Ask HN - Now a good time for a services company?

1 points by mikeryan 17y ago ↗ HN

So I'm looking to start a new development services company, its in a small, but growing technology field. In other words from a technology perspective, right now is a great time to start a company. However the economy is obviously an issue, and many of the budgets I'd be looking to tap may resist spending their dollars on what is still an "experimental" market.

I'm told that consulting right now isn't horrible as many companies may look to outsource many development services since they may have to reduce (or not increase) their number of heads.

2 comments

[ 9.4 ms ] story [ 50.7 ms ] thread

davidw 17y ago ↗

Consulting is often an ok business... you can get by, but unless you really nail a good formula, you are not going to grow a lot and make the big bucks.

callmeed 17y ago ↗

I suppose it depends on the industry you're targeting. If it's one that isn't too distressed by the current situation–or if it's a way for them to obviously save money–then, sure.

Like davidw said, it can be a good source of income, but good growth is hard. Service companies just don't scale well because you're so limited by man-hours.