Optimize for happiness over profit when you have sufficient cashflow
Once you have a cashflowing business that covers needs, optimize decisions for creative fulfillment and lifestyle rather than profit maximization. Reinvest all profits into long-term creative vision even if those projects operate at a loss. This requires treating the profitable business as a funding mechanism for what you actually want to build.
When to use
When you have a profitable business and want to pursue creative or mission-driven work that may not be immediately profitable
Don't do this
Chasing maximum revenue growth in the profitable business at the expense of time and energy for creative work you actually care about
3 Founders Who Did This
Spend $25-30K/month on content that generates only $5K/month revenue, operating at total loss on content side while agency generates $2M/year
Shut down a thriving $15K MRR community (annualized $180K revenue) because it required 24/7 availability and constant engagement, conflicting with his desired 5-hour workday lifestyle
Deliberately avoids setting revenue goals or growth targets. Focuses on whether the team enjoys the work, whether customers are happy, and whether the business is profitable.