CEO calls out trend of startup founders drawing zero salary: ‘Even if it is just ₹25,000 a month’

The Mumbai-based CEO argued that building a startup shouldn't come at the cost of personal financial punishment.
Updated on: Aug 21, 2026, 12:33:41 IST
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A Mumbai startup founder and CEO took to LinkedIn to advise entrepreneurs against working for free, sparking a conversation on startup culture. Encouraging founders to draw a basic salary, he argued that taking zero compensation for years leads to resentment and burnout. While acknowledging the need to conserve cash, he stressed that frugality should not entail self-deprivation, as founders still need to cover basic expenses such as rent and food to keep their businesses sustainable over time.
“Founders, please pay yourself a salary. Even if it is just ₹25,000 a month,” Vinod C wrote on LinkedIn. He continued, “Whether you are bootstrapped or funded, building a startup does not require you to financially punish yourself.”
Addressing the culture that glorifies severe personal sacrifice, the founder cautioned against viewing zero compensation as a badge of honour.
“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.”
Highlighting the harsh reality of personal expenses, he emphasised that going without pay for extended periods is completely unsustainable.
“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.”
Warning fellow entrepreneurs about the hidden psychological impact, he explained how extreme financial strain damages a founder’s mindset.
“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.”
Advocating for a practical approach, he argued that taking a modest stipend is simply a survival tool for long-term success.
“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.”
Concluding his message, he urged founders to focus on endurance rather than demonstrating how much suffering they can endure.
“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.”
(Hindustantimes.com has reached out to Vinod C. This report will be updated when he responds.)
How did social media react?
An individual wrote, “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 posted, “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.”
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