Saving Money in your Startup

The best way to save money so that you create a sustainable business is not to spend it. Avoid the following wasteful spending practices and you will build capital quicker:

1. Spending on advertising, signage, brochure, designer website. Rather use every resource you have to create awareness of your product, there are plenty of cost free methods around including marketing to friends and their friends via social media and email. Design your own website using www.wozaonline.co.za. We did, for Beautiful Bracelets and have had many compliments on it!
2. Don't waste money on business cards, customised stationery, designer logo's (design it yourself). All these things initially can be printed on your own computer, for very little. If you're using an internet cafe/Postnet, you can print a few as needed to save costs once you have a template. Get free templates from MSWord or Publisher,, or go online to www.avery.com or www.redfern.co.za to create your own labels, business cards, invoices. Stationery in South Africa for any of these templates is available from Waltons, and you could more than halve your costs at the early stages of your business by going this route. At some point, as your reach expands, it becomes cost effective to use a dedicated printing service, but initially, doing it yourself, you can print a few of each as required..
3. Expensive office suites. Rather work from home. In my first business, I justified having expensive offices in an upmarket business area, it nearly put me under in the first year. The justification to myself was the image it projected to clients, but quite frankly, I usually met them at their offices, not mine, and eventually to save costs for a season I moved to work from home. That initial outlay of 2 years' office rental would have been a great capital injection to take the business to the next level after 2 years, instead of which it took longer to establish that business.
4. Luxury Company car. Definitely a way to eat into your cash. 
5. Bank charges. In South Africa Bank Charges are still too high. I would recommend any startup in South Africa to bank with Capitec (no fees). Shop around, negotiate the best deal for your business if at all possible.
6. Data. Although we believe and hope these costs will come down rapidly within the next year or two, data charges are high. You have no choice over in an online business, at Beautiful Bracelets we reduce our "spend" on data by making use from time to time of the unlimited free wireless data at Cappucino's, Midrand. They know all about how to create loyal customers!
7. Phone calls. Expensive in South Africa, even for local calls.Use text/SMS and for calls, use Viber (smartphone app) or Skype.

Big Day Tomorrow!

I have known from the start of this Challenge that 10 November would be the biggest day for me... A Christmas Market at my church where 600 women have confirmed attendance for a Conference running parallel to the Market, a wonderful opportunity for Beautiful Bracelets to be showcased and many have warned me to anticipate a sell-out! I really hope so.

In addition to this, elsewhere there are Beautiful Bracelets selling, in stores, at Flea Markets, online and even at a Charity Art Auction in support of the Starfish Foundation...

I must say, this Radio 702 Money Show R1000 Challenge (make a profit from R1000 in just 6 weeks) has blossomed into something bigger than even I could anticipate. The publicity has been phenomenal, although I am being quite careful to keep tabs as far as possible as to which sales I could attribute to the fact of the publicity generated by the actual Challenge, and which sales are as a result of my own personal networks and social media and ENERGY. It takes a LOT of energy to make a success out of any business and I have worked very hard on this business NOT just with the idea that it is a "6 week wonder" but rather, I have viewed the 6 weeks as an opportunity to start something that would have legs, that would go the distance and actually continue to be a sustainable business that would help people going forward. It may be in the spotlight at the moment, but I still have a big vision for what it possible, whilst still working on the nitty gritty of the day-to-day aspects that are needed to nurture a micro business startup.

There are probably things I could have done better. And I'm sure I will receive useful guidelines. There are people now depending on the ongoing success of this business and my desire is that it will continue to be a source of inspiration, hope, and an income for many...