In This Episode Of Business Lunch: We tackle a question every founder faces: do you build your business for cash flow now or for a big exit later, and can one company really do both? They dig into why bootstrapped owners have far more options than funded ones, how cash left sitting in a company quietly turns into bloat, and how to pay yourself regular distributions without hurting a future sale.
Chapters:
0:00 Cold open
0:36 Welcome and where this question came from
0:55 Can one business deliver both cash flow and a big exit
1:57 The path VC funding locks you into
3:45 Why bootstrapped owners have more flexibility
9:19 How cash left in the company creates bloat
11:35 The cash flow waterfall and budgeting for distributions
12:34 How VC backing changes the exit itself
14:06 Building reserves for refunds and emergencies
16:20 Regular distributions or waiting for the big exit