reinvested profits - rather than relying on external investors or loans.
This approach emphasizes lean operations, careful budgeting, and prioritizing profitability from the start.
Bootstrapped entrepreneurs often maintain full ownership and control, making it a popular path among indie hackers, solopreneurs, and digital creators.
Example
"By bootstrapping his SaaS tool, he avoided outside funding and scaled to $20K MRR while keeping 100% ownership."
How is "Bootstrapping" used in business?
In business, bootstrapping is a common strategy for founders who want to retain independence, avoid dilution, and prove product-market fit before seeking any outside capital—if ever.
Bootstrapped companies often grow slower but more sustainably, focusing on customer revenue as the primary funding source.
This method also encourages creativity, discipline, and direct value creation, which can lead to resilient, profitable businesses.
Pro Tip
Start with a narrow focus and iterate based on real customer feedback. When bootstrapping, every dollar counts - optimize for learning and revenue early on.
Related Terms
Indie Hacker, Solopreneur, Lean Startup, MVP (Minimum Viable Product), Self-Funding