Startup Professionals Musings

MARCH 22, 2021

Every entrepreneur tries to maximize his startup growth by building and selling more product and services for the widest geographic area that he can support. In every startup, as well as in mature companies, there is no substitute for constantly maintaining a pipeline of alternatives. External scanning for resources.

CTO Hire 330

CTO Hire Fractional CTO Merger Non-Compete 330

Startup Professionals Musings

NOVEMBER 4, 2022

In my years of advising startups and occasional investing, I’ve seen many great ideas start and fail, but the right team always seems to make good things happen, even without the ultimate idea. You need to have a technical genius on the team to get your startup product off the ground. Outsourcing your core competency does not work.

Technical Cofounder 309

Technical Cofounder Cofounder Advisory Board Startup 309

Startup Professionals Musings

JULY 30, 2022

Perhaps sparked by the recent pandemic, I’m seeing a new era of the entrepreneur, with startups springing up all around. Problems will occur in every startup, simply because you are stepping into uncharted territory. Don’t let it make your startup dysfunctional in resolving future challenges.

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Startup Technical Review Partner Restful 338

Startup Professionals Musings

NOVEMBER 26, 2022

One of the myths I often hear as an advisor to many entrepreneurs is that their lifestyle would somehow be better if they could more easily find other people’s money to build their startup. Usually it pays to move a startup slower rather than risk relationships. Many times friends and family have been broken by failed investments.

Cost 267

Cost Bootstrapping Advisory Board Startup 267

Startup Professionals Musings

MAY 22, 2020

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

Technical Review 436

Technical Review Due Diligence Sweat Equity Burn Rate 436

Startup Professionals Musings

JUNE 24, 2020

As a frequent advisor to new entrepreneurs and startups, I often hear your frustration with being treated differently from other startups by investors, on expectations for valuation , traction, and market size. For many years, startups featuring all-electric vehicles fell into this stage of the business lifecycle.

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Artificial Inteligence Marketing Valuation Startup 436

Startup Professionals Musings

NOVEMBER 28, 2020

Who would not want to join the unicorns (recent startups with a current valuation of over $1 billion)? Excellent detailed resources are everywhere, including a classic book, “ The Startup Checklist ,” by serial entrepreneur and founder of the New York Angels, David S. Fundraising through online platforms and crowdfunding.

Intellectual Property 404

Intellectual Property Startup Angel Groups Social Media 404

Startup Professionals Musings

APRIL 23, 2022

Every startup lucky enough to get some traction gets to the point where they decide to hire some “regular employees” for sales, marketing, and administrative tasks. For a startup, you don’t have a recognized brand to bring in the leads. Thus, the last thing you need as a growing startup is a “regular employee.”

Startup 337

Startup Technical Review Employee Hiring 337

Startup Professionals Musings

JANUARY 30, 2022

Most investors and startup professionals expand this concept of focus to apply to key issues of every aspect of strategic and tactical planning in a startup. Startups need to show real traction before attempting to cross the chasm. Start your business with a narrow niche and a focused strategy, but don’t stay there.

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Technical Review Startup Dilution Early Stage 375

Startup Professionals Musings

JUNE 20, 2020

Otherwise, in my experience, the startup will fail. The value of startup teams with the founder as an effective leader is many times the value of many strong individuals working independently. Only a dedicated leader can spot those special powers in each member and then build a well-oiled team which can win the startup war for you.

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Leadership Technical Review Development Team Review Startup 326

Startup Professionals Musings

SEPTEMBER 17, 2021

Then every startup has to learn to pivot, because their first understanding of the real problem is usually not quite right. That mentality has to be part of the culture of every startup team member from the start. Having a snappy presentation on your solution or startup is great, but it’s only half the battle.

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Sales Startup Bootstrapping Technical Review 348

Startup Professionals Musings

FEBRUARY 18, 2023

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

Sweat Equity 207

Sweat Equity Burn Rate Technical Review Intellectual Property 207

Startup Professionals Musings

MARCH 6, 2021

Many startups fail before reaching that magic “cash-flow positive” position they have been striving for, despite seemingly reasonable financial projections. Many startups see initial revenue from customers, and love the fast growth, but fail to anticipate the cost of early vendor payments, monthly overhead costs, and later taxes.

