Having just left the office -- I gotta say...the day was long but really exciting. Nothing quite like being at the starting line of 10 companies filled with hope, dreams, and idealism to change the world one bit at a time.
The folks at IdeaPaint were kind enough to contribute some IdeaPaint to TechStars in Seattle. We installed the special paint which makes walls into instant whiteboards. The product is very, very cool. We've painted a bunch of walls with it and people really like the creativity and fun of writing and drawing on the wall. Sure whiteboards are great -- but IdeaPaint is in a whole new league of product. Ideapaint is the iPhone of creativity surfaces! Good stuff. Thanks to Jeff and the whole team at ideaPain!
Twitter's new "follow" feature may be overdue....but it's well implemented and I expect it to be super useful. A little nervous because the number of people I follow just increased 30%! (at least)
I admit it -- I'm getting excited....and a bit anxious. One of the out of state teams arrived today and another is driving out from the east coast. I've been meeting off and on with some of the teams. I'm really looking forward to digging in and making something happen. I'm pleased already with the support that the mentors are providing. I think we've got a good schedule of presentations and office hours.
Not sure what else I should be doing this week to get ready....any suggestions?
This is a unique opportunity to be intimately involved with the evolution of 10 startup companies through the course of the TechStars in Seattle fall accelerator program, as they grow from early stage to venture funding. These are internet/software companies, so some level of interest in this area is preferable. Benefits: This is a chance to develop an amazing network with successful professionals from around the nation while observing, participating, and learning about how startups succeed (or fail). Watch videos from last summer to learn more: http://www.techstars.tv/. Duties: Requirements: Enlistment Dates: August 16th à November 12th (approximately) To Apply: Submit a resume and personal statement (max one page each) describing why you want this position and why you are the perfect candidate.
It is with deep regret...that I need to inform you all that we will not be able to host the "who let the geeks out" BYOB party on August 13, 2010. Yes, we've moved into our new office S. Lake Union ....and yes, we're super excited to share the space with all of you in some kind of party. BUT, we have furniture everywhere and like most good startups are overextended trying to get ready for the start of TechStars in Seattle. So forgive me....we're going to need to reschedule the event. The party next friday the 13th is postponed! I have plans to attend GeekWeek with Chris Pirillo....but won't have the honor of hosting the inaugural party! Stay tuned for a rescheduled date after TechStars concludes.
When building a software product, it's important to figure out the individual pieces in a small market microcosm and make sure that the product works for the desired market BEFORE you go about worrying about scaling. This is another way of saying -- avoid the build and they will come strategy. With software and mobile products, entrepreneurs often focus on scaling the product before they've really figured out the dynamics of consumer interaction and satisfaction with your product.
Nailing a product is hard work and takes time and a lot of attention to detail. Figuring out when and if you've nailed the product requires lots of feedback. Focus on refining the minimal feature set and the customer feedback to determine if you're being successful.
Sorry for the slow week of posts last week. But I was engaged in moving to our new offices in South Lake Union. The office already has a nickname -- "the Easy"....it's a working name based on the fact that we have a speakeasy in the basement.
Like most start-ups....and unlike most big companies.... We moved ourselves. We rented a U-Haul and a couple hand strollers. We got lots of used furniture. We negotiated with internet providers which was a pain in the ass because Comcast doesn't service our neighborhood. We put the furniture on our backs and moved. My back is tweaked -- it's hard for old guys that sit in front of computers to move stuff.
The upside of all the moving and sweat is the new space we're in. We're setting up office this week. Trying to get things tidied up for the start of TechStars. Stay tuned for pictures, parties, and open houses.
Special thanks to Kayla and Danny for making the move happen. We couldn't have done it without you...or your siblings.
oh yea -- and now for my top 5 tips for those people considering an office move:
I've been meeting and talking with lots of entrepreneurs about funding needs and getting feedback on RevenueLoan. We're learning that RevenueLoan really helps companies for the following reasons:
I've been looking for some marketing assistance for RevenueLoan and the process has hi-lighted the most simple of tips for applicants:
We have a saying around Founder's Co-op which is "chop wood, carry water"....which is a saying that comes from monk's practice in the monastery. It is intended to get at the fact that much of business is not sexy. The day to day practice of business is a slog. The trick for most entrepreneurs is to be able to do that slog work day in day out for many years while keeping an eye on the excitement of the original vision behind the company. This is not easy to do! People's sense of time as an entrepreneur was skewed during the 1990's internet revolution and is skewed by massive successes such as Facebook or Zynga. Most businesses don't grow to $1b in 2 or 4 years.
I'm writing this post on Monday morning which is when the slog of chopping wood and carrying water starts. Personally, I'm excited about my work this week even though much of it is oh so unsexy!
Keep your head down, put one foot in front of the other and you'll get there! Have a good week.
NWEN is looking for innovative, growth-oriented, pre-funded companies who could use some expert coaching (and for a lucky 12, some great exposure) to get them to the next level. Because NWEN supports innovation across practically every industry (clean-tech to consumer products, web 2.0 to medical devices), some of the awesome companies could really benefit from this mentorship program. Full disclosure--Chris Devore -- my partner is one of the 20 coaches for First Look Forum.
I highly encourage you to apply-- it's a great forcing function to distill your business into one page, and no matter what the outcome, you'll get great support.
