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Unless you develop very high-valued specialized services (hard), hit a niche market that pays well, or find a way to grow stupidly fast and attract clients in droves, you'll end up wanting to build some kind of scalable product.

Standard services offer diminishing returns. I still believe a healthy business can flourish on it, but it requires a few ingredients:

    - a great team
    - vision (more important than you may think)
    - timing/market demand
    - great sales/marketing
    - will to endure lots of crap
One harder to get than the other.

A product-focused endeavor has higher potential, is more fun an less stressful, although it's also more risky. A service business will almost certainly fly, but going up high is way harder. So, I guess it depends on your personal goals.

(my POV from past few years experience. I might be wrong)



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