What part of the process were you completely blind to before you started and which hit you like a wall coming out of nowhere?
The Idea
- An idea is not a design
A design is not a prototype
A prototype is not a program
A program is not a product
A product is not a business
A business is not profits
Profits are not an exit
And an exit is not happiness. - Copying and improving on existing ideas is far easier and sometimes more fun than trying something unique and novel.
The Process
- A startup can be more emotionally draining than most other endeavours.
- Do due diligence on your co-founders – a sour relationship can kill an otherwise great startup.
- The law is a minefield, and any legal complications get worse and worse the longer they are left. Set up a vesting schedule and untangle IP issues early.
- Despite the high level of activity on Quora, Hacker News, Techcrunch, etc, starting a business is an uncommon thing for people to do. You may find that you become a minority amongst your friends and family, and the loss of stability compared to a regular job can be daunting.
Equity
- Taking money from Friends, Family, and Fools hurts the most if you lose it.
- A complex share registry can harm your chances of securing later rounds of funding.
- Not all money is good money.
Hiring
- Technical experience is no substitute for startup experience.
- Youthful ambition is no substitute for technical experience.
- Hire people who complement existing capabilities in your team. Duplicating talent is great for your bus number, but often an unnecessary drain on the resources of an early stage startup.
- Hire generalists early. Hire Specialist later.
Marketing
- Marketing strategy is more important than building something awesome.
Finance
- Fundraising is a full-time job.
- Startup progress happens when people are paying you, not when you are paying them.
- Clients don’t always pay on time. You can’t pay your bills or salaries until the promised money reaches your account. Be prepared.
Relationships
- You will lose your friends and loved ones if you don’t regularly disconnect from business mode to laugh and love.