Connect with us

Business Entrepreneur

Y Combinator co-founder’s advice: Don’t fail faster, just don’t fail

(ENTREPRENEUR NEWS) The Valley loves to sling around the phrase, “fail faster,” but there’s actually a better way.

Published

on

Bucking the “fail faster” mantra

Not failing is better than failing fast.

bar
Jessica Livingston, the co-founder of Y Combinator gave a keynote at a Female Founders Conference and laid out the alternative to the “Fail Fast” philosophy: Don’t fail at all.

How not to fail

Jessica has seen hundreds of companies go through the Combinator and talks about her real observations of what makes a successful founder. The first, and maybe most important point, is:

1. Make something people want
“Nothing else you do will matter if you’re not making something people want. You can be the best spokesperson, the best fundraiser, the best programmer, but if you aren’t building a product that satisfies a real need, you’ll never succeed.”

This is actually the motto of the Combinator and central to everything Livingston has to say.

2. Stay focused
One characteristic Livingston sees in the most successful entrepreneurs is the focus to stay with the vision. She gives a list of distractions that occur over and over including networking, having coffee with investors, arguing on social media, attending conferences, spending time on PR before you are even making something people want, and the last item is “Worrying about being a woman in tech. And that’s a theme that reoccurs in address. In fact, its the next item on the list:

3. Don’t worry about being a woman
Livingston doesn’t aim to minimize the challenges of being a female entrepreneur. Rather she worries that the amount of time the media spends on taking about it will discourage female entrepreneurs:

“While I’ll tell you that it is going to be harder for you as a woman, it’s not going to be so much harder that it will make the difference between success and failure. If you want to start a startup, go ahead and do it and don’t let yourself be intimidated or distracted by all the noise.

4. Measure your growth
If you follow those first few steps, Livingston continues, you’ll see growth. And keeping tabs on it is important. A good start up will see about 10% growth a month. If you’re not making that, you might no be focused enough or you might to be making something people want.

5. Know if you’re default alive
It’s not enough to have growth if you’re going run out of money. Yo need to know if your business baby is “default alive” or default dead”.

Do your expenses stay the same while your revenue continues to grow? Congratulations, you have a pulse.

Livingston is amazed how many start up founders have never thought to do this simple math.

6. Keep expenses low
This is the number one reason startups run out of money. And because the number one money eater is salaries, this usually means hiring too many people. This gets a lot of new ventures in trouble after their initial phase.

7. Fundraising gets harder
Founders who have a good amount of seed money think it will be easy to replicate that success, but that is often not the case. Series A investors have a very different mindset than seed investors. While the latter are looking for promise, the former are looking for performance.

And nothing says bad performance like needing more money early on.

The takeaway

There’s a lot of logistics and hope in this talk for all founders, but especially female entrepreneurs. It’s a tough business world out there for you, but also for everyone. So synthesize the knowledge of Livingston and other pioneers, take your ideas, and make something great.

And remember: just don’t fail.

#JustDon’tFail

Felix is a writer, online-dating consultant, professor, and BBQ enthusiast. She lives in Austin with two warrior-princess-ninja-superheros and some other wild animals. You can read more of her musings, emo poetry, and weird fiction on her website.

Continue Reading
Advertisement
2 Comments

2 Comments

  1. Pingback: Fortune bombs on advising future female executives - The American Genius

  2. Pingback: Fyre Festival 2017 was a bust so organizers have decided to double down - The American Genius

Leave a Reply

Your email address will not be published. Required fields are marked *

Business Entrepreneur

How to spot when it’s time to go full freelance

(ENTREPRENEUR) There may come a point when traditional work becomes burdensome. Know how to spot when it is time to go full freelance.

Published

on

freelance productivity

Freelancing is often thought of as a mythical concept, something that is almost too good to be true. While it isn’t all about hanging out at home in your pajamas all day, being a freelance is something that is completely possible to be successful – assuming you do your homework.

Recently, a friend of mine who is a licensed esthetician was no longer happy with her position at the salon and spa she worked for. The set hours were becoming a burden, as was having to divvy up appointments between another esthetician within the salon.

She noticed an increasing number of people asking her if she could perform services (eyebrow and lip waxing) from her home, as they preferred not to go into the hectic salon. My friend also found an increase in requests for her to travel to bridal parties for their makeup, rather than the parties coming into the salon.

It was around this time that my friend began to seriously consider becoming a freelance esthetician, rather than a salon employee. After about six months of research and consideration, she decided that this was the best route for her.

Below are the reasons she felt ready to pursue this option, and if they resonate with you, you may be ready for a full time freelance career.

1. She had a number of built-in clients and a list of people she could contact to announce her at-home services. Doing this at the start of one’s career would be very difficult without a contact list and word-of-mouth references, so it’s important to have…

2. …experience! My friend had worked for a number of salons over the years, and had the experience of working with all different types of clients. She also learned what she liked and didn’t like about each salon, which were pieces that factored into her own work-from-home space.

3. Since she had years of experience and had done all of the necessary aforementioned research, she knew what was expected of her and knew that getting a freelance career off the ground wouldn’t be a walk in the park. Operating a freelance career is completely on you, so you have to be 100 percent dedicated to making it work – it won’t just happen for you.

4. Once she began thinking about this idea nonstop and became more excited, she knew it was time to move forward. At first, the “what ifs” were daunting, but became more positive as time went on. If the idea of being a freelancer elicits more smiles than frowns, definitely take the time to consider this option.

