What Is Bootstrapping
The term bootstrapping is a verb that means to get (oneself or something) into or out of a situation using existing resources. To bootstrapping during the time of a recession refers to the ideology of wanting to succeed, no matter how limited the resources may be. Recession is always known as the worst time to search for a job, so many people turn to entrepreneurship. However, due to the economic downturn, many investors might not invest. Hence, it leads to bootstrapping. Here are how some entrepreneurs have bootstrapped during a recession.
Providing Their Customers With Special Offers
Launching a business in itself is quite tricky, which is why we can infer that starting a business during a recession can be even trickier. A technique that has previously been used by several successful entrepreneurs is to provide their customers with value propositions, and the best way to do that is to give their target market special offers. This can include exclusive products, exclusive services, aesthetically pleasing product designs, and packaging. All of these value propositions will allow your business to gain a competitive edge.
Choosing The Suppliers Meticulously
All business consists of stakeholders, such as suppliers, distributors, customers, and more. It is important to pick the best supplier in order to survive during the recession. An entrepreneur should always pick a supplier who would work with you as you grow your business. Reliable suppliers can also help in keeping the business activity schedule on time. They can also enhance the quality of the product by providing high-quality raw materials at cost-effective prices. These two factors are essential for any business to succeed.
Building A Relationship Of Trust With Customers
All business owners understand the importance of customer retention, as loyal customers are likely to bring in more revenue. In more technical terms, this step is known as creating brand loyalty within your customers, which is especially important to make your business a successful one during a recession. The best approach for this is to maintain the quality of your product, provide exclusive services to loyal customers, and by conducting your business in an ethical manner. Having loyal customers would make your business recession-proof.
Why Is It Favorable To Start A Business During A Recession?
Even though we have looked at all the methods of offsetting shortfalls, several people may find it hard to understand why some individuals find it favorable to start a business during a recession. The reasons are quite simple. People value innovation, particularly during a recession. As big companies would cut the budget for innovation, it is time for entrepreneurs to step in to create and innovate. It is also fair to assume that people prefer to save their money in a recession, which is why they are known to opt for companies that provide quality products in an innovative way!
Starting a successful business, no matter how small during a recession, isn't as simple as it may seem. You must ask yourself questions, such as do I have what it takes, what can I offer to that hasn't been done already, and most importantly, where will the resources come from? It is important to integrate all aspects of a business before starting one. The best decisions are those that are well-informed.
Covid19 has totally changed the way we live our lives. Everything is shut down!
In the beginning, we all thought it was going to be a couple of weeks. However, as the days went on, it starts to feel like this is now a part of life. The media why you might have heard the term "the new normal." Even after months of research, scientists have been unable to come up with a vaccine to control this deadly pandemic. We are all locked in our homes with plenty of spare time. People with jobs that could work from home are the lucky ones in the situation.
The restaurants are empty, the schools are closed, the gyms are closed, and all social gatherings seem to have evaporated. Unfortunately, this has become the new normal.
However, just because we are going through a tough time, it does not mean that it will stay like this forever. Once it all ends, life will get better, and things will return to normal gradually. Meanwhile, these few tips will help you adjust to life after the global pandemic.
1. Realize That The Virus Is Not Completely Gone
During our long months of social distancing, we took many precautionary methods to stay safe from the virus, such as wearing masks, washing our hands, and avoiding touching our faces. We need to keep that up and continue social distancing while we can because we need to realize that the virus is not gone just because we open back up again. It will take time for things to get back to normal, so you should keep up all the safety measures. This will keep you at peace because you will be doing your best to keep yourself healthy and safe.
2. Do Not Rush
Just because businesses reopened after the pandemic does not mean that you have to rush in there. If you are not mentally ready, don't go! So, you should know your boundaries and do not risk it out much.
3. Adjust To The Virtual World
Businesses will operate more flexibly than before, which will create a diverse work culture. We have already witnessed a dramatic change in everyday life. Everything from a doctor's appointment to work is now happening remotely. Therefore, you need to adjust more to the virtual world.
