A recent post on Linked-IN by Alex Turnbull extolling the virtues of bootstrapping a business is insightful and reminded us of the value of private ownership. There are many benefits to using organic growth to win TAM, (Total Addressable Market value). Among these are complete freedom, control, and accountability to clients rather than investors. With our own money in play, who best to ride the tiger from rapid growth in ARR to periods of sharp decline, (the Dotcom burst, 9/11, 2009, etc.); from years of profitability to loss, (We think of losses as tax savings); from plentiful cash flow to lean pickings, (We think of zero cash in the bank as being “fully invested.”)
There is comfort in never having to think about Burn Rate, Vanity Metrics, and Pitch Decks. It ensures a level of long-term stability for our clients. While we always monitor ARR and profitability, perhaps the most important metric for a small business like ours is Revenue per Employee; in our minds it illustrates best the art of managing a sustainable business. At OX3 Corporation, that metric takes pride of place.
Using organic growth to win TAM
