The Quirky Things About New Startups.
21–08–2020
I went to school in Stanford and did my first job in Silicon Valley, the global hotbed of startups. I remember, every coffee I had during grad school would somehow include words such as startup, innovation, disruption, co-founder, venture capitalists, etc. Out of curiosity, me a quant nerd then, also took up some Entrepreneurship and Business classes to kill time and graduate late.
Eight years later, when I cascaded and fell into a real entrepreneurship life, I understood that what Silicon Valley taught me was a very romantic version of things. Essential nonetheless. The reality of starting a business is quite distant from the sweatshirt nerds working 24X7, making a disruption that will bring in some big shot investor, the product will unprecedentedly change a lot from what the co-founders intended and one fine day they will hit NASDAQ gold: IPO and bam! each one is a formidable millionaire, the investor made 3000% gain. As I have dabbled in this for a few years now, I thought my reality was immensely different. And for that matter most people who tried to have their own company will say the same. I will quickly scribble some observations here in the hope that if you ever think of opening a business, this might give a little perspective:
1. Startups are not just about making cool software or apps. A startup should be about creating value. In the whole picture: man, environment, society and culture, it should somehow move us to a better place. Just like humans try to find the shortest path between two points, a startup should find the easiest intervention to go from State A to State B. Golden Rule “Good Design is Invisible!” :)
2. Finances will be the biggest part of the your product strategy especially if you are bootstrapping (which is the new fad btw). Before you do fancy things, you will have to do things that sell to keep yourself afloat. It might be way below you and your dream product. But whatever pays bills. Odd part-time jobs also might take significant bandwidth.
3. Your second biggest hurdle will be your dwindling social circles. Most people will abandon you. Or might I say, you will slip though the crevices of the social fabric with your constant battles that nobody understands? The only people who will understand you are other people who have been or are on your path. The only people who will trust you are unknown customers. Not family, not partners, not friends, not mentors.
4. You will be doing 99% unglamorous work and 1% interesting work. Though you might hate it, most of the time you will be doing admin, legal and organization work. The real thrill of devoting most of the time to just making your product might take about 2 years, especially if your product is non-software related and you are bootstrapping.
5. Inheritance cannot help. Just like in y=mx+c, c is insignificant in the long run and m dominates, inheritance will be of negligible importance in front of your differential smartness, savvy and hunger to make money. That being said, you will have to master the talent of running an office from an inherited table from an inherited forgotten corner of the house and make use of every small gift from friends and family for your benefit.
6. Most startups will fail. 95% actually. Average age of a startup founder is 41 years and the incubation time is way longer than tech startups enjoy. You will have to show unending patience before you see an actual sale.
7. Presentation is everything. Your personality, your walk, your talk matters. More than the grandiose of your idea, it’s how you execute small things to perfection that will determine 70% of your success. The rest 30% will come from your long term vision of things and ability to strategize like a pro and adopt quickly to changing circumstances. Take into consideration socio-political and economic shocks like the Corona pandemic, recession, etc. Have room for a plan B which will keep you on ventilation when the plug is pulled on your small company.
8. You will be working a lot. But not 24X7. The biggest trick to survive in their hostile situation is to focus with great priority on your physical and mental health. Eat, sleep, walk, read, movies, date, drink, ,workout, music, meditate, socialize, drive. Do everything that keeps you happy. In this journey, you are your only mate, remember? ;) A young company takes 7–10 years to attain some stability. That’s a long period in our lifespan. A startup is a marathon. Not a sprint. Run longer, not faster.
9. You have no validation till you have a successful company which could take years. But everyday you have to talk like you are someone and walk like you are someone. Don’t doubt yourself or your efforts. Love yourself, forgive yourself for the gargantuan mistakes that you and your partners will make. Tell yourself everyday that not everyone is cut for this path and you are. And give yourself a pat on the back for that.
10. Love the few people who are with you, including your colleagues immensely. Try to increase your network more and more. Collaborate for bigger ideas. Nothing can be achieved alone and in business, even your enemy can be a profitable ally. Mute your personal emotions when you make company decisions, but never let anyone push you over just because you are still a small player. Save your self-respect like gold.
11. And last, don’t give a shit to what the world says. You are truly awesome. Like seriously. You have the balls to give up the comforts of a comfortable life chasing an uncertain dream. Only 0.1% people on earth can do and you are one of that special lot.
It’s been a year since I registered my first company. I have gone through unspeakable hardships and still keep it cool (like 9% of the time :D ). We are still waiting to enter the up of the S-curve. But I pat myself on my back more often than not. Between political unrest in my country, the corona pandemic, odd part-time jobs and a PhD, I stayed afloat so long. And yes it has been an incredibly lonely and savagely rocky journey for me. The last time I saw a timely paycheck was a zillion years ago.
This morning I woke up to this short message. “Strong Leader”. I know I am by far not one yet. But I savored every part of this message. I have already gotten into the habit of having a sugar grain and tasting honey in it. And it has made me incredibly happier in life. Knowing that you do not need much to be happy. A little with a lot of optimism and confidence is just about enough! :)
Yours truly,
Prarthana
Co-founder, Dzukou