4. Be Kind to Yourself
If you had started any personal self-care regimen during the global pandemic, don't give up on them. Go out when you can to make sure you are not isolating yourself completely, and above all, be caring to yourself. Have empathy and compassion toward yourself.
5. Maintain Great Physical Health
Exercise and make sure that you are in great physical health to boost your immune system. Just because the gyms are closed, it shouldn't mean that you should stop exercising! Boosting immunity is definitely important in a time like this. It is also great for mental health.
Humanity has fought and won against greater troubles in the past, and we will surely get past this as well. So no matter what people around you tell you, stay optimistic as we will win this fight!
College tuition is too damn high! Especially now, with the pandemic, education is almost all online, there is almost no reason to pay five figures for online courses.
Even before the pandemic, many students take a gap year before going off to college. While many people think of a gap year with negative connotations, in reality, a gap year can turn things around for you completely for the better!
Get to see the world from a different perspective
When you’re in a continuous rut and are only focused on your education, at times, you forget about the world you’re living in. This doesn’t mean that you go in isolation and don’t have any contact with the outside world. Instead, you’re too focused on your education that you overlook everything else.
Going on a gap year will help you gain valuable insight into how the world works and understand it better. Many times, you will come up with sound solutions on how to change your lifestyle live a more impactful life.
Gain valuable career experience
A gap year doesn’t mean that you have to go out partying every day and not do anything productive. A gap year is essential to help you be more productive than ever before. You can opt for a variety of internships or apply for different jobs that interest you to gain valuable career experience. This way, when you enter your college life, you will have some practical knowledge about how things work and also many connections.
You can learn independence
What’s a better way to know how your real-life will look like than taking a gap year and getting things done without asking others for help. Traveling, volunteering, or working will teach you so much about managing everything. From managing money to managing time, you will be able to understand how to go about everything and work efficiently.
Reduced chances of burnout
Take a break from the back-to-back exams and a similar pattern of school life. Heading to college should be a fresh and new experience for you, and if you take a gap year, this can help make sure it stays that way. You will be able to make sure that you don’t burn out with the excessive college workload as soon as you enter college life. Your academic stress will balance out, and you will stay clear of burnout.
Develop new life skills
Utilize this time to develop a new skill and add it to your resume. This will add an edge to your overall profile and make you stand out amongst others in college once your gap year ends. New skills are always beneficial and can help you in a variety of ways throughout your life.
You will find yourself more active and wanting to do things more efficiently as time passes. Once you enter college after a gap year, you will be much more motivated and eager to learn. Therefore, you’ll find that your overall performance has also improved drastically.
A gap year can be quite a life-changing decision and probably the best one you’ll make before college. It can help you get a more in-depth perspective on how things work and help you grasp the college life better.
The last financial crisis, also known as the Great Recession, occurred during the years of 2007-08. It was the most severe economic crisis and unleashed destruction in financial markets all over the world. Started by the crumbling of the housing bubble in the US, it brought many essential businesses to the verge of a breakdown and took nearly five years for things to come back to normal. However, the Chinese writing of crisis is 危機. The two characters represent danger and opportunity. Entrepreneurs who were savvy enough launched their startups in the last economic downturn. Here is a list of 5 companies formed in the last financial crisis.
The most well-known outcome of the financial crisis of 2007-08 is indeed the formation of WhatsApp. In 2009, yahoo employees, Brian Acton and Jan Koum, founded WhatsApp. They wanted individuals from all over the world to connect with each other. The start of the journey was definitely not a smooth one. With the starting staff of only fifty employees and less funding, they did face many hurdles. However, like numerous other successful businesses, they found their way through and have won over major messaging apps such as iMessage and Facebook Messenger.
