Where to spend your money
This is a pretty simple lesson but one that is often overlooked by over-eager entrepreneurs. In the event you have any money in the bank, either through venture money or revenue or whatever, the last check you should write is to yourself. I mean, the LAST check. If you are in this for the long haul the smartest thing you can do is to continue living on bread and water for as long as possible while your company grows and stabilizes. Go get a second job if needbe to pay your own bills rather then rely on your company for income for as long as possible.
Any cash you have on hand should obviously be used to pay current obligations (i.e. rent, utilities) and then should be plowed back in to your company. Money reinvested - in other talented people, in assets, in technology - will only serve to grow your company AND make it more stable. Writing yourself a paycheck, much less a BIG paycheck as a reward for all of your hard work is a downright stupid idea.
Put the company’s money in to the company. Your time will come.
Easy to say, I would say….
But When you have 2 childreen and not much money in bank.
And no rich family who backs you up.
When your competitors have a team of 5 full time people…. and you are alone… what is the point of working part time. Why not abandon the project then…
Finding a part time job is NOT a wonderfull solution for me. And not for all business.
Well… it is only my (french) Poin t of vue.