Jason Fried on making money:
On day one, a bootstrapped company sets out to make money. They have no choice, really. On day one a funded company sets out to spend money. They hire, they buy, they invest, they spend. Making money isn’t important yet. They practice spending, not making.
This is something universities should teach entrepreneurs. Getting funding is one valid way to start a company, but bootstrapping your company is valid as well.
Take away the earnings predictions, the valuations, etc. Your left with a company trying to make money. How much may be unknown, but it doesn’t matter because you’re not spending money until your ready. You don’t need to know the quantity of product you’ll sell. You don’t need to value your company before it exists. These are stabs in the dark anyway. Bootstrapping takes the guesswork out of starting a company and allows you to focus on what’s really important.
