5 sustainable best practices for bootstrapped startups

TechCrunch+ Newsletter
TechCrunch+ logo
TechCrunch+ Roundup logo

By Walter Thompson

Tuesday, November 15, 2022

Welcome to TechCrunch+ Tuesday

Welcome to TechCrunch+ Tuesday image

Image Credits: Ratchapoom Anupongpan / EyeEm / Getty Images

Are you planning to play League of Legends during your next investor pitch? If so, this newsletter probably isn't a good use of your time.

For founders who are interested in building on their own, maintaining control and staying off the fundraising treadmill for as long as possible, investor/entrepreneur Marjorie Radlo-Zandi sets out five basic principles for bootstrapped founders in her latest TC+ article.

It's not for everyone: self-funded companies will ask more from their employees than larger operations that offer free lunches and other perks. At one bootstrapped startup where I worked, I was asked to defer part of my salary — after I was hired.

Radlo-Zandi covers the basics with regard to hiring, managing expenses and shaping company culture, but she also urges self-funders to tamp down expectations and take a measured approach:

"Don't be tempted to hop on a plane at a moment's notice to meet potential customers in glamorous locations or for meetings in far-flung locations," she writes. "Your bootstrapped business likely will not survive such big, optional financial outlays."

Bootstrapped founders face longer odds, but if they can drive growth and reach product-market fit, “fundraising will be that much easier.”

Thanks very much for reading,

Walter Thompson
Editorial Manager, TechCrunch+
@yourprotagonist

Read More

The power pendulum is swinging back to employers, isn't it?

The power pendulum is swinging back to employers, isn't it? image

Image Credits: AOosthuizen / Getty Images

More than 120,000 tech workers have lost jobs so far this year, according to layoffs.fyi. And with more than a fifth of those layoffs taking place in November, many from well-capitalized public companies, it's easy to see why Continuum CEO Nolan Church believes this is the beginning of a wave.

"Over the last 12 years, the pendulum between who has power between employees and employers has drastically swung toward employees," he said last week on the TechCrunch Equity podcast.

"Now, we're in a moment where the pendulum is swinging back.”

Read More

TC Sessions Crypto 2022

Sponsored by TechCrunch

Stay on top of the latest trends, technologies and concerns of the entire blockchain, cryptocurrency, and NFT communities.

Buy tickets

Answers for H-1B workers who've been laid off (or think they might be)

Answers for H-1B workers who've been laid off (or think they might be) image

Image Credits: Klaus Vedfelt / Getty Images

Sophie Alcorn, an immigration law attorney based in Silicon Valley, estimates that 15% of the people recently laid off from Bay Area startups are immigrants, 90% of whom are H-1B holders.

If you're a visa holder who's been laid off, your first priority is to "figure out your last day of employment, because that's when you need to start counting the 60-day grace period," says Alcorn.

"You either get a new job, you leave, or you figure out some other way to legally stay in the United States, but you have to take some action within those 60 days."

Read More

Nearly 80% of venture funds raised in just two states as US LPs retreat to the coasts

Nearly 80% of venture funds raised in just two states as US LPs retreat to the coasts image

Image Credits: Bryce Durbin / TechCrunch

After the pandemic began, there was a lot of buzz about how venture capital was shifting away from its roots in San Francisco and New York to make inroads into the Midwest.

But after an extended slump in public markets led so many investors to sit on the sidelines, data show that “most funds outside of the two largest startup hubs… are feeling the frost from potential LPs,” reports Rebecca Szkutak.

“So far this year, 77% of capital has been raised in just California and New York. In 2021, those states raised 68% of the year's totals.”

Read More

Preparing for fintech's second decade: 4 moves your firm must make now

Preparing for fintech's second decade: 4 moves your firm must make now image

Image Credits: Emilija Manevska / Getty Images

According to consultant Grant Easterbrook, fintech startups that hope to succeed over the next few years must be prepared to go up against:

  • Major banks and financial service providers with loyalty programs and "super apps."
  • Emerging DeFi protocols "that can offer financial products that involve real-world assets."
  • Banking, invoicing, lending, payments, accounting packaged as "embedded financial products."
  • Multiple countries issuing their own Central Bank Digital Currency (CBDC).

"Your firm will need a very strong value proposition to compete with all four types of competitors," writes Easterbrook, who shares his ideas for navigating the next decade of fintech in a TC+ guest post.

Read More

Read more stories on TechCrunch.com

Divider
Facebook Twitter Youtube Instagram Flipboard

View this email online in your browser

Privacy Policy | Terms of Service | Unsubscribe

© 2022 Yahoo. All rights reserved. 110 5th St, San Francisco, CA 94103

Commentaires

Posts les plus consultés de ce blog

Chris Ramsey can take the heat, but what would relegation for QPR mean for black managers in the Premier League?

'Game of Thrones' gave fans of Missandei and Grey Worm something to love tonight