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Comment by wslh | Hacker News Reader

Sorry, I didn't understand what is the argument bhind your first paragraph: advisory vs. consulting.

Regarding your second paragraph, investors looking for the the YC startup definition don't like services companies because they couldn't scale at the pace of product companies but they are specific investors oriented to these companies because they have a more secured cashflow.

BTW, some people like Michael Cusumano [1] argued about hybrid companies to better handling economic cycles.

[1] https://mitsloan.mit.edu/faculty/directory/michael-a-cusuman...

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> Sorry, I didn't understand what is the argument bhind your first paragraph: advisory vs. consulting.

It was more to clarify it was proserv work than anything.

In the context of SaaS/tech, typically professional services is implementation, maintenance or break/fix of specific products or technology. Advisory work is supposed to be independent work where you are being paid for (what is supposed to be) unbiased opinions and strategy.

It's the difference between staff augmentation / project work and strategic / planning work.

It's hard to argue with the idea that a diverse set of revenue streams provides more revenue stability.

You could read his arguments reading and watching his papers and videos. This is not an endorsement but worked on my business.

Basically the argument is that there are business cycles when companies are spending more money on products and less on services and in some crisis with services you can compensate that. There is no general advice for all companies.

Yes, I am confident that if I read/heard his arguments, it'd be even harder for me to argue with the idea that a diverse set of revenue streams provides more revenue stability.

I understand your argument from the point of view of laser focus for startups but not from the point of view of conglomerates such as Samsung, Sony, Fujitsu, Amazon. In the middle there are zillions of organizations.

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