There is nothing like an "economy in recession" to get really smart people to start putting their heads together and start coming up with some great ideas. As we've seen in the past, some of the most amazing companies have risen out of the ashes of previous bubble bursts and downturns. As venture capitalists around the country tighten their purse-strings, I get the feeling that entrepreneurs will start to realize that for many endeavors, they don't really need outside money. Why would you? Okay, sure... maybe you have all the details worked out for a super efficient solar cell, or a new way to create bio-diesel more efficiently and in such cases you probably won't have any trouble getting vc money. The VentureBeat rss feed provides ample evidence of this. However, as money becomes more difficult for many startups to come by, savvy entrepreneurs will realize that for a lot their businesses, they don't need any outside capital. It's OK to create your killer web app while moonlighting from your day job. It's OK to do consulting or contract gigs to keep the lights on while you work on your project. It's OK to get a release out quickly and charge for it, and then work to release updates often as you improve your service. The tough times we're facing will simply force all of to get more creative in order to accomplish our goals and live out our dreams of founding, building or working for a startup. It will also weed out the bad apples (companies and people) a lot faster. The people you hire now will probably have higher ambition, more dedication and a greater stomach for "the game." You can probably place more confidence in your co-founders willing to start a new venture is this current climate. As the new year progresses, I'm certain we will begin to hear more about some really cool things some really cool companies are doing and I bet a good portion of them will be bootstrapping their way to success. Oh yeah, and don't forget... when you boostrap and you succeed, you OWN a lot more of your success!