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Starting your own business is a process with a fair share of challenges. Even in the web design world, where you can potentially minimize costs by working from home and collaborating with freelance contractors, many expenses exist. 

To run a successful web design business, you need enough money to invest in everything from skilled colleagues to resources (like fonts and themes), software subscriptions, and technology tools. Finding a way to fund your company can be the most complicated part of ensuring its success.

For most new companies, the easiest option to generate opportunities is “bootstrapping.” Learning how to bootstrap a web design business means knowing how to bring your business to life with virtually no starting capital. 

Here’s how to get started.

What is Bootstrapping? 

Successful bootstrappers take an idea, such as creating a web design company and create a fantastic company without the backing of investors. It takes significant dedication, commitment, and single-mindedness to accomplish your goals, but some of the world’s greatest entrepreneurs, like Steve Jobs and Sam Walton, got their start this way. 

The term “bootstrapping” comes from the phrase “to pull yourself up by the bootstraps,” which indicates overcoming challenges on your own without any external support. 

The pros and cons of bootstrapping include:

Pros:

  • Full control: Bootstrapping allows entrepreneurs to retain full ownership over their business. Alternatively, engaging with investors means allowing other professionals to own a portion of your company or make a share of the decisions. 
  • Innovation: Business owners in a bootstrapping model are forced to invest in agile and innovative business models. You must develop processes to produce immediate, lasting cash flow from day one. 
  • Accomplishment: Building something from the ground up creates a powerful sense of satisfaction and accomplishment. 
  • Ownership: You won’t have to sell any equity in your business to other investors, which means you can benefit fully from the company as it grows.

Cons:

  • Risks: Self-funded businesses generally run out of funds faster and struggle to scale as quickly as other companies, limiting the brand’s ability to reach its potential.
  • Limited support: Traditional financing methods (like working with investors) also provide networking opportunities and support from specialists who want to see your company succeed. 
  • Pressure: Bootstrapping businesses need to be meticulous about everything from keeping books to making the right decisions for brand growth. 
  • Hard work: With limited resources, connections, and options, bootstrapping entrepreneurs need to work harder than most and take on more roles.

How to Bootstrap Your Web Design Business: Step by Step

Bootstrapping a web design business can be complicated, but it works for many companies if you follow the right strategy. The good news is web design companies generally don’t require as much initial capital as some other types of companies, like standard retail brands or companies with a need for brick and mortar offices.

However, there are still steps you’ll need to follow to ensure success.

Step 1: Source Some Initial Funds

While you might not work with investors when bootstrapping your web design business, you’ll still need some essential initial funds. To run a web design business, you won’t necessarily need a massive initial investment, but you will need something. 

To determine how much capital you need to raise from your income, savings, a line of credit, or other common bootstrapping sources, think about:

  • Where you’re going to work: The upfront costs of operating your own web design business will be a lot lower if you choose to work from home and with remote specialists. The less you have to pay for office space, the better.
  • Business fees: You may need to pay fees for registering your business name, hosting your own website for advertising, and dealing with any registration costs.
  • Equipment and software: Think about what you will use daily for web design. Subscription-based services like Adobe Creative Cloud can cost quite a bit to access. You’ll also need a good computer, and perhaps a tablet for sketching.

Step 2: Find a USP 

The easiest way to ensure a bootstrapped web design business is a success is to ensure you are offering specific clients something they genuinely need. In a service-based landscape like web design, you need to know what your customers want and offer something they can’t get elsewhere.

For instance, can you differentiate yourself from other web design companies by helping with modern trends like 360-degree video and XR-ready design? Can you build apps for companies from scratch and provide ongoing maintenance for the websites you make?

An excellent way to find your USP is to examine your competitors. Find out what other companies in your area are offering their customers, and listen to consumers in your industry when they talk about what they need from a website designer. 

