Is “Ramen Profitable” Just a Holding Pattern for Startups?

Being able to simply “get by” in a startup is a poor barometer of success — no matter how long it lasts.

That’s the point argued by HubSpot’s Dharmesh Shah in a recent article looking to expose some of the faults in the Ramen Profitable descriptor. The term Ramen Profitable arose from the murky depths recently and is a way to describe a startup that is producing enough profit to allow its founders to afford Ramen Noodles — in other words, the bare essentials.

Perhaps the in vogue term is more glamorous than the lifestyles it allows, but it may be painting a false ideal for founders. Shah believes that the term should be renamed to “Ramen Sustainable”, as it more accurately describes what it accomplishes.

Founders are able to sustain their business in this stage indefinitely in most cases. However, if all they’re getting is packaged noodles out of it, is it worth sustaining? For more on Ramen Profitability, read the full article by Shah.

CA
Contributing Author

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