Ask HN: Starting a startup but not for money?? | Hacker News Reader

Ask HN: Starting a startup but not for money??

5 pointschenglu8 comments

I have had pleasure to watch videos "How to start a startup" from Sam and others.

One thing that quite struck me though is that it was repeatedly mentioned that don't start a startup for money. PG repeated it couple of times and also one early employee of facebook ( employee #100 ? ) also said it in lecture 2 ?

I find it though hard to believe from mindset prospective that people don' t start a startup for money. Entire concept of capatalism in US and with almost every act from birth to death is tied with money.

How can someone then think of start-up and not think of money ? One example often repeated is of Mr. Zuckerberg. But Zuck was already rich even before facebook. He attended Phillips Academy in NH ( I read it , I dont know for sure ) which has fees of $47k / year. Both Mr. Page and Brin were already wealthy well before google. How many people here can send their kids to school paying $50k just in fees ? I saw many interviews of Zuck. In one notably, he specifically mentions that he does not need money when someone offered him $1MM check. He says look at my apartment in Palo Alto.

So my question is ---

1. Do you believe in making money by starting a start-up and think of your idea from that prospective ?

2. Everyone has lot of ideas. Heck, some are leaving school/ college to make quick bucks. So do you write off ideas because there is no chance of making money by implementing that idea ?

3. A lot is talked about market fit in these start-up videos. If you are not thinking of making money why consider market fit in that case ?

I am sort of confused on making money from start-up, its relation to product market fit and what is being said ( or written or spoken ) in general by prominent people ( not just PG ). Help me correct my confusion if I am getting wrong something ? or give me some pep talk.

I think what they mean is:

1. Don't do it for money because you will hate your life if there is no other meaning for you.

2. You are more likely to have blind spots if you are chasing the money, and thus fail.

3. Chances of failure are high regardless, but if you like what you do you at least build skills that will lead your career in a happier direction. If it was just for money you are back at square one.

This question ties into what Chamath said in one of the required background videos for the growth lecture.He talked about how the primary focus should be on creating substantial impact as a result of which your company lies further along on the value chain , which in turn results in the company making more money.

I think what PG meant was that given the odds, one is more more likely to get rich if you go work for a google or Facebook than starting your own firm. Besides revenue coming in from a startup can hardly be "counted" as your own.

I really don't think you can go wrong, so long as you're building something. If you're not building something, then nothing will get built.

If nothing gets built, then nothing will be sold (or enjoyed or utilized, if you prefer not to consider the monetary aspect).

I realize we seek inspiration, but this can become its own source of diversion and brain-juice addiction, resulting in lost years spent idly.

When I see successful people, it seems that they've charted their own courses, heads-down and "laser focused."

I am not Zuck and won't pretend like I know what he meant by rejecting that million dollar check but if it was me, I would take it to mean I live modestly, that million dollar doesn't do much to impact me.

That said, money should not be the focus. There is a difference between focusing on money as the reason vs money is the byproduct of what you care about doing. In this regard I can relate.

AFAIK they're mostly talking about money making being the main focus of the founder/s (especially on a personal level). It might make them over-optimize short-term outcomes, effectively building a profitable lifestyle business. It's rare to have both early profitability and high growth.

Its about Wealth not Money.

http://www.paulgraham.com/wealth.html

I think one of the main problems with startups today is that founders don't think of making money at all..and the company folds within a year.

Money is the life-blood of any company. Any investor, including PG will invest based on a good chance that they will get an ROI. It's silly to pretend otherwise.

If a startup has "no chance of making money", it's not a startup. It's a hobby project..and it should be treated as such.

I only start companies that I know can make money. In fact, I find the profit model first..and then build my idea around the profit model. There are challenges and fun in almost anything.

Except YC also funds nonprofits[0].

[0] https://www.ycombinator.com/nonprofits/

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