Finding new business for startup

Hi All,

I've been doing work for a niche market, but want to expand into web
development for businesses in general.  As I am just getting started my
portfolio is very limited (I'm finding this to be a problem).

Q: What have people here found to be successful ways to start to develop
business?
Should I offer to do some free work for local non-profit orgs (I will be
doing this anyway as I'm the only web person in this little town, but should
I spend more time on this as a way to develop leads?).
Should I be advertising in the local weekly paper?
Any other thoughts?

Regards,
Glenn

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