Once someone starts a business, it falls in either of the two categories. It is either Cash Driven or Equity Driven.
The consulting business is a typical Cash Driven business.
A Cash Driven business is set up primarily with the goal of sustaining a particular level of income.
The focus of a Cash Driven business is to generate revenue at the earliest and become profitable.
A Equity Driven business is one which is set up primarily with the objective of growing fast and reaching a higher valuation in a short time. A big payoff for the founders would be at a time when the business is sold or become public.
Capital has to be invested to fuel the growth of these companies.