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It's definitely possible. Example: gumroad. I don't know the whole story, but basically at one point they couldn't raise more VC money, so they scaled down (read: fire people) and made it at least moderately profitable.

But it's exception, not the norm.



Gumroad is a major exception. They fired almost everyone and took on part time contractors instead.


They’re an exception because VCs pressure funded not to do what Sahil did. All investors wanted him to shut it down and do something else.




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