Bootstrap Colonization - PowerPoint

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					     Bootstrap Colonization
• I could bootstrap finance a
  Lunar Colony!
• Just ask me how!
    Bootstrap Colonization
• There is a lot of real estate on the moon–
  it has a surface area of approximately 37.8
  million sq. kilometres.
• That’s about the size of the US, Canada
  and Russia.
• What if living in 1/6th gravity helped you
  live 20, 30, 40 or 50 years longer and let
  you boogie like a teenager too?
Bootstrap Colonization
    Bootstrap Colonization
• Discovering the Fountain of Youth on the
  Moon is a powerful value proposition!
• So maybe I could convince 100,000,000
  people to move to my Lunar Colony when
  they turn 70 or 80.
• They could fly like an eagle...again.
    Bootstrap Colonization
• I might charge them condo fees of (say)
  $15,000 per month.
• I would ask them for one year in
  advance/up front!
• That’s $18,000,000,000,000 in condo fees
  per year (18 trillion dollars, about 1.35
  times the GDP of the United States)!
• I could build a lot of spaceships and lunar
  condos with 18 trillion dollars!
      Bootstrap Capital, BC
• Self-capitalization.
• Allows you to start with no money down
  (or little money down).
• Allows you to control your own destiny and
  not be beholden to (or slowed down by)
  Banks or VCs.
• You end up owning the enterprise not
         Bootstrap Capital
• When student entrepreneurs or others tell
  me that can’t start because they have no
  money– that’s just an excuse.
• No excuses.
• So how do you start?
• Two examples– Maple Leaf Design and
  Construction and
         Bootstrap Capital

• Two former students start Maple Leaf
  Design and Construction.
• They have NO MONEY.
• They have ideas, energy, focus and
          Bootstrap Capital
• They purchased options on 20 housing
  lots for $500 from a friendly landowner.
• They set up in a field: in a trailer with nice
  signs and two handsome smiling faces
  plus a lot of cool floor plans and
• Pre-sold 10 homes and got deposits of
  $20k per home.
• Now they had $200,000 in their bank
           Bootstrap Capital
• They negotiated 90 to 120-day terms with their
• They pledged their Agreements of Purchase and
  Sale to their Bank for a LOC.
• (In effect, they borrowed the credit rating of their
• They made $40k per door and after three years
  and 20 homes, they had $800,000.
• Now they are multi millionaires and still in their
         Bootstrap Capital
How would you like:

• To work half days.
• Be profitable less than ten days after
• Make $120,000+ per year.
• Start your business for less than $100.
          Bootstrap Capital
Ryan North, (now famous) online comic:

• Can’t draw (he is a brilliant IT specialist).
• In 2003, he creates, an
  online dinosaur comic.
• Six panels using clip art/characters that
  never move.
• Only dialogue changes, day-to-day.
Bootstrap Capital
             Bootstrap Capital
Key facts:

• Turns disadvantage (can’t draw) into advantage.
• Guinness Book of Records application– longest
  running comic strip where characters never
• Quirky personality.
• Revenue streams: merchandise sales/book
  sales/appearance fees/advertising by Project
  Wonderful, PW.
• PW created by Ryan: profitable < 10 days >
         Bootstrap Capital
Startup Budget:

• $15.00 for domain name:
• $15.00 for domain name
• Web hosting: $35 per month.
• Fulfillment costs: outsourced.
• Won $500 in 2003 Business Model
• Startup Budget = -$400.
                  Bootstrap Capital
Guerrilla Marketing:

• T-Rex cardboard cutouts.
• Placed around campus with this domain on them:
• Resolves to:
• Ryan is a wealthy person today with plenty of time to
  explore new ideas…

Prof Bruce
[Note: still resolves to today.]