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Zuckerberg rejected $2 billion for Facebook and has successfully created a company worth nearly $200 billion.
Jay Samit
You will always need more capital than you think, because it will always take you longer to reach profitability than you can imagine.
Distributers don't need massive amounts of square feet to stock digital products. Retailers don't need brick-and-mortar stores to sell them. The entire supply chain for these select items has been permanently dematerialized. The marketplace has been blown to bits.
Most companies overlook the most basic of all training functions: the onboarding of new employees into their corporate culture.
While commercials interrupt consumers' enjoyment of a TV program, social media allows video to enter the conversation between friends in a non-intrusive way with an opt-in choice.
In an era of endless innovation and constant disruption, what is any company really worth? How does a startup determine its valuation?
I tell people: walk around for one month and write down three problems in your life every day. At first it's easy - you got stuck in traffic, you missed your alarm - but by the end of the month you're looking really hard to get your 90 problems. The most common things on your list are now billion-dollar businesses.
For those that fear being taken advantage of by people working from home or on flexible schedules, I can say my experience is quite the opposite. Employees are so appreciative of these accommodations that they outperform their coworkers and are less likely to be poached by the competition.
Some of the most lasting contacts and friendships that I have developed began by just grabbing a drink or breaking bread with a stranger at an industry event.
Building a great team is the lifeblood of any startup, and finding great talent is one of the hardest and costliest tasks any CEO will ever face.
The secret to fundraising comes down to three magic words: before, more, and strategic.
All too often, new hires have a different expectation of their job and responsibilities than the organization does. Any miscommunication during the recruiting process needs to be cleared up ASAP. Whenever possible, give new employees a written plan of objectives and responsibilities.
Whether you stay private or go public, after all is said and done, a CEO's job is to create lasting shareholder value.
As a serial investor who has raised hundreds of millions of dollars for startups, I know that the business plans coming out of incubators tend to be vetted and more thoroughly validated. The incubator's input into your business plan will make you look far more polished and experienced - even if you have never run a business before.
Historically, more media has been consumed sitting in front of the television than any other device. Controlling this screen has been the goal of major technology, consumer electronic, and telecommunications companies.
Consumers value their personal time and are loyal to those companies that make their lives more productive. Brands gaining some of the biggest successes in social media are engaging with millions of consumers through value exchange.
Microsoft first entered the living room with Ultimate TV way back in 2000 - a year before Apple's first iPod was announced. Ultimate TV offered consumers a DVR and supporting online services, including 14 days of programming and the ability to record 35 hours of programming. Microsoft's reach was then thwarted when Echostar acquired DIRECTV.
Most startup entrepreneurs unnecessarily spend half their time and give up half their equity in search of funding from angel investors and venture capitalists. Tens of millions of dollars are available to them for free from partners who not only don't want their equity, they don't even want to be paid back.
A successful entrepreneur is one who recognizes her blind spots. You may be the world's best engineer, but you probably have never run a 10-person sales force. You may be a brilliant marketer, but how do you structure a cap table?
No matter how much we tweet, blog and post, nothing in business is as powerful as actual face time with prospective business partners and customers.
In order to protect against being disrupted, startups also need to recruit employees that are committed to life-long learning. The skills that made your team members valuable may not be the skills needed to take your company to the next level or to compete in emerging markets.
Every time a twenty-something CEO turns down a multibillion-dollar offer for a company that has little or no revenues, it hits a raw nerve in me. Unlike most professionals, I am not shocked by the seemingly bizarre behavior of those founders who pursue their vision beyond all rational thought or monetary reward.
Many first-time founders fail to understand the difference between the potential of the Total Addressable Market (TAM) and the very finite subsection they can hope to capture. No company ever captures the entire market they pioneer. Innovation doesn't happen in a vacuum, and others will jump in from the moment you've identified the potential.
Every product you have ever loved was a compromise from the ideal vision of its creators to the realities of shipping on time, on budget, and on price point. Anyone who has ever manufactured a physical product that had to be on the shelves for Christmas shopping knows how painful these choices can be.
To truly launch a great product, you need partners. Channel and marketing partners share in your success and share in the costs of reaching your target audience.
Silicon Valley's long-running track record of creating globally disruptive startups is the envy of the world.
Valuations are actually quite simple to grasp. A company is only worth what two acquirers are willing to pay for it. Don't you just need to find that one buyer? If there is only one potential company interested in buying your startup, chances are you won't be hearing the word 'billion' in the offer.
I always say the more problems you have, the more opportunities you have.
I'd been on the Internet since the 1970s when it was just for nerds. I started saying, 'Who would benefit from this?' I started imagining a world where young people could have their own email address, back in the days of family AOL accounts.
Whether by design or circumstance, every startup will eventually get disrupted.
As counterintuitive as it sounds, 'speed to fail' should be every entrepreneur's motto. Success isn't born wholly-formed like Venus from a clamshell; it's developed through relentless trial and error.
Entrepreneurs always begin the journey believing that they have the next big idea. They dream of the fame and fortune that awaits them if only they had the funding to pursue it. But the reality is that as the product is built and shared with customers, flaws in their concept are discovered that - if not overcome - will kill the business.
The Industrial Revolution was about making physical things. Many of the manufactured goods that were once tangible objects have now been reduced to bits and bytes of data.
Startups are now creating specialized 3-D printers capable of producing everything from synthetic hamburgers to multi-story apartment buildings.
Every company, regardless of size, is competing for the same pool of talent, which is why top recruiters can even command equity for finding key hires. Internships give startups a chance to hire the best and brightest from our universities at a fraction of the cost that these same minds will command when they receive their degrees.
In my experience, there are only two valid reasons to take a company public: access to growth capital and investor fatigue.
Cable and satellite businesses are competing against fixed-line telephone companies and wireless companies.
Use your development time to brief analysts and industry press. Use these influencers as your eyes and ears to let you know what else is being developed by competitors so that you can be the first to market, and don't make the mistake of launching an also-ran product.
Companies with significant revenue (more than $100 million) have, by definition, significant traction. They have proven out their thesis and can scale up or down as investment capital becomes available.
Founding a successful startup is no different than forming a rock band.
Pick a co-founder that communicates in the same fashion that you do. If you are a screamer, then the only way you will ever listen to a conflicting point of view is to find someone who is passionate enough to yell back at you.
Founders need sizable egos to believe that what they are creating is good enough to change the world. What makes for great co-founders is having those egos focused on complementary, not competing, skills.
The greatest challenge to most innovation centers around the world is many nations' punitive attitudes towards failure. In most of the world, if your first business fails, no one will work with you again. But, trial and error is the genesis of innovation.
I never understood why women wanted equality in the workplace when in fact, that would be selling them short.
As great as you believe your new product or company is, the world got along just fine without you. The greatest competition every startup faces is convincing consumers that there is a better solution to the problems that vex them.