#157: Seven Years In Survival Mode: A VC-funded Founder's Warning - Zvi Band

Aug 15, 2025

Zvi Band, co-founder and former CEO of Contactually, discusses his tumultuous journey through VC funding and the emotional toll of startup life. He candidly reveals the survival mode he endured, often neglecting to celebrate successes along the way. Zvi shares insights on building lasting business relationships, the challenges of modern connection in a digital age, and the delicate balance between bootstrapping and seeking funding. His reflections illuminate the tension between ambitious growth targets and personal well-being, offering valuable lessons for aspiring founders.

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ANECDOTE

Bootstrapping Relatable After The Exit

Zvi built Relatable as a profitable side project after Contactually was acquired and shut down publicly.
He printed a few hats this time and kept the project intentionally small and real.

INSIGHT

Relationship-First CRM Differentiator

Contactually focused on relationship-first CRM rather than sales funnels and pipeline.
The product aggregated email, calendar, and messages to surface people you should re-engage.

ADVICE

Pick A Niche And Double Down

Focus on a niche market where relationships directly drive revenue, like real estate agents.
Use that niche to prioritize features and go-to-market execution before expanding.

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Zvi Band is co-founder and former CEO of Contactually, which was CRM software for real estate and other relationship-oriented professionals. Contactually was founded in 2011 with initial funding and support from 500 Startups in Silicon Valley. In the next five years, they raised a total of $15.5 million from institutional VC investors.

Contactually grew to about $10 million in revenue before growth stalled, and it became clear they couldn’t raise additional capital or grow big without funding. The company was sold in 2019 to Compass, a major real estate technology company and brokerage, to power their internal CRM platform.

In this episode, Zvi candidly shares his personal experience with VC funding, their opportunities and challenges, and the strategic dilemmas they faced along the way. Zvi now owns and operates a bootstrapped contact management software business called Relatatable.

Quote from Zvi Band, co-founder and former CEO of Contactually

“I realized I spent seven and a half years of my life in survival mode as a CEO with VC investors.. And at no point did I feel that like we were safe and things were fun, because the bank account was always trickling down a little bit.

“We always had big growth goals. And we were always thinking about, How do we get through the next VC funding round? At no point did I realize and celebrate that, hey, we built something really awesome.

“We could have chilled out once in a while or taken the team to Mexico for a week or something like that. But everything was around short term goals and what we need to do to get there that month.”

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