5. In addition to the clients she already had, she also had an amazing support system who helped her develop her freelance brand and get her at-home business up and running. Having a solid group of people in your life that will help you is crucial, and any offer for help should be appreciated.

Other things to consider are: do you have enough money saved in case the freelance venture takes longer than planned to take off? If not, maybe stick with the day job until you feel more financially secure.

Jumping into something too quickly can cause you to become overwhelmed and drown in the stress. Make sure you’ve covered every single base before making this leap. Good luck, freelancers!

Continue Reading

Business Entrepreneur

Hobby to profession: The new-age entrepreneurs

(ENTREPRENEURS) Turning your hobby into a career is harder said than done but a few knitters are putting on a clinic on how to do it.

Published

on

knitting entrepreneurs

I’ve often heard the advice that you should follow your passion, and eventually, someone will pay you to do it. But the truth is, turning your hobby into a career is easier said than done. The process by which a person turns a hobby into a business is poorly understood by experts – at least partially because it’s so difficult to collect data on this topic. In order to separate the lifelong hobbyists from the entrepreneurs, you’d have to trace the activities of many hobbyists over many years to understand how their paths diverged.

An MIT Ph.D. candidate has hit upon a novel way to research the transition from hobby to entrepreneurship by following Ravelry.com, a social media and pattern-sharing platform for knitters and crocheters, often known as the “Facebook of knitting.” The site encourages crafters to keep track of and share their projects, tools, techniques, and patterns.

The Washington Post reports that by analyzing over 400,000 profiles on Ravelry.com and interviewing 100 knitters, found through an additional newsletter and three blogs, Ph.D. candidate Hyejun Kim was able to draw some interesting conclusions about what can “cause someone to flip the switch from ‘fun’ to ‘profit.’” Only 1.5 percent of Ravelry users become entrepreneurs who sell their own patterns, knitted items, or yarns. What sets this small number of knitters apart?

Although the internet provided the crucial data Kim needed for the study, it was, in fact, real-world connections and encouragement that turned out to be the tipping point into entrepreneurship for most knitters-turned-business-owners. When asked why they decided to start their own businesses, most reported that they were encouraged by their friends and spouses.

Most of the crafters who became entrepreneurs were already very skilled knitters, to begin with. Kim was able to isolate a number of knitters who joined in-person knitting groups like Stich ‘n’ Bitch. Those who joined a group were 25 percent more likely to become entrepreneurs than those who didn’t. That’s because their crocheting comrades would compliment their creations, boosting their confidence and inspiring them to take it to the next level.

It shouldn’t be overlooked that 96 percent of Ravelry users are women. The forces of sexism in the world of startups and the undervaluation and domestication of women’s handicrafts likely combine to give women the impression that their skills and talents are just for fun and shouldn’t be seen as an opportunity to make money. Kim’s research shows that when it comes to entrepreneurship, sometimes talented women just need a nudge in the right direction.

Continue Reading

Business Entrepreneur

Teach kids music and they’ll learn entrepreneurship

(ENTREPRENEUR) Sowing the seed of music education and appreciation in your child when they’re young is a great way to produce the fruit of entrepreneurship when they’re older.

Published

on

entrepreneurship

With all the focus sports gets as the petri dish for producing driven adults, I’d like to offer up a different extracurricular activity for your consideration: music. Supporting your child as they learn how to harmonize with others will help set them up for success later in life, as music cultivates many of the characteristics that entrepreneurs rely on every day.

Iteration

Anybody who’s played an instrument or been a part of a choir can tell you that the number one thing you’ll learn in a musical group is that you won’t make it unless you practice, practice, practice. Although in the moment it’s not that great to hear little Timmy or Ginny run through their C-scale a hundred times, a few years down the line when all those hours of iterating result in the lilt of Beethoven through your household, you can be sure that your kid has learned that repeating the little steps helps them achieve large goals.

Showmanship

A large part of being a successful entrepreneur is knowing your markets, or your audience, and able to keep their attention so that they come back to you when they need your business. Being a part of an ensemble not only teaches children to be comfortable in the spotlight but to crave putting on a show.

Teamwork

When young musicians come together to play in a band or raise their voices in a choir, they’re learning a lot about how to collaborate with others in order to achieve a goal. When a young alto sings alone, her notes may sound strange without the soprano tones filling out the melody. The duet that comes from them learning to work together and complement each other builds a strong foundation for any team venture your child will encounter later in their careers.

Competiveness

Although music provides a solid foundation in harmony, it also contains just as much grit and competition as the football field. Music groups compete in regional and national championships just as athletes do, and solos offer opportunities to self-select and advocate. Hell hath no fire like a second seat musician who dreams of being first chair.

Self Confidence

Unlike sports, music is accessible to those who might struggle with finding confidence. There are no “best” requirements to play—regardless of height, weight, and other characteristics that nobody has any control over—nearly anyone can pick up an instrument or find their voice. This perhaps may be the greatest gift that you can give your child, the confidence that no matter what they look like they can excel.

As your child begins to consider the different activities that will help them build toward their future, don’t discourage them from pursuing a musical path. When they have to stand in front of an audience of their peers and deliver a presentation with an unwavering voice, they’ll thank you for the years they spent getting comfortable in the spotlight. Especially if they pursue entrepreneurship!

Continue Reading
Advertisement

Our Great Parnters

The
American Genius
news neatly in your inbox

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.

Emerging Stories