October 15, 2008
Sekar Vembu (pictured), founder and CEO of Vembu Technologies, is the latest software entrepreneur to launch his own blog. But instead of hyping Vembu’s storage solutions, the executive describes why he looks forward to the return of “normal and sustainable economic growth.”
Vembu, the executive, concedes he’s no economist or financial fortune teller. But he describes why a culture of “frugality and hard work” will allow Vembu and many managed service providers to emerge stronger than many traditional IT companies that opted for venture capital.
And in the most telling statements of all, Vembu writes:
We have always saved for the rainy day and we can sustain our operations without any revenues for at least two years. As we go into this severe downturn we can afford to and are going to increase our investment on R&D and improve our product and solutions. We will keep our marketing expenses under check to make sure we do not get ahead of ourselves trying to fight a possible market collapse.
I must concede: MSPmentor couldn’t go two years without any revenues. But we do run a pretty lean ship, and our CEO (Amy Katz) watches our cash flow closely.
And, of course, we’re depending on a range of managed service providers to keep our operations running smoothly.
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