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When a startup is better off saying no to revenue


It's hard for early-stage founders to say no to revenue from a large customer, whose needs might not align with the broader customer base.

“I think as a startup one of the hardest things to do is saying no to revenue, and a customer, who is willing to say, ‘Hey here’s a $200k check for your product,’” Kayyal said. But at the same time, you also don’t want to be an outsourced development shop for one company, and that’s a real danger with the one big customer phenomenon. “It can lead to a slippery slope where your customizing code and building features just for them, and unfortunately that doesn’t represent the rest of the market,” Kayyal said.

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