Startups love free cloud credits. And why not? $100k in Azure—no invoice, no strings. Or so it seems.
But here’s the part no one puts on the landing page: those credits shape your architecture. And once you build on a provider’s stack, moving gets expensive—fast.
This isn’t hypothetical. Free credits lead teams to:
- Overbuild early—why optimise when infra feels “free”?
- Get locked into proprietary tools—like managed databases or serverless runtimes with no easy migration path.
- Underestimate true cost—by the time credits run out, you’re staring at a five-figure monthly bill and no budget to refactor.
It’s not that credits are bad. They’re a gift, especially for bootstrapped teams. But they’re also a bet: that you’ll grow into a high-margin customer before you notice the lock-in.
So how do you use them wisely?
Start by modelling post-credit cost from day one. Can your infra choices scale affordably once the meter starts running?
Avoid going all-in on platform-specific services unless there’s a migration plan. Stick with portable, open tech where possible.
And assign someone—engineering lead, ops, whoever—to track usage monthly. Don’t let “free” become invisible until it’s too late.
Cloud credits aren’t free capital. They’re a starter drug. Great in moderation. But read the label. Know the side effects. And build like you’ll have to pay—because one day, you will.
Leave a Reply