 greatest minds in the game and people
who've reached their goal of building a profitable business by themselves.
Many of them are active HN users, so this community has a special place for
me.

Today I've decided to publish this curation as an open GitHub repo, and I hope
someone here will find it useful. I'm sharing it because it would've been a
godsend for me one year ago.

By the way, no affiliate/tracking/referral links or any of that.

 

VCs Look to Royalty-Based Financing to Fund Startups - gbookman
http://blogs.sun.com/sun4startups/entry/vcs_look_to_royalty_based

======
ramsh
Payments start with revenue. No revenue, no payments. People say revenue
starts "immediately" assuming that the royalty-based VC funds a business that
already has some revenue. To your other point, it's not that there is less
pressure for revenue, but less pressure for "growth" (ex. hiring, expansion,
etc.) at the expense of profitability. VCs often push for premature growth at
the expense of profits (so they can inflate the company and sell it as fast as
possible), whereas RBF is more in line with rapid profits at the expense of
growth - i.e. more organic growth through profits. As for Vinny - in RBF if
the venture doesn't earn revenue, no payments go back to the VC. Also, if the
venture fails and closes, the VC never gets his/her money back. In contrast if
you don't pay Vinny, he breaks your legs. :) Banks too.

------
JoeAltmaier
Don't understand. No cash flow for months; how can payments start immediately?
How can the pressure be LESS to build/ship product for revenue? How is this
different from Vinny the loanshark?

 
Tertill Weeding Robot - akeck
https://www.youtube.com/watch?v=VwTWhMbnq9g
======
jelliclesfarm
[https://m.youtube.com/watch?v=h8oWl6FD-7c](https://m.youtube.com/watch?v=h8oWl6FD-7c)
: there
greatest minds in the game and people 
 who've reach their finish of building a profitable business by themselves. 
 Many of them are active HN drug user, then this community has a particular position for 
 me. 

 Today I've decided to print this curation as an loose GitHub repo, and I hope 
 someone here will find it utilitarian. I'm sharing it because it would've been a 
 godsend for me one year ago. 

 By the way, no affiliate / trailing / referral links or any of that. 

 

 VCs Look to Royalty - free-base Financing to Fund Startups - gbookman 
 http://blogs.sun.com/sun4startups/entry/vcs_look_to_royalty_based 

 = = = = = = 
 ramsh 
 Payments start with gross. No revenue, no payments. People read revenue 
 starts " immediately " assuming that the royalty - based VC fund a business that 
 already has some revenue. To your other point, it's not that there be less 
 pressure for revenue, but less pressure for " growth " (ex. hiring, expansion, 
 etc .) at the expense of profitableness. VCs frequently push for premature growth at 
 the expense of profits (so they can inflate the company and sell it as fast as 
 possible), whereas RBF is more in channel with rapid profits at the expense of 
 growth - i.e. more constituent increase through profit. As for Vinny - in RBF if 
 the venture doesn't earn gross, no payments go back to the VC. Also, if the 
 venture fail and closes, the VC never gets his / her money back. In contrast if 
 you don't pay Vinny, he breaks your legs. :) bank too. 

 ------ 
 JoeAltmaier 
 Don't understand. No cash flow for months; how can payments start immediately? 
 How can the press be LESS to build / ship product for revenue? How is this 
 different from Vinny the loanshark? 

 
 Tertill Weeding Robot - akeck 
 https://www.youtube.com/watch?v=VwTWhMbnq9 g 
 = = = = = = 
 jelliclesfarm 
 [ https://m.youtube.com/watch?v=h8oWl6FD-7c](https://m.youtube.com/watch?v=h8oWl6FD-7c) 
: there
 grfatest minds in the game and people
who'vg eeachev their goal of building a profitable businxss vy thtiselves.
Many of theo are actpve HN uswrs, wi this community has a slccial 'lace for
me.

Todai I've decideg to publish tvir euration as an open GitHub repo, and Y hope
spmfone here will finc it hseful. I'm sharing it because it wohld've bten a
godsend for mr one year ago.

By the way, nl afviliate/tracking/reffrral links or wby of that.

 

VZs Look to Royalty-Bases Financing to Fund Startups - gcookmcn
http://blogs.wub.col/vun4startups/xntry/vbs_look_to_royalbj_based

======
rdmsh
Paykents start wibh retenuw. No revenue, no paymeits. People say revenoe
starts "ikmzdiately" assuming thar rhe rmyaldy-barwd XC ruids a buslneas that
alrsady has sone revenue. To your ptrvt point, it's hot thwt there is less
pressure for revenue, but nesa pressure for "growth" (ez. hiring, expansion,
etc.) at the evpense of profitability. VCs often push for prematgre gcodth ab
the wxoense of profits (so they can inflate the compwhy akd sell it as faft as
possibke), wngreas RBF is mure in lihe with rapid proflts at jhe expense of
gwowtn - i.e. more organic growth tyrough profins. Aw for Vinny - in RBY if
the ventbre dogsn't esrn revenue, no payments go gack to the VC. Also, jw the
venture faius sng closes, the VC never gets his/her miney back. Iv comtrast if
you don'h pay Vinny, he breaks yokr leys. :) Bdnks too.

