Small business finance expert Dileep Rao explains why some of the greatest companies never had a dime of investors’ money to get off the ground and grow — and how hard work, integrity, creativity, and an open mind can make up the difference.
Depending on your point of view, this might be the worst time to start a small business. On the other hand, with creative business and financing strategies, it’s possible to be successful without one dime from Wall Street or Silicon Valley. At least that’s the viewpoint of Dileep Rao, a consultant and small business finance expert who teaches financing courses at the Carlson School of Management (University of Minnesota). To prove the fact that you don’t need VC funds to be successful, in his forthcoming book, Bootstrap to Billions, Rao chronicled the stories of several Minnesota entrepreneurs who started with nothing to build successful companies such as Best Buy, Aveda, Digital River, United Health Group, and Medtronics. He calls the companies in his book a “third category” of business: not small business, and not built through VC financing.
This article originally appeared at OpenForum.com.
You are starting a new company and need to find customers. An ad agency just presented you with a slick new campaign promising to do just that. Cost: $250,000. Good investment or bad?
Millions of small-business owners find themselves in similar situations every day when trying to decide how to invest (and re-invest) in their companies. There are myriad nuances to making these decisions, but there is a fundamental principle that guides all of them: getting a reasonable, risk-adjusted return on each dollar invested.
This article originally appeared on Forbes.com.
By conducting in-department interviews with today’s leading entrepreneurs, Dr. Dileep Rao, MBA Entrepreneur, has developed Success Profiles, Key Lessons, Books and Workshops to help provide businesses with the critical information they need to succeed.
There are many factors that help build success, but a solid foundation in these four development areas are critical for business development.
uEntrepreneurs.com promotes proven techniques from successful entrepreneurs for your new, growing or small business.