Step 3: Choose a Cash Flow Optimized Model 

Since you’re relying only on your cash and the money you make from your web design business to fuel its growth, choosing a model optimized for consistent cash flow is essential. Bootstrapping a business often means you place most of the profit you gain from your company back into the development of the brand. 

With this in mind, consider how you’ll offer services and charge your customers. Are you going to ask for a portion of the fees up-front before starting a web design project? Can you provide your customers with subscription models to improve your revenue consistently?

For instance, you could provide help with ongoing maintenance, development, and support rather than just offering to build websites for companies. Another way to make additional income is with professional services, like consulting. 

Make sure there’s a market for the services you’ll offer before launching your business by examining the surrounding environments and services your competitors provide.

Step 4: Keep Costs Low and Profits High

Keeping costs low will be essential to ensuring your success when bootstrapping a business. Fortunately for web designers, it’s relatively easy to cut down on fees. For instance, WordPress is free to use for your development projects, making it an excellent choice for many web design strategies. 

You can also look into common free and cheap alternatives to web design tools online, like GIMP. Shop around for the things you will be paying ongoing fees with. For instance, it’s best to check out multiple vendors when looking for web hosting and marketing support. 

While keeping your costs low, it’s also essential to accelerate profits as much as possible. You can look for ways to boost customer retention by building stronger relationships with your clients and offering them deals on long-term subscriptions. 

If you have time outside of your web design business, you can also try taking on some side hustles. Options include:

  • Selling web design assets on sites like ThemeForest
  • Offering your services on a freelance basis with sites like Dribbble and Toptal
  • Designing and selling NFTs for the metaverse
  • Teaching web design or selling webinars

Step 5: Grow Cautiously

Finally, while the goal of successfully bootstrapping your web design business will be to grow as rapidly and consistently as possible, it’s important to be cautious. For instance, you’ll need to be able to afford the fees of every new designer you bring onto your team, so consider looking for freelancers and contractors rather than permanent hires.

Use organic channels for marketing your services, like blogging and content marketing which can help improve your SEO standing and attract attention among clients. Plus, encourage your customers to recommend your services to other brands. 

As new clients approach your business, ensure you only take on as many customers as you can reasonably handle. Compromising on quality will damage your relationships with customers and harm your reputation. 

Good Luck Bootstrapping Your Business

When you’re bootstrapping a business, you get the benefit of being able to eliminate any outside influences from your growth. You’re free to focus on building relationships with companies of your choice, and you get to make decisions about your growth. However, there are downsides, too, like significant stress and limited financial opportunities.

While bootstrapping your business is tough, if you manage to complete the process successfully, the results can be fantastic. 

 

Featured image via Unsplash.

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If you’re here, then you’re thinking about becoming a web designer and wondering if it’s a smart move.

Honestly, it’s not uncommon to be plagued by doubts and what-ifs when making a big career change, and that’s especially so right now, what with all the uncertainty we’ve faced over the last year.

Here’s some good news: It’s never a bad time to become a web designer, which makes 2021 the perfect time to turn your passion into a career! Here are 8 reasons why:

1. People Are Spending More Time Online Than Ever Before

DoubleVerify surveyed consumers’ digital consumption habits in 2020, and guess what it found? The amount of time people spend online has doubled since the pandemic began. Before 2020, consumers worldwide were spending an average of 3 hours and 17 minutes online every day. Now? The average is 6 hours and 59 minutes.

Needless to say, web designers are in high demand as businesses rush to get in front of these consumers.

2. There’s a Big Freelance Boom Right Now

An Upwork study at the end of 2020 reveals that freelancing grew by 22% (about 2 million workers) since 2019. This now-popular career move is a great option for everyone — from university graduates entering the workforce for the first time to anyone who’s been recently laid off. Heck, if you’re just plain unhappy with the course of your career and want to shake things up, freelancing could be the breath of fresh you need.