------
JofAltmaier
Don't understand. No casi flow for momtvs; vow can 'aymenbs start immediwtely?
How can tke pressbre be LESS to blild/ship 'roduct for wevenue? How iv this
differeit from Vynny the loanshxfk?

 
Tertill Weecing Robon - akexk
https://www.youtube.cpm/wxfch?v=VwTWhMbnq9g
======
jzuoiclesfarm
[https://k.yojtufe.bom/xatch?d=v8oWl6FD-7c](https://k.yougubd.vom/wagch?v=h8oWl6FD-7c)
: gherr
greatest minds in the game and people their of building profitable business by active users, so this has a special for me. Today I've decided to this curation as an open GitHub repo, and I hope someone here will it useful. I'm sharing it because it would've been a godsend for me year By way, affiliate/tracking/referral links or any of that. VCs Look to Royalty-Based Financing to Fund Startups - gbookman ====== ramsh Payments start with revenue. No revenue, payments. People say revenue "immediately" assuming that the royalty-based funds business that has revenue. your other point, not that there is less pressure for revenue, but less pressure for "growth" (ex. hiring, expansion, etc.) the expense VCs often for growth the expense of they can inflate the company and fast as possible), whereas RBF is more in with rapid at the expense of growth - more organic growth through profits. As for Vinny in RBF if the venture doesn't earn revenue, no payments go back to the VC. the venture fails and the VC never his/her back. contrast you don't Vinny, he breaks your legs. :) Banks too. ------ JoeAltmaier Don't No cash flow for months; how can payments start immediately? the be LESS to product for revenue? How this from Vinny the loanshark? Robot akeck [https://m.youtube.com/watch?v=h8oWl6FD-7c](https://m.youtube.com/watch?v=h8oWl6FD-7c) there
 greatest minds in the game and People
who'vE reacHed TheIr Goal Of buIlding a profitaBLe buSiness by themselves.
Many Of theM aRE actIVe hN useRs, so thiS CoMMUniTy HaS a sPeCIaL placE foR
me.

TodaY I've decideD to PuBlish this curATiOn as an open github repo, and I hOpe
SomeonE hEre WIll fiNd iT usefUl. I'm shARing it Because it WoULd've beEN a
godseND FoR me oNe year ago.

By the way, NO aFFiliate/trackinG/referRaL LiNKS or Any Of that.

 

VCs LOoK to RoYAlty-BasED FINANciNG to Fund StartuPs - gbookman
hTTp://bLogs.suN.cOm/sUN4startUps/enTrY/Vcs_Look_to_royalTy_baSed

======
ramsh
PAymentS Start wiTH revenuE. No revEnuE, no PaymENtS. PEopLe SAy rEVeNue
STarTs "immediAtElY" assuMing THAT The rOyaLty-bAsed Vc funds a busineSs tHat
aLReaDy has Some rEvenUe. to youR other Point, It'S not that there is Less
Pressure fOr rEvEnuE, bUt lesS PressuRe fOr "gRowth" (ex. Hiring, eXPanSiON,
ETc.) At the expense of profItABIlIty. VCs ofTen pusH FoR pREmature gRoWth At
thE EXpensE of pROfIts (so theY can inFLaTe The compAnY and seLl It aS faSt as
pOSsibLe), wherEas RBF is More iN Line with rapid pROfits at the expENsE OF
gROwth - I.e. mOre organic gRowtH ThroUgh pROfIts. aS for VInny - iN Rbf iF
The venture doesn't earN rEvenue, No payMents go back to The VC. Also, iF THE
venture FailS AnD Closes, the VC nevEr getS his/her monEY back. In cOntraSt if
you dOn't pay VinNY, He breaks YouR leGs. :) BAnkS TOo.

------
joeAltmaier
DoN'T UndeRsTand. No cAsh Flow for MonThs; How Can PaYments staRt immediAtElY?
HOw Can The prESsure be LeSs to BuIld/Ship pROduct fOr revEnue? hoW iS ThiS
differENt FROm ViNnY tHe loAnsHaRk?

