Welcome to my office alias my room at my parent’s house in Germany.
Where I am currently building the EdTech startup Learn Business® and the first online programme, the Entrepreneurial Leadership Accelerator.
All with my refurbished MacBook from 2010.
I could move back to London and buy the newest MacBook but frugality is highly important when building a startup.
Frugality does not mean cheap.
Being cheap means that one is cutting corners to save money in the short-term without thinking about the long-term.
On the other side, frugal entrepreneurial leaders want to maximize the use of available resources.
And sometimes being frugal even requires spending more in the short-term to make sure that one is better off in the long term.
Deliver maximum value while spending as little as possible.
In the beginning, get rid of the idea to rent a fancy office.
You can use services such as AndCo and meet with your co-founders and team members at bars and cafes.
This is how I grew and led Awaken&More to 4 board members and 7 consultants.
We had zero office costs.
It is possible.
You should always squeeze the last drop out of every Dollar, Euro, or Pound, no matter how many you have of them.
Also get rid of expensive marketing materials such as branded clothes.
Focus on your cash flow, not on impressing people.
And even if your cash flow is high, you should not overpay for anything.
Sometimes, when founders succeed beyond their initial expectations, they tend to become less frugal and stop getting the most value for their purchases.
Whatever you do, think about whether you just want something or whether you really need it.
If you just want something, say no.
If you really need something, get it.
It is that simple.
Thinking this way will reduce your startup costs to a bare minimum.
And it will free up resources that you can spend on things that have an actual impact on your personal and professional development.
Such as an online programme that gets you to your goals much faster than you could ever hope to on your own.
Just spend money if it leads to a return on investment, whether tangible or intangible.