A Smart Bear: Startups and Marketing for Geeks

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Bootstrapped CPC rule of thumb: MRR/25

A Smart Bear: Startups and Marketing for Geeks

” Easy for them to say, but what about a bootstrapped, profit-driven business? Profit-seeking bootstrapped companies cannot afford those delusions. But a bootstrapped company’s cash-flow won’t allow it, even if the math would work in the long run. ” Here’s my way.

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Pricing determines your business

A Smart Bear: Startups and Marketing for Geeks

It’s often said that you shouldn’t talk about price during customer development interviews. Even bootstrapped businesses can make this work (e.g. Marketing and sales spend is nil, so there has to be a reason it spreads by word of mouth, ideally virally as a natural result of using the product itself. $10/mo Think: GoDaddy).

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No, that IS NOT a competitive advantage

A Smart Bear: Startups and Marketing for Geeks

Software patents are especially useless for small, bootstrapped startups. And even you could work 70 on-task hours per week, that's still blown away by 10 developers at a funded company or even 10 passionate open source developers working part-time. Except in certain industries (e.g. We're better at SEO and social media.

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If you build it, they won't come, unless.

A Smart Bear: Startups and Marketing for Geeks

Great," I always exclaim, sharing the thrill of modern software development, "so how will people find out about this brilliant website?". WhenBusy is a bootstrapped startup that lets people schedule meetings with you in currently-available time-slots without you having to share your calendar [disclosure: I'm an advisor].

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How cold calling (properly) works better than AdWords

A Smart Bear: Startups and Marketing for Geeks

Those higher costs make learning to write ads, manage campaigns, A/B test, and design landing pages a very expensive activity for an early stage, bootstrapping startup. Of course, I had spoken with people in developing the product. Reach out to customers and develop personal relationships. This was a low point for me.

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Scars

A Smart Bear: Startups and Marketing for Geeks

.” It’s the founder who says she doesn’t need to talk to customers before embarking on a $100,000 development project because “my customers are idiots.” ” It’s the developer who is sure that “Java sucks.” ” Scars are part of what make us unique. I like scars.

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Fermi estimation for startup business models

A Smart Bear: Startups and Marketing for Geeks

Suppose the goal of this particular company is to achieve $1m in annual revenue for a two-person bootstrapped startup, with a goal to be so efficient as to never have to hire employees, and therefore produce a terrific little business that nets each of them a few million dollars over the next ten years. Bigger markets make things easier.