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Technical Review Finance Startup Salary 379

Startup Professionals Musings

JUNE 27, 2020

Entrepreneurs inherently understand that they have to be the initial leader of their startup, but often they don’t have the experience or the training to know where their leadership competencies lie, or how to build a leadership team.

Leadership 433

Leadership Startup Restful Developer 433

Startup Professionals Musings

MARCH 21, 2021

I can think of several related aspects of starting and running a business where follow-up, or lack of it, can make or break your startup. At the same time, he was always pushing the limits of our business relationship with new ideas. That’s the bar you should aspire to. Here are a few: Business networking.

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Technical Review Startup Software Review Retention 333

Startup Professionals Musings

JANUARY 18, 2020

One of the biggest myths in the business world is that startups are no place for Baby Boomers, that aging generation born between 1945 and 1964. Today people over 55 are almost twice as likely to create successful startups as Gen-Y, age 20 to 34. Yet credible reports on current trends tell us just the opposite.

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Advisory Board Startup Dividend Angel Investor 312

Startup Professionals Musings

DECEMBER 5, 2021

Some startups not only ignore this and don’t budget for it, but they actually plan on the free viral marketing to generate enough revenue from click-through advertising to fund operations and future growth. Unless you have very deep pockets, plan for some very significant marketing costs to kick-start your dream. Marty Zwilling.

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Viral Marketing SEM Campaign 348

Startup Professionals Musings

MARCH 18, 2023

It seems like every entrepreneur I meet these days is quick to proclaim themselves a visionary, expecting that will give more credibility to their startup idea, and improve their odds with investors. In reality, I’m one of the majority of investors who believe that startup success is more about the execution than the idea.

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Partner Cofounder Startup Bandwidth 206

Startup Professionals Musings

FEBRUARY 8, 2021

In my experience as an angel investor for new startups, I’m always surprised by how many entrepreneurs are looking for funding without outside advisors. An experienced Board can give them credibility, as well as advice on the many pitfalls of starting a new company.

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Advisory Board Bandwidth Cofounder Technical Review 356

Startup Professionals Musings

SEPTEMBER 7, 2020

Yet everyone has limits, and every investor implicitly has similar limits on what makes a startup investable, or one to avoid at all costs. Here is my perspective on the highest risk elements, from my years of working with investors and watching startups come and go: All the co-founders are first-time entrepreneurs.

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New York City Silicon Valley Startup Bootstrapping 315

Startup Professionals Musings

FEBRUARY 24, 2020

I just finished a new book for entrepreneurs, “ Secrets to a Successful Startup ,” by Trevor Blake, which makes the same points, based on his own real-life experience with three successful startups. Outsourcing can give your startup a more mature image. Startups all need that flexibility.

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Technical Review Due Diligence Startup Employee 308

Startup Professionals Musings

NOVEMBER 7, 2021

Work at home to fund your startup. It’s usually stock that has been artificially pumped up by their big buy, who take their gain when you buy, and leave you with a big loss on their dump. A variation is “short and distort”, where their profit comes from short selling.

Technical Review 371

Technical Review Due Diligence Non-disclosure Agreement Term Sheet 371

Startup Professionals Musings

JULY 26, 2020

Despite the fact that the number of IPOs (Initial Public Offerings) for startups have continued to stay low, I still hear it touted often as the preferred exit strategy. The public company corporate culture may not fit you and your startup. Most startup founders voluntarily exit or are pushed out, and the fun is gone.

Cost 319

Cost IPO Exit Strategy Initial Public Offering 319

Startup Professionals Musings

JULY 1, 2020

Based on my own experiences in startups, and many years of advising new business owners, I’m convinced that there are a few common frustrations that we all need to anticipate and prepare for, rather than let them be a surprise and a painful dent in your enthusiasm and personal satisfaction from living your dream.

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Due Diligence Entrepreneur Startup Acquisition 306

Startup Professionals Musings

NOVEMBER 9, 2019

Even in this age of globalization and virtualization, the geographic area where you choose to live and work can still make or break your startup business. Of course, there are always exceptions, but how much added risk do you need for your startup? Raising capital isn’t the be-all and end-all of startup success.