Earlybird applicants get a hosted reception with insider tips. Every applicant gets feedback on the exec summary, and a workshop on how to pitch to investors. The top 20 also get in-depth coaching from a pair of investors. The final 12 get all that and exposure to 20+ funding groups at our invite-only investor event on October 12.
Click here for more info and to apply! Earlybird applications close July 26. Please note-- if you don't have time to complete the application to meet the earlybird deadline, just register online to get your invite to the reception. You'll be all set as long as you get the exec summary in by August 18.
This mentality may appear useful but it often can undermine good relationships in business. More often than not there are win win scenarios in most negotiations that if you look for them move everyone forward. Keep your eye out today for the win-win....and stop playing us v. them. It's lose - lose.
Maggy Young lives in the UK. I think Bristol...but maybe London. She's been a longtime reader and commenter on this blog and in a weird way we've developed a nice online relationship. I just sent her $10 via paypal to thank her for her readership, support, and comments. I told her I wanted to buy her a beer or a drink from overseas. I hope we get the chance to meet one day.
It's a small token of my appreciation -- comments and acknowledgement is why most people blog. Thanks Maggy and all the others readers. I promise to do this again sometime....but don't expect a beer just because you comment on my blog :-)
Just spoke to an entrepreneur who took the unusual step of increasing monthly prices by 2.5 times approximately. They saw a slight 5% drop in conversion rate. My reaction? You didn't raise prices enough and I encouraged him to do A/B testing to try and get a sense of the demand curve for his service. It's the wonderful thing about web businesses -- you can actually draw out demand curves and really hone one of the hardest challenges in business: setting price!
I have been negotiating a business contract with someone. I had my attorney write edits in a red lined version of the contract. The person I was negotiating with read that contract and believed that I was asking for about 2 times the money I thought I was actually asking for. We communicated back and forth via email while letting this miscommunication grow. He was thinking WTF. And I couldn't understand why he cared about the point. It never really became a major issue because we met for drinks last night and understood the miscommunication. That said, it reminded me of the danger of miscommunications while negotiating. Very hazardous. It's worthwhile to make sure that both parties are talking and understanding the same thing!
One of the most powerful forces in business. It's important to one's career. And it's really important to a startup's success. The important thing for a startup is to create some business momentum. That often comes in the form first of team and product and ultimately (hopefully) translates into revenue momentum.
I think that companies that gain momentum make the most profit when they've got full momentum. Think about Apple. I think it was the ipod and the iphone that gave the company momentum -- but right now there's not much stopping them from making money. When you lose momentum, it's hard to regain it -- just ask Microsoft. I love the company -- it's a critical northwest pillar, but they've lost some of their momentum. What's interesting is that, they had so much momentum 10 years ago, they're still making insane amounts of money today despite losing business momentum and mindshare.
Now back to the world of small companies and entrepreneurship - -think about momentum and how you plan to generate it for your business. Once you get some, be sure to foster it!
The recent hysteria about Lebron James and the potential payouts being offered to him have reminded me of the value of being #1. It doesn't matter what game you're playing there's always a premium paid for being #1.
I'm writing this in my blog as a reminder to all those entrepreneurs to focus on becoming #1 in whatever market it is that they're playing in.
It's stupid obvious -- but sometimes stupid obvious requires a call out.
I started RevenueLoan because I am on a mission. I have a passion for entrepreneurship. I've been starting and running technology companies for 15 years now. I love entrepreneurs and generally find myself spending all my time trying to help them with all aspects of their business.
Why do I do this? Well, two reasons. First, I received lots of help as a young entrepreneur. I wouldn't have been nearly as successful had it not been for the help and mentorship of lots of kind friendly people. Second, I believe MANY people aspire to be entrepreneurs and to build something that they and their employees believe in and can be proud of. To accomplish this goal, financing is a often a core impediment to realizing small business success and growth.
Two and half years ago My partner Chris DeVore and I started Founder's Co-op because we thought that the traditional venture capital model was broken. We thought success for a startup company was better facilitated by a super angel entity than by a traditional vc fund. We continue to believe this....and are in the process of proving it! I want to be clear -- this does NOT mean that I think venture capitalists suck or are useless. On the contrary, venture capitalists play a vital role in the startup process.
During the first year of operating Founder's Co-op, we perceived another opportunity to support a group of underserved entrepreneurs. These entrepreneurs had small businesses and big visions and were impeded because they didn't fit traditional bank debt or traditional venture capital or angel equity models. This market insight-- which was facilitated by Erik Benson and the partners at Voyager Capital -led to the creation of RevenueLoan, the company. We did the first two RevenueLoan investments under the Founder's Co-op umbrella (or flag) before determining that the opportunity required a separate investment vehicle. One of those deals has already proven to be very successful for the entrepreneur and for us!
Founder's Co-op is on a mission to innovate in the area of financing of early stage technology companies. RevenueLoan is a vital innovation. The reason I'm so excited about the company is because I think it's the best investment agreement I know of that truly aligns entrepreneur and investor incentives. RevenueLoan puts an extra focus on increasing top line revenue growth which for any entrepreneur is a critical success metric!
In conclusion -- and just to put a fine point on it -- I'm excited about RevenueLoan because I think it is going to help a large number of entrepreneurs grow their businesses.
Hi, I'm Andy Sack!
This is my bag o' thoughts about entrepreneur-ship, venture capital, parenthood, and the world in general.
Co-Founder, Managing Partner
Executive Director, Seattle
Chairman