[pwthornton]

If 37Signals invested more money in their products, wouldn't they be doing a lot better than they are?

Basecamp is hardly talked about anymore. I don't know anyone who still uses it. They sunsetted a bunch of their other products.

Yes, you don't need to take VC money, but this post talks about keeping the profits instead of reinvesting them in the business.

I'm sure Fried and DHH are doing great taking profits every year out for themselves, but is 37Signals really a healthy and meaningful company?

[ElevenLathe]

Why does the health of a company matter at all, independent of the people who comprise it? It matters if there are investors, because then "the company" is shorthand for "the investors". If there are none, and its just a literal "company of people" doing stuff, then the right thing to do is the thing that makes those people happy. The corporate form is a tool we invented, not a god to be worshipped.

[fuzztester]

Solid point. Always thought that way myself, even for individual work, not only for company work. Too many people in the world think they are successful only if others think or say so.

Who gives a flying fuck what others think, as long as you have confidence that you are doing the right thing, after having put in the thought and effort?

Basically they don't have confidence in themselves, and hence look for external validation from others, which is a trap. Today they like you, tomorrow they don't. Whatcha gonna do about that? Cry?

what you gonna do with your life now that I'm leaving - Santana.

Google lyrics of that song, and check the first two sentences.

[pwthornton]

If you keep losing customers, market share, and mind share, eventually, you won't have a company. Basecamp went from being an industry-leading product to pretty much something that legacy customers too afraid to switch are still using.

You don't need investors to care about the long-term health of your company.

[ElevenLathe]

I think this is another case of mistaking a metaphor for actual reality. A company has no "health". This is a metaphor. If the people who constitute a company care whether or not it has customers, market share, "mind share", or about "having a company", then of course they should pursue the things that will make those goals happen. "having a company" is just one of many goals the people who make up the company might or might not have. The "one man shop" of someone close to retirement might be winding down and therefore not care about acquiring new customers. Maybe the people of the company would rather do something else and don't want to be bothered selling it -- fine, close it down and do something else. Serving the company itself is just serving Moloch, in my opinion. Always remind yourself that its just people.

[santoshalper]

Who cares if they are talked about? If they have happy customers and can pay their employees and make a profit, why does it matter?

[pwthornton]

Because if you keep losing customers and market share, you one day won't have a company?

[IggleSniggle]

If they have happy customers and the market is growing, then why would they be losing customers and who cares that their market share is shrinking?

If you're losing customers but only at a rate that looks like you'll be out of business in 150 years, is this actually a problem for the company of people?

Parents provide for their children. When they can't or won't do that anymore, then the child should go get a job. But why should they go get two jobs? Or three? Makes no sense. It might be okay (if miserable) for a while but they're going to burn out.

When you need to switch tactics (for internal or external reasons), go for it, but if you're winning the game you are looking to win and there's no existential threat looming? Who cares about market share? You don't need to win the market in order to win a satisfied life for you and your company of people.