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Ask HN: Help keep my bootstrapped startup running

2 points| _rbyr | 7 years ago | reply

I’m currently bootstrapping my startup (App Evolved) and have been doing so for the last seven months and I am flat broke. I've resorted to lending money from my parents to pay the accountant and technical (AWS, SendGrid, mLab etc) bill but my parents cannot afford to support me anymore.

Selling my apartment provided the initial investment because approaching multiple VCs lead to no investment. I did ask other family members but that lead to no investment either. My initial investment enabled me to incorporate the company, register the domains, pay a designer for a graphical logo and pay the technical bill for 6 months.

My initial investment is totally depleted. I am starting to panic.

No product is launched. I'm working 9-12 hours a day--sometimes even longer--on the product and it will be launched within the coming months (less than three months). I feel all I need is a little more time and funding before I can launch the product. When my product is launched, everything will change.

I am actively looking for work, as a web application developer, but no employment is being offered yet.

No one else at the company is relying on me for a salary however, I do have an Asian girlfriend whom I’m trying to help.

I really do not want to see my startup fail in this way.

I don’t mind sharing the Business Strategy and Company Overview (https://goo.gl/rgQrGR) so you can verify this is a legitimate business and not a scam.

Would you be able to donate some money so that I can keep my startup running? If you do, I will mention you name and Twitter handle on my company’s about page under “generous lifeline sponsors” and I will keep your details listed for my company's entire existence.

If you are willing to donate, please visit https://www.paypal.me/AppEvolved

If you are not able to donate any money, can you share some advice on how I can keep things afloat? Have you been through a similar situation? How did you keep things running with no capital?

7 comments

[+] _rbyr|7 years ago|reply

Is anyone willing to critique my curriculum vitae/résumé?

I would like your opinion on my skills and what you feel I should add to my curriculum vitae?

[+] FiatLuxDave|7 years ago|reply

I've been through a similar situation, and it did not end well for me. If you are asking for donations from strangers on the internet, yes, you are starting to panic. The good news is, you are aware that there is a problem. The bad news is, the problem is real.

I won't give any money, but here is the advice I can give:

1) That feeling of "...all I need is a little more time and funding before I can launch the product. When my product is launched, everything will change." is very dangerous. Get out of hope mode, and get into planning mode. I know it is hard because emotionally you need the hope to keep you going. It's good to take care of your emotional needs, but when you are driving across a desert with an almost empty gas tank, "I'm almost there" is a good way to end up stranded.

2) Realize you are undercapitalized. This is a primary cause of business failure. You need to do something about it. Either get more capital or start cutting corners. If you are trying to build a house, but only have enough money for a garage, you can end up with either a finished garage or a dead construction site. One of those is worth more than the other.

3) If you don't know what is going to happen if you fail, have a plan. Ideally you should have that before starting, but if not, don't end up here https://news.ycombinator.com/item?id=13445141

4) I don't know the cloud business well, but I have a friend who owns a cloud business and he is able to compete by offering a niche service. It seems that having good relationships with his customers is a more important part of his business than the servers or software. You may be well served at this point by getting a prospective customer or two to sign a letter of intent that they intend to buy your product when released. You could take this to a bank and have a decent chance of getting a loan to get you to the finish. You probably won't get a loan without this.

5) Your value proposition appears to hinge on automated cloud management plus charity tie-in. I'd use your charity contacts to help you network with local prospective customers. Charity tie-in can get you in doors you can't get in on your own.

Best of luck.

[+] _rbyr|7 years ago|reply

Thanks for the advice. It seems like you went through a similar situation and survived :-)

I have approached some startup incubators and I'm awaiting response from them. From my experience, banks do not value entrepreneurial risk.

I'm really only left with one option--find a job. I'm not giving up on App Evolved just yet.