What’s the best way to survive?

Paul Graham (Co-Founder & Partner at Y Combinator)
The Fatal Pinch

You either have to fire good people, get some or all of the employees to take less salary for a while, or increase revenues. Getting people to take less salary is a weak solution that will only work when the problem isn’t too bad. Which leaves two options, firing good people and making more money. While trying to balance them, keep in mind the eventual goal: to be a successful product company in the sense of having a single thing lots of people u… (read more)

What’s the best way to survive?

Paul Graham (Co-Founder & Partner at Y Combinator)
The Fatal Pinch

It may seem facile to suggest a startup make more money, as if that could be done for the asking. Usually a startup is already trying as hard as it can to sell whatever it sells. What I’m suggesting here is not so much to try harder to make money but to try to make money in a different way. For example, if you have only one person selling while the rest are writing code, consider having everyone work on selling. What good will more code do you wh… (read more)

What’s the best way to keep productivity high?

Paul Graham (Co-Founder & Partner at Y Combinator)
Startups in 13 Sentences

Don’t get demoralized. Though the immediate cause of death in a startup tends to be running out of money, the underlying cause is usually lack of focus. Either the company is run by stupid people (which can’t be fixed with advice) or the people are smart but got demoralized.

What’s the best way to create your financing strategy?

Paul Graham (Co-Founder & Partner at Y Combinator)
Startups in 13 Sentences

Get ramen profitable. “Ramen profitable” means a startup makes just enough to pay the founders’ living expenses. Once you cross over into ramen profitable, it completely changes your relationship with investors. It’s also great for morale

What’s the best way to create your financing strategy?

Paul Graham (Co-Founder & Partner at Y Combinator)
Startups in 13 Sentences

Spend little. I can’t emphasize enough how important it is for a startup to be cheap. Most startups fail before they make something people want, and the most common form of failure is running out of money.