Thread by @iuditg

Debt is good if you know how to use it.

Three years back, when I started @PitchGroundHQ, I had to crunch some funds for our marketplace.

When I lost $200k cash in my previous startup, I had to fight back.

I ended up using my credit cards with the highest limit.

I was very confident about my performance marketing skill and very adamant that I will not lose the money.

That was one of the best decisions I took at the start of the @PitchGroundHQ.

Why? Because I had around 45 days to pay back with 0% interest. Now, this was gold for me.

I ended up using two cards and maxed out my spending on both cards.

Result? I ended up generating about 4x ROAS and around 2.5x ROI from that campaign. (ROI = After paying to the vendor on @ptichgroundhq)

I was very certain about whom to target, the attribution window, etc.

For every $1 I spent on Facebook Ads, I generated $4 in revenue, out of which $2.5 was my profit.

I scaled this to the moon in just three months and did over $350,000 of business starting from September 25, 2018, to December 31 2018.

That gave me the base capital to remain bootstrap and continue my journey remaining bootstrapped. @PitchGroundhq is now valued at $20 million.

My previous failure taught me two important lessons:

- Handle your business finance better, and know when to cut your losses.
- Test your idea, and your market before going all in.

P.S. My Story is by no means a piece of financial advice to anyone. I simply wanted to share how I got good debt and built a whole company around it in just three years.

I hope my stories, failures and successes will help you take better decisions in your life.

This story is a continuation of my previous story that I had published:

https://twitter.com/iuditg/status/1460488557798117377