2. Credit Karma:
Ken Lin established a company known as Credit Karma during the middle of the financial crisis of 2008. It is a personal finance business related to financial technology utilizing adaptable models to annex organizations and clients through an online platform. In return for entering individual data, people can access and screen their credit reports and scores at no cost. Currently, the company has more than 250 employees. It even obtained funding of $2.5 million in November 2009 and has secured $368.5 million in overall financing.
Then college kids, Magdon-Ismail and Kortina, who met at the University of Pennsylvania, launched Venmo as an easy way for peer-to-peer money transfer. Instead of carrying cash to pay your friends, you could easily use Venmo. They were able to gain young users right away, given their popularity with the streams and the emojis in transactions. It was so successful that Paypal bought it.
Instagram was created in San Francisco by Mike Krieger and Kevin Systrom in the year 2010 when the world was going through one of the gravest financial crisis of all the time. Instagram revolves around posting pictures and videos with some cool filters and effects. From the very start, the business was a huge triumph with over a million users in just two months after it was released. Currently, it has 400 employees, with more than 130 million users.
Cloudera was created in 2008 by engineers Amr Awadallah, Christophe Bisciglia, and Jeff Hammerbacher. It is a US-based startup that gives a software platform for data engineering and analytics that operates in the cloud or on-premises. Currently, the company values more than $2 billion.
There are always opportunities in a crisis. With a pandemic and a global recession, this could be a golden opportunity hidden during this crisis for every hungry entrepreneur. Use this opportunity and hustle on!
With the ongoing pandemic of COVID-19, students have been doing tons of remote learning. Since colleges might continue their remote learning schedule in the fall, many students have been considering taking a gap year. After all, college is not only for learning but also about the experience. If college campuses aren't open for the fall of 2020, students should take a gap year. There is no value in paying college tuition to sit in front of a computer.
Here are a few of the things which students can do in their gap year:
1. Learn A New Language
Learning a new language is always a good idea! It allows for better communication, but it could also provide a more competitive edge in career choices. Learning a different language and culture could enable one to be more creative and is better for the brain!
2. Learn A New Skill
Students can use this time to become familiar with some new set of skills, which will help not only help in their resumes but also real life. There are plenty of online courses that students can quickly attend. Yes, these online courses are cheaper than college tuition. Even Youtube offers excellent and free classes online. Some sample skills include coding, website designing, finance planning, creative writing, and much more.
Students can take this gap year opportunity to earn some money through freelancing. There are plenty of students around the world who do freelancing work online. Multiple freelancing platforms like Fiverr, Upwork, or Freelancer can help them find paid assignments on a daily bases. Facebook group or Craigslist could also be great places for freelance work hunting. It could be a way to explore career choices for the future while making money.
4. Go on a Road Trip
There is so much beauty in this world! Now that you are taking a gap year emerge yourself in it! Get an annual national park pass and check out all the national parks in the United States. Going on a solo road trip could also clear the mind and feel better spiritually.
5. Watch Documentaries
Documentaries can be educational. Documentaries serve as incredible tools that discuss significant topics in an enthralling way that likewise starts a discussion, and in some cases, even social developments. They highlight the stories of real people on social issues, which makes them more relatable. Therefore, this is a great time for students to learn about different social issues and increase their knowledge by watching amazing documentaries.
6. Start Gardening
If space is not a problem, take this opportunity to get indulged in alleviating the benefits of gardening. They can even plant herbs to have an instant garnish item for all the delicious meals prepared at home. Homegrown veggies taste like no others. Besides this, gardening soothes a soul like nothing else!
7. Start an Art Project
Art is underrated. It relieves stress, helps with self-esteem, and makes you a happier person overall. It also helps with preventing memory loss!
8. Start a Company
With the tuition saved from a gap year, one could easily use that money as seed capital for a startup! It could be a great learning experience! As an entrepreneur, one could learn to become flexible, adapt to change, and uncertainty. If you need an office space for your gap year startup company, holler at us at Treehouse Society. We are at a much more affordable rate than your college tuition!
2020 has been a year of uncertainty, but it is also a great learning experience for all of us. Stay safe and healthy!
