Bootstrap is a method of obtaining financing for companies or projects that do not benefit from traditional financing. It's an investment method that enables a startup, small business or project to raise capital by investing from its own resources. It can also be applied to larger companies wishing to limit the involvement of outside investors, or to any business wishing to launch itself without recourse to bank financing or capital borrowing.
Bootstrap enables companies to launch themselves by limiting their risk and costs. As a result, the company can devote more resources to day-to-day operations, improving its technology and acquiring new customers.
The most common ways to bootstrap are by injecting personal funds, obtaining loans from family and friends, self-financing and crowdfunding. It can also be useful to find partners to help secure funding.
Finally, bootstrapping can be beneficial as it reduces debt and helps get a project on track with limited capital. However, it's important to bear in mind that bootstrapping is not risk-free and can be difficult to implement. What's more, it's essential to ensure that the financing obtained is profitable and sustainable.