2 ms·
The odds of making a $17-50MM exit is higher than what? Turning a $1M/yr profit over 5 years? I think not. If the process was so "repeatable and the methods so
by dhh 16y ago
The odds of making a $17-50MM exit is higher than what? Turning a $1M/yr profit over 5 years? I think not. If the process was so "repeatable and the methods so trainable", the world would be flush with quick flip, sell-out millionaires. It is not. It is however full of people who became comfortably rich building up a profitable business.
- replicatorblog 16y agoI was trying to articulate the odds of "flipping" a startup are greater than those of winning the lottery which is your oft stated comparison. You guys are all about boot strapping and you provide an awesome contra view to the conventional wisdom. That said, I know a great many more people who have sold web businesses and never have to work again than those who are reaping millions in profits via the same. Honestly, I'm amazed at how many people I meet who are financially set based on some obscure web business they sold to a non-traditional acquirer. I'm not even that plugged into the startup community and I've met a couple dozen folks easily. Heck, among YC alums alone I bet you would find a bunch, even the under publicized ones. Are the odds long? sure. Are you more likely to become wealthy spending a few post college years doing a funded startup rather than working at Google? Hell yes. I really liked Rework, and like the "Profitable and Proud" series, but there are opportunities for people to fill small product niches and "sell out" quickly. Especially in unsexy categories like analytics and other B2B applications. You might find it distasteful, but I'm sure a moderately well connected VC or angel could match every company in your P&P series with a series called "This company sold for XX millions and you never heard of them once."