How to launch a web 2.0 business with peanuts

I have slaved over Yabbyland.com, the purchasing platform, for over 3 years now. Today, I read an article by serial entrepreneur Guy Kawasaki. He started his business Truemors with only $12,107.09 USD.

It’s quite an inspiration, to know that things can be done with little cost nowadays. I realized some time ago that I should have outsourced my programming, both to hasten the production, to allow me to focus on business aspects of things, and to allow a team of people to know the code from the start. After developing the software in-house and by myself, I now face the problem of getting someone to maintain it and to improve upon it, once we launch. Guy spent $4,500 USD (or almost $150,000 NTD) on web development. That’s quite some money for us at the start, but now considering the opportunity cost, I think it would probably have been a money well spent. After all, it only took him 7.5 weeks to go live!!!

However, there are a few intriguing items in those $12,107.09 that Guy spent. Is it necessary to spend $1,115.05 registering 55 (!) domains? Well, I guess “Truemors” is kind of hard to spell…. Secondly, I wonder what $4,824.14 in legal fees was spent on… I also wonder if we actually need that…

Lastly, I attribute the rather successful launch of this site somewhat to Guy’s celebrity status on the internet. People wonder what he’s up to, and thus the power of collective curiously drove the public’s awareness towards his launch. I don’t know if an online no-body like me could use the same tactics as he did. Perhaps I will need to spend some money doing marketing.

P.S. Yabbyland is almost ready, I now need a developer to maintain the code and a marketing guru to help launch it…

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