How I started my Business
ACP began in April of 1986 in a 1972 model single-wide trailer house. This was before trailers improved to mobile homes, and before mobile homes improved to manufactured housing. This was a trailer house. We bought it used. The dining room of the trailer house was soon to become the world headquarters of ACP International. Here’s a photo. If you think the outside looks good, you should have seen the inside.
It would be stating the obvious to say that we began small. We worked side by side, mainly because there wasn't room to work back to back. We manufactured two products, but we were able to do that successfully. And because our costs were so low, we were able to do better than break even in our very first year. (Barely…).
I am happy to say that at the time of this writing, ACP has never had a money-losing year. I don't say that to brag or to imply I have some magic business acumen. The fact is that in the early years ('86 through '88), we didn't lose money because we spent so little money. Keeping the costs low was the key to being profitable.
I did a lot of traveling sales work to meet customers. I drove and camped at campgrounds, with an occasional stay at an economy motel. I packed food and ate in the car. This all sounds very miserly, but it wasn't. We were on the road to the American Dream. It was a fun adventure.
Back in those days (the mid 80's), it was common for a salesperson to wear a suit and tie. I was surprised to see multiple people staying at campgrounds on weekdays who got up at 6am and put on a suit just like me. It was inspiring to meet retired folks who had a genuine interest in what I was doing. They offered encouragement and advice, which I greatly appreciated.
In hindsight, I probably would have done better had I been more aggressive in expanding and spending money on supplies, sales, and equipment. However, at the time I was afraid. Afraid may not be the right word. Timid might be a better description. I just didn't have enough knowledge and experience in the business world.
As I said, we eked out a profit from the very beginning. Then, year after year, we invested our company profits back into the business, adding product lines and equipment as time went by.
You may be thinking "Wow. They hit the big-time and bought a double-wide!". Well, not exactly, but we were able to do better and better as the years went by. And we did it without a lot of stress, because we never had any debt.
Finally, I'm not saying the only way to make it is by extreme frugality. If you have more knowledge and experience than I had in the beginning, you can take more risks. However, I will suggest that you lean toward the frugal side. You don't have to go crazy, but just lean that way. It will increase the chance of your success, and it may give you some great stories to tell decades later.