David Teten

AUGUST 19, 2019

So you’re interested in raising capital from a Revenue-Based Investor VC. A new wave of Revenue-Based Investors (“RBI”) are emerging. For background, see Revenue-Based Investing: A New Option for Founders who Care About Control. We have a special program if you are pre-seed and need product development. Bigfoot Capital.

Revenue 60

Revenue Technical Review Software Review Equity 60

Startup Professionals Musings

FEBRUARY 25, 2023

Of course, if you are able to bootstrap your startup, and don’t anticipate the need for outside investors, you can technically ignore the first two points. If you can convince investors that your startup will generate a solid revenue stream, and the market won’t go away any time soon, they may see an opportunity for an ever larger return.

Exit Strategy 264

Exit Strategy Private Equity Equity Technical Review 264

Startup Professionals Musings

JULY 14, 2014

The “valley of death” is a common term in the startup world, referring to the difficulty of covering the negative cash flow in the early stages of a startup, before their new product or service is bringing in revenue from real customers. After bootstrapping, friends and family are the most common funding sources for early-stage startups.

Entrepreneur 283

Entrepreneur Intellectual Property Technical Review Incubator 283

Startup Professionals Musings

FEBRUARY 19, 2013

The “valley of death” is a common term in the startup world, referring to the difficulty of covering the negative cash flow in the early stages of a startup, before their new product or service is bringing in revenue from real customers. After bootstrapping, friends and family are the most common funding sources for early-stage startups.

Intellectual Property 309

Intellectual Property Technical Review Venture Capital Startup 309

Startup Professionals Musings

JANUARY 12, 2018

The “valley of death” is a common term in the startup world, referring to the difficulty of covering the negative cash flow in the early stages of a startup, before their new product or service is bringing in revenue from real customers. After bootstrapping, friends and family are the most common funding sources for early-stage startups.

Intellectual Property 134

Intellectual Property Technical Review Startup Incubator 134

Startup Professionals Musings

MAY 25, 2020

Of course, if you are able to bootstrap your startup, and don’t anticipate the need for outside investors, you can technically ignore the first two points. If you can convince investors that your startup will generate a solid revenue stream, and the market won’t go away any time soon, they may see an opportunity for an ever larger return.

Exit Strategy 376

Exit Strategy Startup Private Equity Equity 376

The Startup Magazine

JUNE 4, 2023

In a perfect world, small businesses would have an endless stream of revenue coming in and there wouldn’t be need to worry about financing. Sometimes businesses have to get creative when it comes to their small business financing, especially when revenue is low. They can help you develop a plan that meets your specific needs.

Finance 109

Finance Revenue Small Business Bootstrapping 109

Steve Blank

NOVEMBER 5, 2009

This post describes how companies using the Customer Development model can increase their credibility, valuation and probability of getting a first round of funding by presenting their results in a “Lesson Learned&# venture pitch. Is there a profitable business model? Can it scale?” Just as a refresher.

Customer Development 262

Customer Development Developer Customer Silicon Valley 262

ReadWriteStart

MAY 30, 2022

In this article, you’ll learn how bootstrapping makes you a better business – a leaner, smarter, more agile company that can roll with the punches. Bootstrapping Minimizes the Number of People Cashing in on Your Success. Bootstrapped founders don’t have these concerns. Secondly, just how badly do you need that funding?

Bootstrapping 147

Bootstrapping Startup Equity Silicon Valley 147

A Smart Bear: Startups and Marketing for Geeks

NOVEMBER 5, 2014

It’s often said that you shouldn’t talk about price during customer development interviews. Consider the consequences of these monthly pricing possibilities: $0/mo means your goal is to maximize growth (trust and usage) instead of revenue. Even bootstrapped businesses can make this work (e.g. Think: GoDaddy).

Bootstrapping 294

Bootstrapping Technical Review B2C Sales Cycle 294

Startup Professionals Musings

JULY 8, 2015

The “valley of death” is a common term in the startup world, referring to the difficulty of covering the negative cash flow in the early stages of a startup, before their new product or service is bringing in revenue from real customers. After bootstrapping, friends and family are the most common funding sources for early-stage startups.

Entrepreneur 120

Entrepreneur Intellectual Property Technical Review Incubator 120

ReadWriteStart

JUNE 1, 2020

The primary source of your funds should be your paying customers, i.e., your business should generate enough revenues and profits to fund the growth and expansion. Reasons for funding. ? Once the order is fulfilled and paid for, the funds can be paid back. ? Research and development. Bootstrapping. Sources of funding. ?

