Eleven fundamental principles for successfully bootstrapping a startup are summarized as follows: 1. Get a clear mission and build a brand focused on customer self-perception. 2. Create a minimum viable product and simple, flexible plan with clear milestones. 3. Start with the customer by understanding their entire experience. 4. Learn to price based on value rather than costs, and compete through superior service, experience, and availability. 5. Make the business fun yet prepare for a marathon by preserving resources and not fearing failure.

1. Eleven fundamental
principles for successfully
bootstrapping your
startup.
Gustaf Brandberg
@gustafbrandberg
thefutureisalreadyhere.se

2. The Times They
are a-Changin‘
Powered by disruptive technology

3. Prelude from Cuba:
1. Is it really your dreams you
are following?
2. At what price do you sell
your integrity?
El Medico – The Cubaton Story

4. No. 1
Get a mission.
” Improve the word
through social and
commercial
entrepreneurship.”

5. markshuttleworth.com

7. No. 2
Build a brand.
Your brand is not about you.
It’s about your customers’ self
perception. Niche thyself.

8. No. 3
Build a plan
• Minimum Viable Product
• Clear milestones
• Keep it simple, lean and mean
• Make it foolproof

9. No. 4
Be stubborn on vision.
Be flexible on details.
”No plan of operations survies
the first encounter with the
enemy.”
-- Helmuth von Moltke the Elder

10. Example:
The whole business plan of Svensk
Fordonsförmedling was founded on
two main assumptions.
Both were wrong.

11. No. 5
Start with the customer,
work backwards from there.
IKEA:
• Children taken care of.
• Expensive things first.
• One extremely cheap
item in each department.
• A bag or carriage just
when you need it.
• A hot dog for SEK 5
when you leave.
• Generous return policy.

12. Think hard about all aspects
of the customer experience.
geomeer.com

13. eavtal.se
Digitally signed agreements
• Dramatically shorter processes.
• No snail-mails.
• No paper originals to archive.
• Less risk for fraud.

14. No. 6
Learn to sell a € 1 coin
for € 100 or more.
Always price on value and competition,
never on your own production cost.

15. A better alternative for the customer
is not necessarily a cheaper alternative.
Instead, compete on:
• Customer Service
• Product / Service
• Availability
• User Experience
• ...
Green Cross
Vending machines with age
control for non-prescribed
drugs that competes on
availability.

16. No. 7
Make it fun.
Gamify your business.

17. No. 8
Preserve your
resources.
Be prepared
for a marathon.

19. No. 9
Hate to fail.
But don’t fear it.

20. No. 10 1. Only bet on the best
Bootstrapping startups hands, when you are
prepared to go all the
is like Texas Hold’em way.
2. If you don’t know who
the loser at the table
is, then it’s you.
3. Save your chips
4. ... but sometimes you
should go all in.
5. You can bluff
sometimes
6. ... but if you do it
often, people will
learn and tell others
7. ... and it is expensive
to have your bluff
called.

21. No. 11
Think global.
kiva.org globeforum.com

22. Final words:
Start young
• No big fixed expenses.
• No preconceptions of how things
”should” be.
• Lots of time to fail forward.

23. Thanks! Exchange ideas with me on Twitter:
@gustafbrandberg
Read and comment on my blog:
thefutureisalreadyhere.se
More about my engagements:
tfiah.se/engagements
/ citerus.se
My blog
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