I had always wanted to start a business catering to the small mom-and-pop stalls in the HDB heartlands. Thus, i christened my new business eNeighbourhoodStore (ENS).

The 2nd start-up was a little bit more tricky as i didn’t have anyone to help bankroll the operations. So i had to put my own money in - and be frugal about it.

Very early on, i realised that i cannot work from home. The multiplicity of temptations (fridge, TV, bed) is beyond what my weak mind could handle :). So i needed an office space - preferably in town cos all my clients will be from around here. Office rental in town area is not cheap… and i was a little apprehensive of sinking expenses even before i earn a single cent.

Business Lesson: Leverage on your network

This will not be the first time i am glad i have a wide network of friends.

I was fortunate that i had friends who’ve rented office space in town. After speaking to them, we arranged for a barter trade - I would help them to manage their website in exchange for a desk at their office.

Indeed, it was a God sent in many ways. Solved my need for working space.

Business Lesson: Close Sale + Get Down Payment = Cashflow

Starting on a shoestring means i have to really guard my cashflow. At that time, the best way i know of to get immediate cashflow was to start a web hosting business. Clients pay 1 year in advance, they get 12 months worth of prepaid services from you, and you get a cash buffer of 11 months (assuming the first month hosting fees goes to servicing your hosting reseller account).

My first web hosting client came in really fast… an old friend’s recommendation. My first client wanted web hosting and web design - exactly what i was looking for. The web hosting fees alone covered the web hosting expenditure for the first 5 months. The web design fees took care of my first month’s salary and then some.

Eventually word got around that i was starting a new web hosting / web design business and more job came my way.

Business Lesson: Be the Go-To person

I must say one must respect and cultivate your own network of friends and business connections. In my circle of friends, i seem to have cultivated an image of an IT specialist. I was the first person on their mind when it comes to anything IT.

Admittedly, there are a lot of IT professionals in my circle of friends. I can only speculate why they choose to find me:

1. Can do attitude
2. Approachable
3. Available - i run my own business and can do what they need now - not some freelancer or part-timer.

How successful was i? I am proud to say that i had no need to make any cold calls in my 2 years building ENS.

Next (Part 3): What happened when my business grew too big…