Re:Startup Restructuring 101
by simonswords82 on Sunday November 27, 2022 @04:22PM
(#33767125)
Started my business with £20k of credit card debt. Would have sucked had it not worked out. Was a huge sigh of relief the day I was able to pay it off.
Most bootstrapped companies need some initial funding which usually comes from the founders bank account, with the idea being that’s it.
But it can be tempting to accelerate your bootstrapped growth by taking debt financing (credit cards, mortgages and other personally guaranteed loans)
The difference is that in most of these cases you are personally liable whereas you can walk away from VC funded businesses.