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For some business, it makes sense to bootstrap (typically, offering a service) while for others, size is key and growing fast allows you to reach size effect fa
by bertil 10y ago
For some business, it makes sense to bootstrap (typically, offering a service) while for others, size is key and growing fast allows you to reach size effect faster (a good example is any marketplace). That’s why offering code-consulting services is a common way to pay for the development of a less trivial product.
There are also creative endeavors (film, games) that require an initial investment, although creating those is usually more reasonable than say, the advertising and acquisition budget needed to replace AirBnB. Promoting a movie of a game can double that initial investment, though -- that’s why you have companies specialised in that second step.