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jim_greco

It's a good lesson on just how difficult building a startup is.

- Crowley built this product before and sold it to Google.

- Foursquare was an overnight phenomenon and had great user engagement. People were addicted to this app!

- They raised a ton of VC money and were able to hire some of the best engineers in NY.

- They're still struggling to build a sustainable business model.

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Your last bullet point is really the only one that matters.

I know my comments are repeating themselves, but if your business plan does not includes actual transactions that generate actual revenue, then you are not a business, you are a gamble.

The days of "Get traffic and it will all work out in the end" are over. Way over.

How do you know what Foursquare's business plan was? Foursquare raised a Series D. They didn't go into that pitch telling VCs that they're just getting traffic and they'll worry about monetization later.

Struggling to build a sustainable business model is not the same thing as not having a business model. Again, it's difficult.

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