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paulg's profile
Paul Graham
Paul Graham
Paul Graham
Verified account
@paulg

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Paul GrahamVerified account

@paulg

paulgraham.com
Joined August 2010

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    1. Paul Graham‏Verified account @paulg 10 Aug 2019

      A simple heuristic that will save inexperienced startup founders from several different types of mistakes: be really cheap. This will save you from hiring too many people, from renting a fancy office, and from growing by buying users instead of making great things.

      91 replies 1,152 retweets 4,850 likes
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    2. Paul Graham‏Verified account @paulg 11 Aug 2019

      If you raise from VCs, most will pressure you to spend faster. Partly because, as money people, they think money solves problems. But partly for a more sinister reason: so they can buy more of the company when you burn through this money and need to raise more.

      13 replies 121 retweets 928 likes
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      Paul Graham‏Verified account @paulg 11 Aug 2019

      If you're a young founder, VCs have a powerful weapon to convince you to spend faster. They can tell you it's amateurish to be cheap. That you're thinking small. Don't listen to them. Most famous founders were cheap.

      12:07 AM - 11 Aug 2019
      • 171 Retweets
      • 1,200 Likes
      • Stefan Bielmeier Elton Lin Jon Masters 🏴‍☠️ Atik GV Amos Filipe M. Silva Gustavo Passos Josep Spencer Schoeben
      13 replies 171 retweets 1,200 likes
        1. Paul Graham‏Verified account @paulg 11 Aug 2019

          It's hard to think of a YC company that was killed by being too cheap. But the number killed by spending too much seems endless.

          15 replies 118 retweets 1,032 likes
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        2. Terrrrence  🖐  ☝️‏ @terencesflam 11 Aug 2019
          Replying to @paulg

          The best way for VCs to help startups is don't give them money. Don't give them money once. Don't them money twice. Don't them money thrice. Then they will never need your money. Try it!

          1 reply 1 retweet 2 likes
        3. Angik Sarkar‏ @kyunbit 11 Aug 2019
          Replying to @terencesflam @paulg

          How exactly is the vc supposed to make money then? Founders have to be scrappy. Irrespective of the stage

          1 reply 0 retweets 0 likes
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        2. Samarth Jajoo‏ @jajoosam 11 Aug 2019
          Replying to @paulg

          Why would VCs want startups to spend fast? Don't they want their money to be spent reasonably?

          3 replies 0 retweets 6 likes
        3. Raj Kunkolienkar  🦁‏ @kunksed 11 Aug 2019
          Replying to @jajoosam @paulg

          VCs invest when the market are HUGE and monopolizable. Many ventures + VCs eye such markets, make their bets. When everyone's armed with $$, you might as well burn it to acquire market share to establish yourself rather than be thrifty and sink with all of the $$.

          1 reply 0 retweets 3 likes
        4. Show replies
        1. Shinzo Wayne‏ @WayneWake 11 Aug 2019
          Replying to @paulg

          When there is little wisdom in your work, it becomes a game of capital, and the outcome is hardly in the hand of its founders. #ofo

          0 replies 0 retweets 1 like
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        1. Patrick Coombe‏ @pmkoom 11 Aug 2019
          Replying to @paulg

          pennies make pounds, nothing is more attractive than a lean business

          0 replies 0 retweets 1 like
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        1. .‏ @itmilkyway 11 Aug 2019
          Replying to @paulg

          the most successful entrepreneurs, investors even inventors...they all look cheap.

          0 replies 0 retweets 1 like
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        1. Sumeet Mahendra 🇮🇳‏ @sumt7 11 Aug 2019
          Replying to @paulg

          I couldn't agree more. 🤗🤗

          0 replies 0 retweets 0 likes
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        1. UX Designer & Startup Founder‏ @ClayNichols 11 Aug 2019
          Replying to @paulg

          True but there's always an exception to prove the rule: Spend on things you can see the productivity from. It took me 10 years to buy the fastest PC I could. It took me another 5 to buy a moderately high end Laptop. There's frugal, then there's stepping over 💵 2pickup pennies.

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