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

The Entrepreneurial Mind

AUGUST 3, 2010

Or she could develop the program she wants to run by partnering with a local facility like a YMCA. Once the bootstrapped launch of the play center is cash flow positive, all kinds of options for growing and expanding emerge. Logik is one of the firms featured in a series at the blog 37signals called "Bootstrapped, Profitable and Proud."

Bootstrapping 75

Bootstrapping Business Model Software Review Programming 75

Startup Professionals Musings

JUNE 25, 2012

For example, with any outside investment, you give up some ownership and control, and with bootstrapping your growth curve will likely be longer and more organic. Following is my prioritized larger list of sources, with some “rules of thumb” which may save you a lot of time and energy: Bootstrapping. Friends and family.

Technical Review 257

Technical Review Bootstrapping Venture Capital Incubator 257

Software By Rob

MARCH 26, 2015

The interesting part is that my own path moving from consulting to products followed the same steps, as you can see in my product revenue chart from the past decade: Each revenue jump is when I made the move to the next step of the Stairstep Approach. Step 2: Rinse and Repeat.

Bootstrapping 41

Bootstrapping Technical Review SEO Revenue 41

Software By Rob

MARCH 26, 2015

The interesting part is that my own path moving from consulting to products followed the same steps, as you can see in my product revenue chart from the past decade: Each revenue jump is when I made the move to the next step of the Stair Step Approach. Step 2: Own Your Time.

Bootstrapping 36

Bootstrapping Technical Review SEO Revenue 36

Startup Professionals Musings

OCTOBER 16, 2023

Yet every business requires revenue and volumes, as certainly as it requires a product to sell. External investors will demand a financial forecast, but it’s equally valuable to you, even if bootstrapping. Doubling revenue each year is a good target. This allows a quick analysis of price change and revenue impacts.

Forecast 290

Forecast Burn Rate Widget Business Plan 290

A Smart Bear: Startups and Marketing for Geeks

APRIL 29, 2013

” Easy for them to say, but what about a bootstrapped, profit-driven business? ignoring indirect costs) or saying they’ll “fix that later” by raising prices, finding other channels of revenue. Profit-seeking bootstrapped companies cannot afford those delusions. ” Here’s my way.

Bootstrapping 285

Bootstrapping Affiliate Cofounder Channel 285

YoungUpstarts

JULY 6, 2017

Here are some ways to save money and reduce financial stress as you develop your startup into a full fledged enterprise: Deciding on an Investment Strategy. Bootstrapping has a number of advantages compared to other fundraising strategies. You can also focus more on developing your business. Understand the Tax Code.

Syndicate 127

Syndicate Syndication Software Review Angel Investor 127

YoungUpstarts

AUGUST 24, 2017

Subscription business brings recurring revenue. This allows you to enjoy a constant source of incoming revenue, as long as you’re keeping the subscribers satisfied (that is of course essential). Through customer acquisition, you’ll work to grow the revenue and then, use that revenue to cover operational costs.

Churn Rate 149

Churn Rate eCommerce Business Model Bootstrapping 149

YoungUpstarts

AUGUST 24, 2015

By bootstrapping, bartering, reducing overheads (rental and manpower), and leveraging technology (especially the web), one can start one’s own business almost on a dime without being beholden to creditors or venture capitalists. Software Developer: From “App developer” to “We provide technology solutions to take your headaches away”.

Technical Review 100

Technical Review Software Review South Carolina Startup 100

Startup Professionals Musings

MARCH 16, 2011

For example, with any outside investment, you give up some ownership and control, and with bootstrapping your growth curve will likely be longer and more organic. Following is my prioritized larger list of sources, with some “rules of thumb” which may save you a lot of time and energy: Bootstrapping. Friends and family.

Technical Review 233

Technical Review Bootstrapping Startup Venture Capital 233

Gust

APRIL 27, 2014

Software Development Process via Wikipedia. Develop your business plan. Product development process. Unless you are bootstrapping everything, you need to have a clear plan on what networking and documents are required to get to friends and family, Angel investors, and institutional investors. Funding process.

Startup 187

Startup Institutional Investors Angel Investor Bootstrapping 187

Software By Rob

MARCH 26, 2015

The interesting part is that my own path moving from consulting to products followed the same steps, as you can see in my product revenue chart from the past decade: Each revenue jump is when I made the move to the next step of the Stairstep Approach. Step 2: Rinse and Repeat.

Bootstrapping 27

Bootstrapping Technical Review SEO Revenue 27

A Smart Bear: Startups and Marketing for Geeks

JUNE 20, 2011

I recently helped a friend broker the sale of his small, bootstrapped company. They’ve heard rules of thumb like “A growing software company is worth 5 times their trailing 12-months revenue.&# Even narrowing the field as much as feasible, revenue multiples varied between 1.2x Profit multiples varied even more.

