Remove Revenue Remove Salary Remove Software Review
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Beware of Ballers on a Budget

Both Sides of the Table

Work on budgets, submit RFPs, answer customers support calls, work the bug-tracking software, and trying to meet the next sprint release schedule. The people who really are working hard at their startups with no money to pay real salaries and sharing a cramped office. Sell stuff. Your 8-year-old Toyota is just fine.

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Should Startups Focus on Profitability or Not?

Both Sides of the Table

If you hire 6 sales reps in January at $120,000 / year salary then you’ve taken on an extra $60,000 per month in costs yet these sales people might not close new business for 4-6 months. They have have raised $2-3 million, built a product that has some amount of market traction and got to annualized revenues of around $1 million.

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Startup Runway Length Depends on Your Burn Rate

Startup Professionals Musings

As a rule, you need to review your burn rate every month, and manage it every day. Pay people with equity or future revenue. When I was interviewed for my first startup CEO job, I was expecting a $150,000 salary, but instead was offered an opportunity to contribute $50,000 to the business, and work for equity only.

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High Burn Rates Result in Short Startup Runways

Startup Professionals Musings

As a rule, you need to review your burn rate every month, and manage it every day. Pay people with equity or future revenue. When I was interviewed for my first startup CEO job, I was expecting a $150,000 salary, but instead was offered an opportunity to contribute $50,000 to the business, and work for equity only.

Burn Rate 231
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Startup identity & the sadness of a successful exit

A Smart Bear: Startups and Marketing for Geeks

No salaries followed by low salaries. The scrounging and scrabbling and begging and fighting the a s for those morsels of revenue, those crumbs of validation. I didn’t want to relinquish Eclipse and my ability to check in code. I will always love writing code and getting a company from $0 to $1m/year.

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Equity-Only CTO and Equity-Only Developers

SoCal CTO

The very last email I got from him told me the following: Thank you for your time Tony, I understand everyone wants a huge salary, no risk and a cut of the profits. Most of the great software startups that I’ve been involved in have at least one technical co-founder (and many have more than one.)

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SayAhh’s Revenue Projections

Feld Thoughts

While Jane was building SayAhh’s revenue projections , Dick focused his attention on building the expense side of the projections. It is simple in that it forecasts how much cash will be coming in the door (revenues + equity financing + debt financing) and then subtracts from that amount how much cash is expected to be going out the door.

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