3. It’s a Future-Proof Field

In these uncertain times, you’re right to be cautious about jumping into something new. But web design is a career that’ll be around for a long, long time. It’s not just the fact that we’ll always need people to build websites that makes this field future-proof. You could build… Websites. Mobile apps. Web apps. Progressive web apps. You could specialize in… Graphic design. UX design. Web development. You could work for yourself. Build your own agency. Go work for someone else.

There’s a ton of flexibility in how you make a living as a designer. So if your interests change or your industry is impacted, that’s fine. Just pivot!

4. You Can Do It From Anywhere, Anytime

When people are nervous about traveling or living in densely packed cities, that’s not something that should worry you as a web designer. One of the benefits of being a web designer is that you can do it from anywhere you want and on your own schedule.

This is especially nice for anyone who has a family and needs a more effective way of managing it all at once, even when the kids aren’t in school or jobs out in the physical world are diminishing.

5. You’re in the Driver’s Seat

Let’s face it, it can be really stressful working for a company where you have little to no say about what goes on, how it gets done, and how much money you make for all your efforts. This is one of the reasons why freelancing is such an attractive option for many. You get to decide which content management system you build websites with. You get to decide who you work with. You get to set your hours of availability. You make the rules. And you know what? You can change them at any time. It’s all on you.

6. It Can Be a Lot of Fun

There’s some fascinating stuff coming down the line in digital design. For instance, augmented and virtual realities are really starting to pick up speed as ecommerce companies need a better way to allow customers to window-shop and try stuff on digitally.

AI is also bringing a lot of changes to the space. Not only can machine learning and language processing improve the way companies do business online, but they can also improve the way web designers work, too.

7. It Can Also Be Really Rewarding

Because you control your career as a web designer, you get to decide who you build websites for. So, what kinds of causes are you passionate about? Is there an industry you have close ties to and want to give back? This isn’t about working for free. This is about offering your professional design services to people you’re invested in and causes that get you excited.

Not only will it be easier to work for clients like these, but you’ll enjoy it more, too.

8. You Don’t Need to Go to School to Become a Designer

This is a common question for people wanting to leap into web design. While you should have some basic knowledge and skills when you start, you don’t need a degree in design or development to start making money.

One of the beautiful things about becoming a web designer is that you can learn as you go. Here are 5 free courses that’ll help you get to the next level. For instance, you can start as a freelancer, building websites from pre-made templates or themes. As you get more experience and pick up advanced design and coding skills, you can then branch out into specialized fields or areas of expertise.

Ready to Become a Web Designer?

There are many, many reasons to leap into web design in 2021. But are you ready? Before you get started, make sure you have a trusted set of resources to help you with the business side of becoming a web designer. Webdesigner Depot is a good place to start. You’ll learn things like:

And much, much more. When you’re ready, check out this 3-part business branding series where you’ll learn how to kick off your new web design business the right way.

 

Featured image via Unsplash.

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2020 has been an interesting year, to say the least. And although I’m sure many of you can’t wait until the calendar flips ahead to 2021, it doesn’t look as though we’re going to be able to say goodbye to 2020 so easily. Many of the changes we’ve had to make this year are now expected to stay with us — a least for the following year.

The latest research gives us some hints about what’s to come.

If you want to start preparing for 2021 now, then these reports and surveys from organizations like 99designs, Upwork, Content Marketing Institute, and McKinsey & Company are a must-read:

1. 99designs Reports on the Common Challenges Freelancers Faced in 2020

I don’t want to make 99designs’s Design Without Borders 2020 report sound like it’s all doom-and-gloom. Because it’s not.

That said, 2020 has been a rough year and it would be irresponsible for me not to acknowledge the challenges that all of us freelancers have encountered this year. This report is one of the few I’ve found that includes data on the major challenges freelancers have dealt with this year, including:

  • 36% have struggled to maintain a steady flow of work or a stable client base;
  • 27% had clients who cut their business budgets and, consequently, their freelancers’ workloads;
  • 26% had at least one project cancelled or indefinitely paused;
  • 22% have been ghosted by at least one client.