The recent pandemic has had catastrophic results on many people's jobs. The recent unemployment rate released in June is 11.1% in the United States. Globally, millions suffered from this global recession. Hence, we must begin to adapt and alter our ways of making money, so we can be just as productive after being laid off in the pandemic.
Social Media Management:During this time, it is essential to keep an eye out for any job openings and opportunities that may fall on your radar on Facebook groups or Twitter. There are plenty of small businesses that might need a hand in social media marketing remotely.
Freelancing Work: There are plenty of people around the world who do freelancing work online. Multiple freelancing platforms like Fiverr, Upwork, or Freelancer can help you find paid assignments on a daily bases. Work-related to almost all fields is available, and you can go for the type of work that suits you the best.
Online Trading Business:In case you own a shop or run any small scale businesses, then explore this chance to adapt and bring your work online. Set up a website or use multinational trading platforms like Amazon or EBay to list your products and recover the sales lost due to the pandemic. You can sell all sorts of products on these markets and make great profits during the lockdown.
Stocks:"Stocks only go up!" If you missed out, you should check out Dave Portnoy on Twitter, where he day trades as DDTG. His theory is that stocks only go up, and it is not false. The Dow Jones is reaching a new record every day. Do your due diligence and try it out! A great option to make up for the loss of income during the pandemic is to invest. Investments can be of many different types, but whether you go for short term or long term investments, you could be profiting every day if you find the right market to invest your hard-earned money. Stocks are a great option if you are aware of the market and have experience. In case you do not want to risk any money in the stock market, go for safer investment options like gold, bonds, or real estate.
Self-publishing:Kindle Direct Publishing is not like 2014 with tons of discoverability, but it could still bring in some income. If you have a story inside you, this is the best time to sit down and write it out.
Sell Used Items:Last but not least, if you are in possession of items or things that you no longer need, you can list them up at trading platforms like eBay or thredup to make some money out of them. This is much better than throwing them away. This would also free up space in your home.
This pandemic and lockdown is a difficult time for all of us, and many people are suffering economically and financially. However, if we adapt and explore our options to make money, we can surely get by.
There are strict instructions from the government to stay at home because of the Covid-19 pandemic. Practicing social distancing can become difficult when boredom hits, and you’ve nothing to do. There are thousands of activities to do in all fields to keep ourselves busy and productive inside our homes. Everybody is thinking of new ideas to keep them happy, safe, and healthy and out of boredom. When you are tired of watching Netflix or going through your social media accounts, you can try the following fun activities to keep your mind fresh and your boredom away.
Play Board/Card Games:This is the time when you can spend quality time with your family without the stress of an office or school project. You can play your favorite board and card games with them. Nowadays there are even online board games where you can play and compete with your friends. This can also be the way to keep yourself busy while enjoying since we all love to play fun games.
Learn To Cook:If you are bored with the food from your trusted meal delivery service, try spending some time improving your cooking skills. It is a golden opportunity to learn how to cook. This can help you deal with idle time. You can spend time in your kitchen preparing meals for yourself and your loved ones. With the help of some recipe books, online cooking tutorials, and applications, you can learn how to cook delicious foods and whatever you are craving, even if you are on a low budget. It’s better to cook in your kitchen and eat healthy and safe food.
Learn A Language:There are plenty of applications and websites where you can learn a new language. You can also join online classes to help you learn your favorite language when you are bored at home practicing social distancing. Being isolated in your homes can be a great opportunity to work on things you have always wanted. It is really beneficial to educate yourself in some manner. This activity can be fun and interesting and can help you to communicate with people afterward when you are traveling to a place where people speak that language. Duolingo is a great place to start!
Exercise Daily:There are many fitness challenges and workouts you can try at if you are missing your gym workout or jogging in the park. Staying healthy is important during social distancing. Taking out 30 minutes from your daily routine for a workout can be difficult for some of you, but during social distancing, you can give some time to your own self. Practice doing yoga, basic exercises, or you can even dance to stay fit. Physical activities can help you sleep better and lift your mood while making your mind fresh and active.
