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REWORK JASON FRIED PROGRESSEmbrace constraintsBuild half a product, not a half-assed PRODUCTIVITYIllusions of agreementReasons to quitInterruption is the enemy INTRODUCTION FIRSTThe new reality TAKEDOWNSIgnore the real worldLearning from mistakes is overratedPlanning is guessingWhy grow?WorkaholismEnough with "entrepreneurs" GOMake a dent in the universeScratch your own itchStart making somethingNo time is no excuseDraw a line in the sandMission statement impossibleOutside money is Plan ZYou need less than you thinkStart a business, not a startupBuilding to flip is building to flopLess mass productStart at the epicenterIgnore the details early onMaking the call is making progressBe a curatorThrow less at the problemFocus on what won't changeTone is in your fingersSell your by-productsLaunch now of productivityMeetings are toxicGood enough is fineQuick winsDon't be a heroGo to sleepYour estimates suckLong lists don't get doneMake tiny decisions your competitionWho cares what they're doing? enthusiasm with priorityBe at-home goodDon't write it down competitionEmulate chefsGo behind the scenesNobody likes plastic flowersPress releases are spamForget about the Wall Street JournalDrug dealers get it rightMarketing is not a departmentThe myth of the overnight sensation cocktail partyResumes are ridiculousYears of irrelevanceForget about formal educationEverybody worksHire managers of oneHire great writersThe best are everywhereTest-drive employees you're sorryPut everyone on the front linesTake a deep breath CULTUREYou don't create a cultureDecisions are temporarySkip the rock starsThey're not thirteenSend people home at 5Don't scar on the first cutSound like youFour-letter wordsASAP is poison DAMAGE CONTROLOwn your bad newsSpeed changes everythingHow to say COMPETITORSDon't copyDecommoditize your productPick a fightUnderdo EVOLUTIONSay no by defaultLet your customers outgrow youDon't confuse PROMOTIONWelcome obscurityBuild an audienceOut-teach your HIRINGDo it yourself firstHire when it hurtsPass on great peopleStrangers at a CONCLUSION Inspiration is perishable

RESOURCESAbout 37signals37signals products ACKNOWLEDGMENTS We have something new to say about building, running, and growing (or not CHAPTER INTRODUCTION growing) a business. This book isn't based on academic theories. It's based on our experience. We've been in business for more than ten years. Along the way, we've seen two recessions, one burst bubble, business-model shifts, and doom-and-gloom predictions come and go--and we've remained profitable through it all. companies and groups get things done the easy way. More than 3 million people around the world use our products. We started out in 1999 as a three-person Web-design consulting firm. In 2004, we weren't happy with the project-management software used by the rest of the industry, so we created our own: Basecamp. When we showed the online tool to clients and colleagues, they all said the same thing: "We need this for our business too." Five years later, Basecamp generates millions of dollars a year in profits. We now sell other online tools too. Highrise, our contact manager and simple CRM (customer relationship management) tool, is used by tens of thousands of small businesses to keep track of leads, deals, and more than 10 million contacts. More than 500,000 people have signed up for Backpack, our intranet and knowledge-sharing tool. And people have sent more than 100 million messages using Campfire, our real-time business chat tool. We also invented and open-sourced a computer-programming framework called Ruby on Rails that powers much of the Web 2.0 world. Some people consider us an Internet company, but that makes us cringe. Internet companies are known for hiring compulsively, spending wildly, and failing spectacularly. That's not us. We're small (sixteen people as this book goes to press), frugal, and profitable. others to ignore our advice. Some have even called us irresponsible, reckless, and--gasp!- -unprofessional. budgets, boards of directors, advertising, salespeople, and "the real world," yet thrive. That's their problem, not ours. They say you need to sell to the Fortune 500. Screw that. We sell to the Fortune 5,000,000. out across eight cities on two continents. They say you can't succeed without making financial projections and five-year plans. They're wrong. Inc., Fast Company, the New York Times, the Financial Times, the Chicago Tribune, the A lot of people say we can't do what we do. They call us a fluke. They advise These critics don't understand how a company can reject growth, meetings, We're an intentionally small company that makes software to help small They don't think you can have employees who almost never see each other spread They say you need a PR firm to make it into the pages of Time, Business Week,

First, we'll start out by gutting business. We'll take it down to the studs and They say a lot of things. We say they're wrong. We've proved it. And we wrote Atlantic, Entrepreneur, and Wired. They're wrong. They say you can't share your recipes and bare your secrets and still withstand the competition. Wrong again. They say you can't possibly compete with the big boys without a hefty marketing and advertising budget. They say you can't succeed by building products that do less than your competition's. They say you can't make it all up as you go. But that's exactly what we've done. this book to show you how to prove them wrong too. explain why it's time to throw out the traditional notions of what it takes to run a business. Then we'll rebuild it. You'll learn how to begin, why you need less than you think, when to launch, how to get the word out, whom (and when) to hire, and how to keep it all under control. FIRST Now, let's get on with it. CHAPTER

The new reality This is a different kind of business book for different kinds of people--from those who have never dreamed of starting a business to those who already have a successful company up and running. People who feel like they were born to start, lead, and conquer. but still have their business at the center of their lives. People who are looking for an edge that'll help them do more, work smarter, and kick ass. It's even for people stuck in day jobs who have always dreamed about doing their own thing. Maybe they like what they do, but they don't like their boss. Or maybe they're just bored. They want to do something they love and get paid for it. It's for hard-core entrepreneurs, the Type A go-getters of the business world. It's also for less intense small-business owners. People who may not be Type A

There's a new reality. Today anyone can be in business. Tools that used to be out Finally, it's for all those people who've never considered going out on their own and starting a business. Maybe they don't think they're cut out for it. Maybe they don't think they have the time, money, or conviction to see it through. Maybe they're just afraid of putting themselves on the line. Or maybe they just think business is a dirty word. Whatever the reason, this book is for them, too. of reach are now easily accessible. Technology that cost thousands is now just a few bucks or even free. One person can do the job of two or three or, in some cases, an entire department. Stuff that was impossible just a few years ago is simple today. You don't have to work miserable 60/80/100-hour weeks to make it work. 10-40 hours a week is plenty. You don't have to deplete your life savings or take on a boatload of risk. Starting a business on the side while keeping your day job can provide all the cash flow you need. You don't even need an office. Today you can work from home or collaborate with people you've never met who live thousands of miles away. TAKEDOWNS It's time to rework work. Let's get started. CHAPTER

Ignore the real world "That would never work in the real world." You hear it all the time when you tell people about a fresh idea. This real world sounds like an awfully depressing place to live. It's a place where new ideas, unfamiliar approaches, and foreign concepts always lose. The only things that win are what people already know and do, even if those things are flawed and inefficient. pessimism and despair. They expect fresh concepts to fail. They assume society isn't ready for or capable of change. ambitious, they'll try to convince you your ideas are impossible. They'll say you're wasting your time. Scratch the surface and you'll find these "real world" inhabitants are filled with Even worse, they want to drag others down into their tomb. If you're hopeful and

Don't believe them. That world may be real for them, but it doesn't mean you have to live in it. We know because our company fails the real-world test in all kinds of ways. In the real world, you can't have more than a dozen employees spread out in eight different cities on two continents. In the real world, you can't attract millions of customers without any salespeople or advertising. In the real world, you can't reveal your formula for success to the rest of the world. But we've done all those things and prospered. nothing to do with you. The real world isn't a place, it's an excuse. It's a justification for not trying. It has all the time how nine out of ten new businesses fail. You hear that your business's Learning from mistakes is overrated In the business world, failure has become an expected rite of passage. You hear

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