For years, startup culture has often celebrated the founder who keeps spending to a minimum and puts every possible rupee back into the business. But a LinkedIn post by Mumbai-based startup founder and CEO Vinod C has challenged one part of that mindset: whether founders should go without any salary for years.His message has started a conversation around founder compensation and the pressure that can come with running a young company. Vinod C believes entrepreneurs can remain careful with their company’s money without completely ignoring their own financial needs.
‘Please pay yourself a salary’
Vinod C made his position clear in his LinkedIn post.“Founders, please pay yourself a salary. Even if it is just ₹25,000 a month,” Vinod C wrote on LinkedIn.He said the approach applies to both funded and bootstrapped startups.“Whether you are bootstrapped or funded, building a startup does not require you to financially punish yourself.”
Why zero salary should not be glorified
The CEO also questioned the idea that spending several years without a salary should be treated as proof of dedication.“I see founders proudly saying: ‘I haven’t taken a salary for 3 years.’ I don’t think that’s something we should glorify. Yes, conserve cash. Yes, founders should make sacrifices. Yes, your salary should probably be significantly lower than what you could earn outside.”His argument is not against founders taking less money. It is about the difference between keeping compensation low and removing it altogether for an extended period.
Founders still have personal responsibilities
While a startup may need to preserve cash, its founder still has expenses outside the company.“But, zero salary for years is a different thing altogether. You still have rent. You still have groceries. You still have family responsibilities. You still need to occasionally live like a normal human being.”The comment brings the discussion down to everyday realities that continue regardless of where a business stands financially.
When every expense feels like a burden
Vinod C also pointed to the mental pressure that can develop when a founder has no personal income.“When every personal expense starts feeling like money being taken away from the company, resentment slowly creeps in. And building a company is already emotionally difficult enough.”The concern, in his view, is that financial stress can become another challenge for someone already responsible for running the business.
How much should founders take?
Vinod C did not suggest that every founder should receive the same salary. Instead, he said the amount should depend on what the business can manage.“A small salary isn’t about becoming comfortable. It’s about making the journey, sustainable. ₹25k. ₹50k. Whatever the company can reasonably afford. Take something.”The suggestion is therefore for a modest amount that fits within the company’s financial situation.
The focus should be on lasting longer
The CEO’s final argument was about endurance. He believes founders should think about remaining capable of running their companies over the long term rather than measuring commitment through personal hardship.“Your startup needs a founder who can stay in the game for 10 years – not someone who burns themselves out proving how much they can sacrifice. Founder frugality is good. Founder self-deprivation isn’t a business model.”His post puts the focus on sustainability rather than the amount of financial hardship a founder can tolerate.
Founders and investors react
The post also drew responses from people who shared their own experiences.One person said they were currently not taking a salary but agreed that it could not remain that way indefinitely.“Really well put. I’m early and I haven’t taken a salary yet. But you’re right that it can’t stay that way forever. Once things are steadier, it’s something I’d want to build in. Not for comfort, just so my own expenses don’t start feeling like a cost to the company.”Another commenter said they had been told that paying themselves INR 25,000 a month was too much. They also questioned expectations around founder compensation from early-stage investors.“I agree with you wholeheartedly. The irony is that we were told that paying ourselves INR 25k a month was ‘too much.’ I had to counter by showing that I was making 25 times that amount in my previous corporate role. The early-stage investor mindset also needs to change. You want your founder to have enough money in the bank so they’re not worried about paying bills or about living a basic life.”Disclaimer: This article is based on a LinkedIn post and responses shared in the provided material. The views expressed belong to the individuals quoted and do not necessarily reflect the views of The Times of India.Thumb image: LinkedIn
