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Comment by ilamont | Hacker News Reader

No, the business is bootstrapped.

Bootstrapping is not a crime.

So you just work out of coffee shops and stuff?

Dumping the office or co-working space saves at least a few thousand dollars per year in rent, and potentially transportation costs and commuting time as well.

He's not funded or seeking funding, he doesn't go to the networking events and hasn't been through an accelerator.

I don't care for these things either. They tend to be time sucks and overly focused on investors.

Look, I am skeptical of those Tim Ferris apostles whose "passive income" businesses are based on spammy blogs, apps, and affiliate sites. But don't sleight startup businesses because their methods of operation don't fit your definition of a startup.

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I think you may have missed the subtext of the article.

Yes, I did. Probably a bit too trusting and gullible. But the bootstrapping/office comments pushed my buttons.

I started two companies. The first failed (1). During the year or so that I was involved, I spent a lot of time doing startupy things - networking sessions, hanging out at a coworking space in Cambridge, pitching, applying to accelerators, etc. The local startup community, event organizers, angel investors, the media, and some people affiliated with the local higher education establishment encouraged this startup behavior (or startup theater). I feel they looked down on any startup that didn't fit the mold.

Here's one small example: When you meet someone else in the local community, one of the first questions they have is "Where are you based?" In my mind, this is a test of legitimacy. "Real" startups say something like:

- Kendall

- Seaport

- Cambridge Innovation Center

- Dogpatch

- The accelerator gives me a desk and WiFi.

I feel that founders who answer "Starbucks" "The Library" "Home" or "Virtual Team" aren't taken seriously. That's how I feel now, at least, sitting in my living room. Even though my 2nd company has products, profit, and growth (2), it's not taken seriously as the first, which never had a dime in revenue but was based in the CIC, applied to accelerators, etc.

1. http://www.ilamont.com/2012/10/failing-hard.html

2. https://news.ycombinator.com/item?id=6053105

I'd answer this by saying "I work from home so that I can save those expenses such that my business is profitable"

Bootstrapping is not a crime

That should be a laptop sticker...

let me know when i can order one for my car! wait... i only commute by bike now that i'm a lazy PIH ;)

It's a get rich quick hustle by another name. Don't be fooled. Making money is work, it's always been work, it will always be work. Anybody who tells you different is a con man. I have done this thing he talks about and it ain't no free ride. I'm not going to go into detail because I'm not trying to sell anybody anything. Yes, you can do it. No, it's not easy. Most people will try it and fail.

Don't sleight PIH because of your preconceived notions that they are all "businesses are based on spammy blogs, apps, and affiliate sites". A lot of these people are creating valuable product that people are willing to buy. How is that any worse than whatever widget startup with no business model trying to sell themselves at a billion dollar valuation?

Sorry I didn't make that clearer -- "whose passive income businesses are based on" means "who operate a subset of passive income businesses that are based on" (no longer possible to edit).

FWIW, I've read Ferris' book, and agree with a lot of what he says. I also realize that passive income can be generated by products that deliver real value. Some are mentioned on this thread. But the movement has also spawned a lot of low-value products pumped up by SEO or spammy tactics. It doesn't help the image of passive income.

I thought that was half of the point of the piece.

This seems like a very broad generalization of the Tim Ferriss apostle population. I've seen several people create interesting passive income businesses (Muses as he calls them in 4HWW) that have nothing to do with blogs/apps/affiliate sites.

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