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Las Vegas Silicon Valley Arizona Montana 243

Startup Professionals Musings

APRIL 18, 2022

How many times have investors heard startups start their pitch by touting that their technology is “disruptive?” Unfortunately this “quickly” may be too slowly to save initial startups in the space. Now it happens much faster, but it still takes longer that the survival lifetime of a struggling startup.

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Technical Review Startup Social Media Technology 224

Startup Professionals Musings

JUNE 30, 2019

The “valley of death” is a common term in the startup world, referring to the difficulty of covering the negative cash flow in the early stages of a startup, before their new product or service is bringing in revenue from real customers. Join a startup incubator. Use crowd funding. Get a loan or line-of-credit.

Intellectual Property 219

Intellectual Property Technical Review Startup Incubator 219

Startup Professionals Musings

APRIL 12, 2019

It’s amazing how fast your startup will outgrow your garage or home office. Every startup I know, in this changing world, has incurred delays and strategy pivots before they zero-in on the best customer solution and business model. Ramp-up facilities and utilities required. Unanticipated pivots, quality write-offs, and shrinkage.

Cost 264

Cost Founder Software Review Startup 264

Startup Professionals Musings

FEBRUARY 1, 2021

Thus, based on my experience as an entrepreneur as well as a startup investor, there are indeed situations where a non-disclosure is highly recommended, and others where the potential good far outweighs the risk. Here are the key considerations from my perspective: Dealing with known or trusted investors and advisors.

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Non-disclosure Agreement Technical Review Due Diligence Angel Investor 399

Startup Professionals Musings

FEBRUARY 29, 2020

One of the myths I often hear as an advisor to many entrepreneurs is that their lifestyle would somehow be better if they could more easily find other people’s money to build their startup. Usually it pays to move a startup slower rather than risk relationships. Many times friends and family have been broken by failed investments.

Bootstrapping 310

Bootstrapping Advisory Board Venture Capital Startup 310

Startup Professionals Musings

JANUARY 7, 2019

In fact, according to the latest Index of Startup Activity by the Kauffman Foundation and recent press reports , these Baby Boomers are actually driving a new entrepreneurship boom. Business-startup rates in America increased the most in the Midwest and South. 5%), but still remains higher than the native-born rate.

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Technical Review United States Startup America 299

Startup Professionals Musings

FEBRUARY 7, 2021

As startups grow, they quickly realize that they need a third personality, called the Manager, to build systems and processes. To the Technician, the future is modeled after the present-day world, the model of past experience, and the model of getting paid for effort or results.

Technical Review 341

Technical Review Social Media Startup Internet 341

Startup Professionals Musings

OCTOBER 12, 2022

People who have been followers too long as an employee don’t realize how hard it is to be a leader. Every new entrepreneur has to initiate the right actions to be perceived as a leader in their chosen business domain by their team and by their customers, or the road to success and satisfaction will be lost along the way.

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Leadership Founder Startup Partner 317

Startup Professionals Musings

SEPTEMBER 29, 2018

Cash flow is a basic survival metric for every startup. Yet it always amazes me that I can find two different startups, seemingly working on the same problem, with one having a burn rate several times higher than the other. They understand startup realities. Desperate entrepreneurs lose their leverage and die young.

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Burn Rate Hockey Stick Startup Salary 223

Startup Professionals Musings

JULY 15, 2019

Beyond the core team of two or three startup partners, every startup should seek to “outsource” the rest of their strategic requirements to external business partners. Thus you should do the same or more due diligence on educational background, previous work, and references.

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Cofounder Software Review CTO Hire Founder 221

Startup Professionals Musings

AUGUST 31, 2019

In the old days, every entrepreneur dreamed of easily taking their startup public, and making it big. Today the rate of startups going public (IPO – Initial Public Offering) is up from the dead zone, but is still half the rate back before 2000. Startups going public are laid open to competitors and critics.

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IPO SEC Prospectus Startup 210

Startup Professionals Musings

MAY 15, 2019

I found their five phases of the process to be compelling, based on my own years of experience mentoring startups: Nail the pain. Only then is it time to focus on the get-big-fast strategy, and the transformation of three key areas from startup to a managed growth company. It’s time for a new startup model. Marty Zwilling.

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Startup Angel Investor Technical Review Incubator 245