Agree with you until the last paragraph. Startups don't have to go for a VC and founders aren't VC pets unless they choose it. "Lifestyle startups" can absolutely be startups.
I see. But I'm used to the notion of a "startup" being a vehicle to take over the world by explosive growth. A coffee shop is a fine lifestyle business, but not a startup.
Theoretically explosive growth can be self-sustained, but usually it's impossible to grow fast enough (even when the market is ready for taking) without taking some external funding, as an investment or at least as a loan.
