There is an popular mythology brewing that suggests that the old rules of business no longer apply, and that the internet has ushered in a new era of business models. This is, of course, patently absurd.

Sure, some startups with no revenue have been acquired by larger companies bent on staying relevant and/or buying patronage, but these are the exceptions not the rule. For the rest of us, the golden rule still applies :

You have make more money than you spend.

It doesn’t matter if you are a retailer, a publisher or an online advertising hub… You still have to turn a profit to keep the lights on. Eventually if you do look to sell your business, the buyer wants to see consistent revenue and profit on your books. Otherwise, they are looking to strip the value in other ways (clients, equipment, assets) that generally cost more to acquire than they will be worth to sell. If you are going to float a company publicly your shareholders want to see year over year growth and profit.

Business is still business, and that much hasn’t changed. The landscape is new and exciting but the principles are as fundamental as when man first traded fish for shells.