bootstrap – v : launch and build a startup business without using outside funding (particularly equity financing) – i.e., funding the business solely with the founders’ resources, operating cash flow and/or debt from banks, suppliers or credit cards. On the one hand, founders of bootstrapped startup companies own 100 percent of their business since they have not diluted their ownership stake by selling stock to investors. On the other hand, bootstrapped startups may compromise their chances of success and/or prospects for optimal growth and expansion due to capital constraints (i.e., inadequate supply of money to start, operate and grow the business).

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Adapted from "The CompanyCrafters Entrepreneur's Dictionary"
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