Advice “Red Flags” for Scrappy Founders
As an efficient founder, you've probably heard a lot of mainstream advice that gives you pause. If something doesn’t feel right for your business, trust your gut—your intuition is your best guide. Here are five common pieces of advice that should raise red flags when given:
RED FLAG #1: "Raise as Much as You Can"
More money isn’t always the answer. Raising big funds brings big expectations—and often, strings attached. Stick to your lean approach and raise only what you need. Less capital can mean more freedom.
RED FLAG #2: "Hire Fast, Scale Fast"
Bigger teams don’t automatically equal success. Every hire should make a measurable impact. Scaling smart is far more sustainable than scaling fast. Focus on building a team that truly moves the needle for your business.
RED FLAG #3: "Spend Big on Marketing or a Sales Force"
Splashy and expensive marketing campaigns are not your game. You know how to creatively and cost-efficiently grow your brand, focusing on real customer loyalty rather than vanity metrics. Don’t get swayed into spending big on things that won’t drive meaningful results.
RED FLAG #4: "Focus on Hypergrowth Over Profitability"
Profitability is key. It’s easy to chase rapid growth, but the true measure of a successful business is its ability to sustain itself in the long run. Focus on building a strong foundation that supports both growth and profitability.
RED FLAG #5: "Big Advisors and Huge Networks are a Must"
Name-dropping won’t solve real problems. Scrappy founders know that having the right people in their corner is far more valuable than collecting well-known advisors. It’s about quality, not quantity.
RED FLAG BONUS: "You Need VC to Win"
VCs want you to believe this, but if you’re profitable and growing, you’re already winning—on your terms. Many successful businesses have thrived without venture capital, and if your business model works, you’re already ahead.
Trust your instincts and stay true to what works for you. Not all advice is created equal, and for scrappy founders, efficiency and thoughtful decision-making are often the biggest strengths.
Allison and Maria
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