Caterina has produced good list of reasons why NOT to start a company right now. (via Kedrosky) My personal observations are consistent with Caterina’s.

I had this same stay-out-of-the-water-there’s-sharks feeling circa 1998.

Listen to that. She’s sounds like a good intuitive decision maker. Her recent history speaks for itself (see FLICKR).
She’s talking about making smart growth management decisions. Not all growth is good. Timing and the competitive landscape are essential considerations.

So what does it mean to you? Well — what are you trying to do?

Let’s say you’re planning to lauch a huge new web service. Are you choosing a fast growth model? Are you trying to take first mover advantage and capture a new market using the latest technology?

If so, what do you have that others’ don’t? How quickly can you get in and starting building serious barriers to entry? Do you have the resources to build infrastructure, attract talent, retain talent (once it’s become even more talented and in demand!), build customer relations and trust?

And what about the community aspect that Caterina mentions? Building community takes patience and careful attention.

From my perspective, now is the right time to bootstrap, and build equity for the long haul. Others will flame out. Don’t. If you’ve got a good idea, work with it, tend to it, and don’t plan on it being your last good idea. Focus on the execution and don’t let other people hype you into an irresponsible growth strategy.