"You don't need money to start a business" — When Shark Tank's Barbara Corcoran admitted she built a $66M empire with just $1,000

Barbara Corcoran, a real estate entrepreneur and Shark Tank investor, once highlighted in an interview that financial resources are not a prerequisite for starting a business. During her appearance on The Rachael Ray Show on November 2, 2016, the host had asked her to reflect on key moments and strategies that led to her success.

Corcoran explained that many successful entrepreneurs come from modest backgrounds. The Shark Tank investor stated:

"Well first off the great majority of people who start businesses come from poor families, I was one of them. You don't need money to start a business."

Corcoran shared how she built her real estate business with a $1,000 loan while working as a diner waitress, eventually turning it into a $66 million company.

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The strategy behind Shark Tank Barbara Corcoran’s $66M business success

Building a business with limited funds

Barbara Corcoran outlined the method she used to grow her business despite limited financial resources. The Shark Tank investor explained that she started by managing her expenses and planning:

"One thing I knew is I knew right away I was going to need a plan because I only had $1,000."

She determined her monthly overhead costs at $480, which included renting desk space, a phone line, and placing a classified ad in The New York Times. She emphasized the importance of generating revenue quickly to sustain operations. Corcoran said:

"Once thing I knew is I only had six weeks to stay in business and I had to hit the floor running and make a commission fast and luckily for me I did."

Her approach involved reinvesting any additional funds back into the business. She added that whenever she accumulated an extra $480—the amount needed to cover one month of overhead—she used it to hire a new salesperson. She continued this process consistently, expanding her team until the business grew to a thousand sales professionals.

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The role of presentation and confidence

Corcoran also noted the significance of personal presentation and business confidence. The Shark Tank investor said that entrepreneurs must convince themselves of their value to attract clients. She mentioned:

"Acting the part I have found is nothing more than convincing yourself you're deserving of the business."

She further elaborated that many entrepreneurs doubt their ability to succeed, and this lack of confidence becomes noticeable to potential clients, affecting their trust in the business.

Corcoran used her first commission check to buy an expensive coat from Bergdorf Goodman. Wearing the coat helped her project success, and she later adopted a signature red suit to stand out. She emphasized that personal presentation plays a key role in building a strong business identity.

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Organization and prioritization in business

Corcoran also mentioned that organization is essential for scaling a business. She explained that growing up in a large family required structured habits, as her mother efficiently managed a household of ten children in a small living space. Her mother simplified daily routines by sorting socks by color for her siblings, a system that minimized confusion and saved time.

Corcoran applied this principle to her business by developing organization strategies that helped streamline operations. The Shark Tank investor applied a color-coded system to manage different aspects of her business, stating:

"I do three types of segments: self-improvement, real estate, and of course business advice... I only have three colors."

Additionally, she discussed how she prioritized tasks using an "A, B, C" method. She categorized tasks based on their impact, identifying "A" tasks as the most critical but often the most difficult ones to complete. She stressed that addressing these high-priority tasks first would have the greatest effect on advancing a business.

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