Getting bought out by competition is how most startups exit. I wouldn't call it shady- unless you didn't want to do so (then you're just turning your back on yo

Getting bought out by competition is how most startups exit. I wouldn't call it shady- unless you didn't want to do so (then you're just turning your back on your own beliefs). People do it all the time - its how entrepreneurs become serial entrepreneurs. In fact, VC's expect you to do so, often times within 5-7 years of investment. http://www.google.com/search?sourceid=chrome&ie=UTF-8&q=M%26A+exits http://www.google.com/search?sourceid=chrome&ie=UTF-8&#3... In fact, Google tried to sell to Ask.com early on, but they wouldn't buy. http://www.techeye.net/business/google-wanted-to-sell-its-soul-for-1-million http://www.techeye.net/business/google-wanted-to-sell-its-so... Early on, the competitors probably wouldn't want to buy you, they'd probably just laugh and try to run you into the ground Microsoft style. The best way to get bought out is to have traction, existing customers, and a whole lot of potential for growth that you don't want to/can't deal with. That's when they'd buy you - when it's worth it to their bottom line in a very foreseeable way and when your product has been market tested. In my opinion, I'd start selling and see what happens, if it's good enough you'll not only pay your bills, but the sale will be better if you can do so. Or, if you like it and you're talented/lucky, you could end up becoming the market leader and do really well for yourself. Like Google did.