<p><img src="https://static6.businessinsider.com/image/5f11a5f619182429d36bf389-1600/jen%20glantz%20party.jpeg" border="0" alt="On rare occasions, Jen says she remains good friends with clients. Courtesy of Jen Glantz" data-mce-source="Courtesy of Jen Glantz" data-mce-caption="On rare occasions, Glantz remains good friends with clients."></p><p></p><bi-shortcode id="summary-shortcode" data-type="summary-shortcode" class="mceNonEditable" contenteditable="false">Summary List Placement</bi-shortcode><p>When I finally decided to become an entrepreneur, I was determined to start my own business without tapping into my <a href="https://www.businessinsider.com/personal-finance/what-are-the-best-savings-accounts-right-now" target="_blank" rel="noopener">savings account</a>. I wanted to minimize risk and try out my business idea with as little cash as possible. Since my business was service-basedI'm a <a href="https://www.businessinsider.com/hired-bridesmaid-what-happens-after-wedding-2020-7" target="_blank" rel="noopener">professional bridesmaid for hire</a>and I didn't need to shell out any money to design and store a product, I knew I could start this business for a very low amount.</p><p>I determined how much capital I needed by analyzing all my initial costs (website, logo, marketing materials, advertising, etc.) and decided that I would need a total of $2,500 to get my business up and running and take on a few clients. Once I had money coming in, I could optimize and grow the business.</p><p>I decided to come up with $2,500 without touching my <a href="https://www.businessinsider.com/how-much-money-to-save-in-emergency-fund-rules" target="_blank" rel="noopener">emergency fund</a> or dipping too much into my personal finances. Here's how I was able to do that in less than a few months.</p><div><style> #div-gpt-ad-1579713650634-0 > div > iframe { width: 100% !important; min-width: 300px; max-width: 595px; } </style><script async src="https://securepubads.g.doubleclick.net/tag/js/gpt.js"></script><script> window.googletag = window.googletag || { cmd: [] }; googletag.cmd.push(function () { googletag.defineSlot('/1035677/Business_Insider_', [[1, 1], [300, 139], [595, 139], [300, 250], [595, 250], [300, 360], [595, 360], [300, 475], [595, 475]], 'div-gpt-ad-1579713650634-0') .addService(googletag.pubads()); googletag.pubads().enableSingleRequest(); googletag.pubads().setTargeting('category', ["Banking"]).setTargeting('subcat', ["Savings Accounts"]).setTargeting('post_id', []) .setTargeting('post_url', []) .setTargeting('keyword', []) .setTargeting('company-product', []) .setTargeting('post_title', []); googletag.enableServices(); }); </script><!-- /1035677/Business_Insider_ --><div id="div-gpt-ad-1579713650634-0"> <script> googletag.cmd.push(function () { googletag.display('div-gpt-ad-1579713650634-0'); }); </script></div></div><h2><strong>I took on freelance and side hustle work</strong></h2><p>I had a full-time job at the time and was making a good salary, but I didn't want to use a lot of that money toward my new business costs. I was already stretching that salary to afford my rent in New York City and my <a href="https://www.businessinsider.com/how-to-manage-your-money-expert-budgeting-tips" target="_blank" rel="noopener">strategically organized budget</a>. So instead, I decided to take on a few freelance and side hustle projects for other people, temporarily. I wanted to make around $750 from this work, so I spent two months working on small projects to make that happen.</p><p>This allowed me to hold onto my salary and use it for my personal costs and financial goals while also bringing in a little bit of money on the side to put directly toward starting my business.</p><h2><strong>I edited my personal budget</strong></h2><p>I was very conscious about not letting my new business venture make a dent in my personal finances or savings account. I had just stopped making a ton of money mistakes, and I wanted to maintain the new, good habits I had put into place. That's why I decided to add a line item to my budget that was for monthly savings for my business.</p><p>I decided to save $200 a month (for three months) and put that money toward starting my business.</p><p>This meant I had to edit my personal budget. I found different areas to cut back my spending so that I could spend $200 less a month on personal items. I <a href="https://www.businessinsider.com/personal-finance/buying-frozen-food-cut-grocery-bill-2020-9" target="_blank" rel="noopener">lowered my food budget</a>, beauty budget (hair and nails), and fun activity budget (weekend trips or happy hours with friends) each by around $25 to $75.</p><h2><strong>I put aside a chunk of my yearly bonus</strong></h2><p>I had the idea of starting my own business floating in my head for a couple of months before I had my annual review at my full-time job. When that moment came and I found out I was getting a $3,000 bonus for the year, I secretly celebrated in my head. I decided to take a chunk of that cash (around $1,000) and use it to help me start my business. I used the rest for my personal finance essentials (paying bills, rent, and adding to my savings account) and my future goals (retirement and emergency fund).</p><p>Soon after I got that bonus, I ended up getting laid off from that job. Looking back, it makes me happy that I took a piece of my bonus and used it to help set something up for myself that I could then lean on after getting laid off from my job. I used to spend my entire bonus on something fleeting, like a vacation or a new wardrobe, but that year I used it on something that ended up allowing me to start my own business and earn money from that business soon after.</p><h2><strong>I tapped into passive interest gains</strong></h2><p>One final way I saved up the cash to start my business was by collecting interest on my <a href="https://www.businessinsider.com/personal-finance/why-keeping-cash-high-yield-savings-account-despite-rates-2020-10" target="_blank" rel="noopener">high-yield savings account</a> and using some of it (around $150) to help me meet my set goal of $2,500.</p><p>I spent a couple of years working hard to increase how much I had in my savings account and it felt like a good reward to not have to deplete that account too much to start my new venture and instead tap into the passive income I was making on that account. While the money I took wasn't a lot, it helped with some of the lower-cost setup items (like business cards and smaller promotional items for networking events).</p><bi-shortcode id="related-content-module" class="mceNonEditable" data-type="more-savings-coverage" data-sheetname="More Savings Coverage">Related Content Module: More Savings Coverage</bi-shortcode><p><a href="https://www.businessinsider.com/personal-finance/started-bridesmaid-for-hire-business-with-savings-2021-2#comments">Join the conversation about this story »</a></p>
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