Get In Touch With Your Friends: Missing your friends but doesn’t have the time to contact them because of your tiring and busy routines? This is the right time when you can talk with your friends for hours on video calls or messages. Remembering your old time discussing jokes or reminiscing over memories can make your day more fun. Laughing with them can boost your mind. Ask them if they need any help or assistance during this pandemic situation and try to be nice and helpful to everyone around.
Social distancing can be really difficult, but doing different things every day can help you spend your day without getting bored.
Working remote isn't an easy feat. At the beginning of the pandemic, it might have felt awesome to be eating ice cream at 10am while working in your PJs. It may appear easy due to the option of working in your scheduled time, having the free will to pick up desired orders, and having ample time free to do anything. But it can prove to be quite difficult to maintain focus, have the will to do work with so many distractions around like, TV, Phone, video games or any chores that you need to do. So these distractions can play a huge role in keeping you less productive and away from work.
Don't worry, a lot of people have been working remotely long before entering this pandemic. They have lots of advice for newbies entering this arena. Whereas, some remote workers suffer from lots of emotional and mental pressure that could hinder their outputs. There can be pressure and expectation of sending out efficient work with no mistakes all the time, but it can soon take a toll on the mind. Here's how you can tackle pressure and be more productive on your remote working journey.
As a remote worker, it is very important to follow the tips above to ensure you are as efficient as possible. But it is important to reward yourself with breaks, treats in between, so you don't lose your pace. Remote working still requires constant hard work and motivation to finish all the tasks in time, while also having fun.
From coronavirus to economic contraction, frugality should be on everyone's mind. A frugal person is someone who likes to live and lead a simple life with the quality of being economical with money or food. S/he does not believe in living beyond his or her means. Practicing frugality has its own set of benefits and advantages. A frugal person prefers to live and enjoy an environmentally friendly life, who has more time to spend on himself or herself and priorities straight. He or she does not demand perfectionism in any aspect of his life, which enables him or her to lead a happy, peaceful, content, and satisfactory life.
Benjamin Franklin, a renowned personality, who was a founding father of the United States and along with that a great writer, politician, scientist, and inventor, also wrote some tips on frugality. The following are his ways of frugality:
Benjamin Franklin was not "against" wealth and the luxuries of life. His only question for the people who used to live a life full of luxuries was how they afforded a life of luxuries without harming others. Now you must ask, how were they harming others?
He believed that the actions of such people were hurting others. His whole idea was around the fact that he wanted people to show some generosity. He preached that one should never waste anything and always do well with others and oneself. His ways of frugality revolved around doing charity to help others. Especially in the times of COVID-19, and economic contraction, it is time to help others and be generous.
BE EXTREMELY FRUGAL, TILL YOU HAVE PAID WHAT YOU OWE
Here Benjamin says that one should never give the power to anyone to have control over you or your liberty. Whenever you ask someone for money or when you owe someone, no matter how less or big the amount is, that person has control over your freedom. So Benjamin believed that no matter how thriftily a person has to live his or her life, even if he has to eat a slice of bread for dinner, he should, till he has paid the person back. Benjamin's ways of frugality revolve around a much-known fact, which is, debt will always ruin a person. One should enjoy life and its fruits peacefully and with no stress and embrace everything that comes with living a debt free frugal life. If it isn't necessary, do not take debt on
HAVE PATIENCE, DON'T BE GREEDY
Benjamin believed that if one has decided to invest in a business or start a new business, then he or she should work extremely hard, both mentally and physically, to make it successful. He should spend hours and days trying to make it flourish no matter how slow or impossible the process they may seem. He says to be hardworking and have patience, both in life and in general. Do not grope at every opportunity that might seem to be beneficial or more fruitful.
Hopefully, these humble tips from poor Richard will help you navigate 2020!