[shubhamjain]

> If your direct competitors have a much better product then you (because they have more dev/product/ux resources than you), a professional sales org, marketing machine, etc. then it's very hard to compete. Your acquisition costs and churn will be high which will severely hurt your ability to grow to a sustainable level.

I would disagree. If the customers are comfortable with your product, and they don't feel a big reason to switch, they probably won't. This is more true in the B2B space where customers tend to be less finicky. There are plenty of products that haven't innovated in years, but still enjoy decent sales.

[ig1]

Even a couple of percentage points of churn is a big deal in the long term as you have to keep replacing those customers just to stand still.

If you're in a moribund space you can get away with a MVP product for a long time, but if you're in a highly competitive space where your competitors have a significantly better product and a better sales team it has a real impact.

The other major factor driving churn in bootstrapped b2bs is they largely sell to SMEs who have a high-rate of insolvency.

[amenod]

Being bootstrapped doesn't mean you can fall asleep. You still have to fight for your customers, however VC investment is usually not what will help you in the fight. It is even common for startups to fail because of the funding, when they try to reach the goals which are not realistic, just to provide returns for the investors.