Sales 260

Sales Channel Cofounder Valuation 260

YoungUpstarts

JANUARY 31, 2018

Here are some tips for bootstrapping your business. Develop a Budget. Write down every penny you have to invest and calculate both your expenses and expected revenue for the next six months. Based on this information, come up with contingency plans you can follow if revenue falls short. Work in a Spare Room.

Software Review 187

Software Review Cloud Social Media Bootstrapping 187

Hearpreneur

AUGUST 11, 2021

With a simple 30 second video posted on social media, business owners have the opportunity to build major traffic and revenue from their sites. Apple, for example, is the world's most valuable business, yet the iOS operating system enables firms like Facebook to use an already-existing infrastructure to accelerate their mobile development.

Entrepreneur 126

Entrepreneur Technical Review Social Media Bootstrapping 126

joel.is

MARCH 8, 2011

Lessons shared by Joel Gascoigne , a fledgling entrepreneur and contract web developer currently based in Birmingham, UK. Lessons shared by Joel Gascoigne , a fledgling entrepreneur and contract web developer currently based in Birmingham, UK. I’d like to share some of my reflections on how to bootstrap a startup from zero funds.

Bootstrapping 41

Bootstrapping Burn Rate Startup Web Development 41

Startup Professionals Musings

JULY 5, 2023

Every entrepreneur needs help and support along the way, from developing the initial idea, to selling off the successful business (exit strategy). This normally means more than 30 employees, and more than $1 million in revenue. It won’t work, it costs time and money, and hurts your credibility when you need them later.

Incubator 305

Incubator Startup Exit Strategy Institutional Investors 305

YoungUpstarts

OCTOBER 8, 2014

The real work actually comes when you want to turn that idea into something that not only benefits customers, but also brings in revenue. Bootstrapping, as it has been dubbed, isn’t easy and more often than not, startups do not succeed. Make sure you know exactly how long you can last without external investment/before revenue.

Bootstrapping 167

Bootstrapping Colombia Founder Bankruptcy 167

YoungUpstarts

AUGUST 16, 2016

Myself and the other founders managed to develop our company and generate more than 200,000,000 visits, hire 22 people, get 3,000+ customers, and promote products for the likes of Creative Labs, Polaroid, and Sony. It was a way for us to stay creative and it also brought in some revenue. When you are bootstrapping cash flow is king.

Greece 100

Greece United Kingdom Ukraine Philippines 100

The Startup Magazine

OCTOBER 9, 2019

Tech startups are, in contrast, focused on rapid growth, potential, and top-end revenue. Developing accurate documentation for your cash flow planning will ensure your tech startup is prepared for any eventuality. Small businesses are, in most cases, driven by stable long-term growth, value, and profitability. Predict late payments.

Technical Review 81

Technical Review Bootstrapping Startup Finance 81

Startup Professionals Musings

SEPTEMBER 12, 2014

Of course, if you are able to bootstrap your startup, and don’t anticipate the need for outside investors, you can technically ignore the first two points. If you can convince investors that your startup will generate a solid revenue stream, and the market won’t go away any time soon, they may see an opportunity for an ever larger return.

Exit Strategy 289

Exit Strategy Entrepreneur IPO Startup 289

Gust

JUNE 17, 2012

For example, with any outside investment, you give up some ownership and control, and with bootstrapping your growth curve will likely be longer and more organic. Following is my prioritized larger list of sources, with some “rules of thumb” which may save you a lot of time and energy: Bootstrapping. Friends and family.

Technical Review 164

Technical Review Bootstrapping Venture Capital Incubator 164

Startup Professionals Musings

FEBRUARY 5, 2021

Yet every business requires revenue and volumes, as certainly as it requires a product to sell. External investors will demand a financial forecast, but it’s equally valuable to you, even if bootstrapping. Doubling revenue each year is a good target. This allows a quick analysis of price change and revenue impacts.

Forecast 369

Forecast Burn Rate Startup Widget 369

Up and Running

SEPTEMBER 29, 2022

While you may be enamored with becoming an entrepreneur and bootstrapping your business, don’t quit your day job. There’s actually a lot of value in bootstrapping your business. You can be increasing revenue, growing sales, and maybe even cutting costs. Don’t quit your day job. Have enough cash on hand.

Forecast 154

Forecast Software Review Bootstrapping Finance 154

YoungUpstarts

JULY 16, 2019

New product or service development. No matter how fantastic your innovations are or excellent your new ideas appear to be, you will always need capital to bootstrap any business innovations you might have. Let’s now take a look at some of these situations and facts. Taking advantage of the tax code.

Software Review 113

Software Review Startup Equity Bootstrapping 113