Beyond working more hours and hustling to find new clients all the time, what else can freelancers do to weather a business disruptor like COVID-19? There are a number of things.

For starters, it would be really helpful to have a crisis management plan for your finances. It would also be beneficial to refocus your efforts on finding clients who pay for the value you provide and not for the hours you spend building websites. Clients who see the value in what you do will be less likely to ghost or drop you at the first sign of trouble.

2. Upwork’s Survey Reveals Educational Opportunities for Freelancers

Upwork commissioned Edelman Intelligence to put together its very first Freelance Forward survey. The goal of the ensuing report was to shed light on the state of freelancing, how the pandemic has changed it, and what we can expect in the future as a result.

One of the data sets I think web designers should pay close attention to is this:

According to this survey, freelancers only spend about 52% of their time on billable work.

Now, one of the reasons why entrepreneurs and enterprise companies make so much money is because tasks are relegated to different team members. For instance, if a design agency owner is good at building relationships with prospects, they’re going to spend time on sales calls and managing social media. The day-to-day admin tasks would then get offloaded to virtual assistants and billable project work would go to designers, developers, writers, and so on.

But as a freelancer, you don’t have the ability to delegate and scale when you’re working solo.

Rather than burn yourself out trying to handle all these things yourself, the report suggests there’s something else you can do:

Although freelancers recognize how important soft skills and business skills are, the first data set suggests that not enough attention might be paid to them.

What I suggest is that you take a look at the division of your work hours. If you’re spending less than half of your time on billable work, it might be a good idea to strengthen your non-design skills. That way, things like marketing, contract preparation, and client management won’t consume so much of your time in the future and you can bill more.

3. CMI’s Annual Report Reveals Profitable Opportunities for Web Designers

Content Marketing Institute’s annual B2B Content Marketing Report is, once again, chock full of useful tidbits about the state of content marketing.

While a lot of the data is focused around marketing organizations and how they’ve pivoted during the pandemic, I thought this bit of info would be really helpful for web designers:

For those of you who design B2B websites, take note of where these companies plan to invest in 2021. If 2020 has been particularly hard on you, or you simply want to expand your horizons, there are some other opportunities worth jumping into:

B2B Marketing Investment => Web Designer Opportunity
Content creation => Blog graphic design, infographic design, and schema markup creation
Website enhancements => Website redesign, website audits
Content distribution => Social media ad design, Google ad design, schema markup creation
Getting to know audiences better => UX research, UX design
Customer experience => Chatbot/live chat development, support portal creation

4. McKinsey B2B Analysis Suggests That Digital Is Here to Stay

For those of you who’ve worked for a B2B sales organization before, you know how important in-person interactions are to them. It’s not as though they can just sell their products or services online the way B2C ecommerce companies can. The key to B2B success is through customer (and partner) relationship building.

Prior to 2020, this meant lots of in-person meetings, phone calls, and emails. But something has changed this year, on both sides of the fence.

This chart from McKinsey suggests that digital relationship building and customer service aren’t just a temporary solution for COVID-19. B2B decision-makers are coming around to the idea that this is going to be their “next normal” (as McKinsey refers to it).

These new “go-to-market models” include the following:

  1. Talk to prospects, customers, and partners via video calls;
  2. Digital self-service options for customers who prefer the DIY method.

As a web designer, you can help your B2B clients level up their efforts to achieve this next normal.

For starters, you can integrate scheduling into their websites. This’ll empower prospects to schedule video meetings (for demos, discovery calls, etc.) with your clients’ sales teams.

Another thing you can do is build out self-service elements like live chat or chatbots, FAQs pages, knowledgebases, and support portals. As consumers become more confident with doing business online, these self-service options will make a world of difference in their experience with brands.

Wrap-Up

I know, I know. 2020 sucked. But at least we have a good amount of research and experience that gives us a much clearer idea of what we’re getting ourselves into with the coming year. (At least, I hope so.)

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