Comments on: The Anti-Patterns of Bootstrapping http://blog.simeonov.com/2008/12/06/the-anti-patterns-of-bootstrapping/ Simeon Simeonov on entrepreneurship, innovation & venture capital Mon, 26 Jul 2010 11:04:49 +0000 hourly 1 http://wordpress.com/ By: Apt response to some of the challenges raised at #leanstartup LON. The Anti-Patterns of Bootstrapping /by @simeons | Saint Sal http://blog.simeonov.com/2008/12/06/the-anti-patterns-of-bootstrapping/#comment-18503 Apt response to some of the challenges raised at #leanstartup LON. The Anti-Patterns of Bootstrapping /by @simeons | Saint Sal Mon, 08 Mar 2010 13:47:25 +0000 http://simeons.wordpress.com/?p=381#comment-18503 [...] of Bootstrapping /by @simeons Posted by Sal on Feb 4, 2010 in Tumblr Links | Comments Off Apt response to some of the challenges raised at #leanstartup LON. The Anti-Patterns of Bootstrappin... blog comments powered by Disqus var disqus_url = [...] [...] of Bootstrapping /by @simeons Posted by Sal on Feb 4, 2010 in Tumblr Links | Comments Off Apt response to some of the challenges raised at #leanstartup LON. The Anti-Patterns of Bootstrappin… blog comments powered by Disqus var disqus_url = [...]

]]> By: vuxes http://blog.simeonov.com/2008/12/06/the-anti-patterns-of-bootstrapping/#comment-18456 vuxes Wed, 03 Feb 2010 20:06:05 +0000 http://simeons.wordpress.com/?p=381#comment-18456 Check your WordPress Post Revisions (edit the post and scroll to the bottom of the screen). Copy your current content to another file (so you don't lose this one), reactivate a Post Revision and you may still be able to recover the lost portion. Check your WordPress Post Revisions (edit the post and scroll to the bottom of the screen). Copy your current content to another file (so you don’t lose this one), reactivate a Post Revision and you may still be able to recover the lost portion.

]]> By: Vladimir Dimitroff http://blog.simeonov.com/2008/12/06/the-anti-patterns-of-bootstrapping/#comment-17738 Vladimir Dimitroff Thu, 15 Jan 2009 01:50:22 +0000 http://simeons.wordpress.com/?p=381#comment-17738 Very good points, and they sound familiar to many of us. My current problem (for a long-ish while) is a venture that would be a bit steep for credit cards. First paying customer? That would take 'just' 10M. CFBE? That would be 30M (at least). Of investment, not revenue. No, it's not in what would be called 'technology' and in the current economic climate is a 'forget it'. (But has anyone won by forgetting?)... With some reluctance (after the taste of this opportunity) it has to be 'back to earth' - to small(er) projects involving a couple of coders and pocket money :) Now these rules will come handy! Very good points, and they sound familiar to many of us.

My current problem (for a long-ish while) is a venture that would be a bit steep for credit cards. First paying customer? That would take ‘just’ 10M. CFBE? That would be 30M (at least). Of investment, not revenue. No, it’s not in what would be called ‘technology’ and in the current economic climate is a ‘forget it’. (But has anyone won by forgetting?)…

With some reluctance (after the taste of this opportunity) it has to be ‘back to earth’ – to small(er) projects involving a couple of coders and pocket money :)

Now these rules will come handy!

]]> By: theo949 http://blog.simeonov.com/2008/12/06/the-anti-patterns-of-bootstrapping/#comment-17655 theo949 Tue, 23 Dec 2008 05:43:10 +0000 http://simeons.wordpress.com/?p=381#comment-17655 good post ! I would add that one has to be very self aware if one was to start a company. Based on what kind of person you are will determine whether bootstrapping makes sense. do you need to be in charge all the time ? how long can you wait before the liquidation event ? do you love the lifestyle enough that you don't need to get big fast? These questions and more will determine whether to bootstrap. We bootstrapped because at the time no one would invest in a bunch of FOB foreigners ( one of them still in college). I had to do alot of non fun stuff by myself, anythign from assembling desks to inventory to HTML to shuttling programmers from and to LAX. Looking back I cant determine if taking on investing (had we had the choice) would have been better or worse. theo good post ! I would add that one has to be very self aware if one was to start a company. Based on what kind of person you are will determine whether bootstrapping makes sense.

do you need to be in charge all the time ?

how long can you wait before the liquidation event ?

do you love the lifestyle enough that you don’t need to get big fast?

