Barbara Corcoran’s Advice for Scrappy Business Owners

Key Takeaways

• Your history of diverse, low-level jobs is a training ground for the resilience needed to survive the first three years of business ownership.
• Successful small businesses often start with less than $5,000 and a high volume of daily outreach rather than a complex business plan.
• Registering your business officially via an Employer Identification Number (EIN) is the first step to moving from a side project to a real company.
• Check your local Small Business Administration (SBA) requirements to ensure you have the right local licenses before your first sale.

In August 2023, I spoke with a landscaping business owner in Georgia who had just been fired from his third warehouse job in two years. He felt like a loser. He thought his inability to stay at a desk meant he wasn't cut out for professional success, but he was wrong. He was exactly the kind of person Barbara Corcoran bets on when she looks for a founder.

Barbara Corcoran's journey from a series of job failures to building a real estate empire is truly inspiring. After working 20 different jobs by the age of 23, she said in a recent post that these early struggles were the foundation for her success. She didn't have an MBA or a large bank account. She had the grit that comes from being fired and moving on to the next thing without losing steam.

For a new business owner, this means your messy resume isn't a liability. It's proof that you can handle the rejection that comes with asking for your first ten sales. If you've worked retail and hauled (plus waitressed) junk, you already know how to talk to people. That's more valuable than a fancy spreadsheet.

The Scrappy Founder Checklist

If you're starting today with very little cash, focus on these four moves to get legitimate without overspending:

• Claim your identity. You don't need a $5,000 logo. You need an EIN (Employer Identification Number) from the IRS so you can open a bank account. It's free to apply online at IRS.gov.
• Separate your money. Don't pay for your business website or tools from your personal checking account. Even a basic business checking account at a local credit union keeps your records clean for tax time.
• Start the clock on your BOI. Most new LLCs and corporations must file a Beneficial Ownership Information (BOI) report with the government. You can do this at the FinCEN website to avoid heavy daily fines.
• Test the market before the lease. A solo house cleaner in Tampa doesn't need an office. They need a vacuum and five neighbors who say yes. Don't sign a lease until your revenue covers the rent for three months.

What this means for you: Stop waiting for a "perfect" background. The skills you learned at those "failed" jobs are exactly what will keep your business alive when things get tough.

Why failing early is a business asset

Corcoran often talks about how she values people who have been kicked around.

In the world of small business, things go wrong every Tuesday. A vendor doesn't show up. A customer disputes a charge. A pipe bursts in your storage unit. If you've never faced a setback, these moments will paralyze you. If you've been fired from 20 jobs, you just pick up the phone and find a solution.

I recently saw a thread on a forum for print shop owners where a member was terrified because they didn't have a formal business degree. The most successful people in the thread weren't the ones with degrees. They were the ones who had worked in service jobs and understood that business is just solving someone else's problem for a fair price.

Can I start a business if I have no savings?

Yes, but you've to trade time for that lack of cash. Barbara Corcoran started her real estate firm with a $1,000 loan. If you don't have $1,000, you start by selling a service that requires only your labor. A dog walker needs a leash and a pair of shoes. A bookkeeper needs a laptop and a software subscription. You can find free mentoring through the SBA's partner programs like SCORE to help you figure out the math without spending a dime on consultants.

(Disclosure: we may earn a commission if you sign up through our links.)

If you want to build something real, you should Stop Running Your Business Out of Your Personal Account immediately. Mixing money is the fastest way to lose track of whether you're actually making a profit or just spending your rent money on Facebook ads.

How many jobs did you've before you decided to work for yourself?

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📋 Disclaimer

This article is for informational purposes only and does not constitute legal, tax, financial, or professional advice. Laws and regulations change frequently, and the information presented may not reflect the most current legal developments. Always consult with a qualified professional (CPA, attorney, financial advisor) before making business decisions based on this content. MyBizNerd may receive compensation through affiliate links, but this never influences our recommendations.

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