Bootstrapping

Bootstrapping describes a situation in which an entrepreneur starts a company with little capital, relying on money other than outside investments. An individual is said to be bootstrapping when they attempt to found and build a company from personal finances or the operating revenues of the new company.

In B2B SaaS, bootstrapping forces a focus on profitability and customer revenue early on, rather than growth at all costs. It allows founders to retain full equity and control but may limit the speed of growth compared to venture-backed competitors.