These questions and more will determine whether to bootstrap.
We bootstrapped because at the time no one would invest in a bunch of FOB foreigners ( one of them still in college). I had to do alot of non fun stuff by myself, anythign from assembling desks to inventory to HTML to shuttling programmers from and to LAX. Looking back I cant determine if taking on investing (had we had the choice) would have been better or worse.

theo

]]> By: Peter Cranstone http://blog.simeonov.com/2008/12/06/the-anti-patterns-of-bootstrapping/#comment-17607 Peter Cranstone Sat, 06 Dec 2008 14:23:19 +0000 http://simeons.wordpress.com/?p=381#comment-17607 It's all about market timing, about the ability to execute on plan that drives measurable, sustainable, profitable revenue from volume. VC's are not entrepreneurs customers (it's the other way around). VC's crystal balls are usually no better than the entrepreneurs, just look at all the "investments" they passed on (how many missed Google, Yahoo etc.) Bootstrapping is fine as long as it serves the correct purpose. Of course the devil is in the details. I've bootstrapped 4 companies, one delivered a solution in use around the globe (mod_gzip) one built a secure operating system for Intel's Itamium chip (Secure64) and the latest solves a big problem in mobile. The best one is the latest one - maniacal laser like focus on the customer problem, drive to profitability, no debt, and core sustainability across a large marketplace. The only way we'd actually take outside capital is to drive to increased profitability NOT more revenues. Too many entrepreneurs forget the first lesson of running a business. Profits are the mothers milk, if you've really solved a customer problem then you should be able to get to profitability. Do that and you have a few more options that those who just have revenue. Cheers, Peter It’s all about market timing, about the ability to execute on plan that drives measurable, sustainable, profitable revenue from volume. VC’s are not entrepreneurs customers (it’s the other way around). VC’s crystal balls are usually no better than the entrepreneurs, just look at all the “investments” they passed on (how many missed Google, Yahoo etc.)

Bootstrapping is fine as long as it serves the correct purpose. Of course the devil is in the details. I’ve bootstrapped 4 companies, one delivered a solution in use around the globe (mod_gzip) one built a secure operating system for Intel’s Itamium chip (Secure64) and the latest solves a big problem in mobile.

The best one is the latest one – maniacal laser like focus on the customer problem, drive to profitability, no debt, and core sustainability across a large marketplace. The only way we’d actually take outside capital is to drive to increased profitability NOT more revenues.

Too many entrepreneurs forget the first lesson of running a business. Profits are the mothers milk, if you’ve really solved a customer problem then you should be able to get to profitability. Do that and you have a few more options that those who just have revenue.

Cheers,

Peter

]]> By: Rahul Pathak http://blog.simeonov.com/2008/12/06/the-anti-patterns-of-bootstrapping/#comment-17606 Rahul Pathak Sat, 06 Dec 2008 11:20:17 +0000 http://simeons.wordpress.com/?p=381#comment-17606 Your point about opportunity cost is a great one. We're running lean at the moment given the macro environment, but fortunately, my investor and board member often reminds me that if my market is moving in the right direction, underinvesting could be a big strategic mistake. Thanks for a great post. Rahul Your point about opportunity cost is a great one. We’re running lean at the moment given the macro environment, but fortunately, my investor and board member often reminds me that if my market is moving in the right direction, underinvesting could be a big strategic mistake.

Thanks for a great post.

Rahul

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