Small business owners are being advised to focus on internal resources when starting out, as pressure grows around funding and rising costs. The guidance comes as many early-stage entrepreneurs continue to rely on loans before testing their ideas in the market.
Speaking in the latest episode of Growing Your Business Series with L.O., she said many founders overlook what they already have access to. According to the programme, early-stage businesses can begin operations without external funding by using items, skills, and networks within their immediate reach.
Read also: How to start your business with internal funds
“At the start of a business, you can use available resources, that is, internal resources. You don’t have to go out looking for things,” L.O said.
The programme highlighted simple examples. A person planning to start a bakery may already have ingredients such as flour and sugar at home. In the same way, a writer with a laptop can begin drafting a book and share updates online to attract interest.
The discussion also pointed to the role of personal networks. Contacts saved on phones and social media platforms can serve as early customers or supporters. “Tell people about it and then grow your business,” she added.
Social media was identified as a key tool. Entrepreneurs were encouraged to use platforms such as WhatsApp to promote products and services at no cost. The programme stressed that communication plays a role in building awareness before any financial investment is made.
Attention was also drawn to spending habits among new businesses. The programme noted that some founders commit funds to office spaces, vehicles, and equipment before generating revenue. This approach, it warned, can lead to financial strain when sales are low or uncertain.
“A major problem with start-ups and small business is that the first thing they want to do is get a big office space, a car, and loads of stuff that will increase their cost,” L.O said.
Instead, the programme advised founders to carry out many tasks themselves in the early stages. These include managing communication, preparing proposals, and handling online pages. This approach allows the business to reduce costs while building a customer base.
Hiring was another area of concern. The programme cautioned against employing more staff than required. It said each role should have a clear purpose linked to revenue. Business owners were urged to define what each employee contributes before making hiring decisions.
“You don’t need to keep 50 staff because you are starting up your business,” L.O stated.
The issue of salaries was also addressed. The programme said business owners have a responsibility to pay employees on time. However, it noted that founders may delay their own pay while the business is still growing.
“You can’t tell them stories at the end of the month ‘Oh! We didn’t make money so we can’t pay you’,” L.O said.
The episode concluded by urging entrepreneurs to build gradually. It advised them to rely on existing tools such as personal vehicles, homes, and devices before expanding operations. Growth, it said, should follow revenue.
“Make sure that the business has become very sustainable and profitable and then you can start paying yourself,” L.O added.
The series continues to focus on practical steps for small business development using available resources.