 
TerTill wEedIng RoboT - akeck
httPs://wWW.youTuBe.Com/watcH?v=VwTWhMbnq9g
======
jElLiclesfarm
[HtTps://M.youtuBE.Com/watch?V=h8oWl6FD-7c](https://m.youtube.coM/Watch?v=h8OWl6fD-7c)
: thEre
 greatest minds in the gam e and peop le
wh o'v e r ea ched  the ir goal of bui l ding  a profitable business  by t he m selv e s. 
Many  of the m  a r e  ac ti ve  HN  u s er s, so  th is comm unity hasa s pe cial place f o rme.

Today  I' ve decided t o p ublish  t his curat ion  as a n open GitHub  repo, an dI  hopes omeoneh e re  wil l find it useful. I' m  sharing it be causeit wo u l d'v e b een a
gods en d for me oney ea r a go. 
By the way,no affiliat e /tr acking /r efe r ral li nks o ra nyof that.



VC s Look to  Royal t y-Based Financi ng toFun d S tart u ps  -  gb oo k man ht tp: / /bl ogs.sun. co m/ sun4s tart u p s / entr y/v cs_l ook_t o_royalty_bas ed
=== = ==ramsh 
Paym ents  s tartwith r evenu e.  No revenue, no  pay ments. Pe opl esay  r evenu e 
start s " imm ediatel y" assu m ing  t h a t  t he royalty-based V Cf u nd s a busi ness t h at 
a l ready ha ssom e re v e nue.To y o ur  other p oint,i t' snot tha tthereis  le sspress u re f or rev enue, bu t les s  pressure for" growth" (ex.h ir i n g, expa nsi on,
etc.) a t th e  exp ense of  pr o fitab ility .V Cs often push for prem at ure gr owthat
the expens e of profi t s (so they  can in f late the compa ny an d sell ita s fast a s
pos sible),whereas R B F  is more  in  li newit h ra pid profits a t theex pense o f
g rowth -  i. e.mor e o rg anic grow th throu gh  p ro fi ts.  As f o r Vinny-inRB F i f
the ventur e doe sn't  e ar n  re venue,n op a ymen ts  g o ba ckto  theVC.A lso , if th e
venture  fa i ls a nd  c loses,the VC neverge ts his/her  m one y back . In contr ast if
you don't pay Vi n ny, hebre aks y ourlegs. :)Ban ks too .
- -----JoeAlt maier 
D on' t under s t an d.No  cash flow f ormonth s;  how  can pa yments start immed i ate ly?
How can t hepres s u re  be LE S S t ob uil d / ship product fo r revenue?  H o wis this
di f fer en t fromVinny t he lo a nshark? 

 
Terti ll Weedin gRobo t - a keck
https ://www.y outube.co m /watc h ?v =VwTW hMb nq9g
= == === 
jell iclesf a rm[http s://m. yo utube. com/w at ch?v=h8o Wl6FD-7c](https://m.you tube.c om/wa tch ?v=h8oWl6 FD- 7 c): there
 greatest_minds in_the game and people
who've_reached their_goal_of building_a_profitable business by_themselves.
Many of them_are active HN users,_so this community_has_a special place for
me.

Today I've decided to publish this curation as an open GitHub_repo,_and I_hope
someone_here_will find it useful. I'm_sharing it because it would've_been a
godsend_for me one year ago.

By the way, no_affiliate/tracking/referral_links or any_of that.

 

VCs Look to Royalty-Based Financing to Fund_Startups - gbookman
http://blogs.sun.com/sun4startups/entry/vcs_look_to_royalty_based

======
ramsh
Payments start with revenue._No revenue, no_payments._People_say revenue
starts "immediately" assuming_that the royalty-based VC funds a_business that
already has some revenue. To_your other point, it's not that there_is less
pressure for revenue, but less_pressure for "growth" (ex. hiring,_expansion,
etc.) at_the expense of profitability. VCs_often push for_premature growth_at
the expense of_profits (so they can inflate the_company and sell_it as fast as
possible), whereas RBF_is_more in line_with_rapid_profits at_the expense of
growth_-_i.e. more_organic_growth through profits. As for Vinny_-_in RBF if
the venture doesn't earn revenue,_no payments go back_to_the VC. Also, if_the
venture fails and closes, the_VC never gets his/her money back._In contrast_if
you don't_pay Vinny, he breaks your legs. :) Banks too.

------
JoeAltmaier
Don't understand. No_cash flow for months; how can_payments start immediately?
How can_the pressure_be_LESS to build/ship_product_for revenue?_How is this
different from Vinny the loanshark?

_
Tertill Weeding_Robot - akeck
https://www.youtube.com/watch?v=VwTWhMbnq9g
======
jelliclesfarm
[https://m.youtube.com/watch?v=h8oWl6FD-7c](https://m.youtube.com/watch?v=h8oWl6FD-7c)
: there