12) What are the indicators of an expert?
- Going from bullshit product to companies to product to SaaS product. (Corollary: The reverse is beginner hour.)
- Reducing prices on daily basis.
- Promoting on daily basis, each minute.
- When you might have a billion in revenues, staying centered. When you might have zero revenues, staying unfocused and developing with new concepts on daily basis.
- Saying “no” to people who find themselves apparent losers.
- Saying “sure” to any assembly in any respect with somebody who’s an apparent winner.
- Figuring out the right way to distinguish between winners and losers (which is the topic of a complete different publish, however in your intestine, you realize – belief me).
13) What ought to the CEO’s wage be?
Not more than 2x your lowest worker in case you are not worthwhile. This even assumes you’re funded. If you’re not funded, your wage ought to be zero till your revenues pays your wage final.
Essential rule: The CEO’s wage is the final expense paid in each enterprise.
14) When ought to I’ve intercourse with an worker?
If you love her and the sensation is mutual.
15) Ought to I ever fear in regards to the information or the financial system?
Completely not. One of the best companies are began in horrible economies.
16) What occurred to all of my pals?
You don’t have any extra pals.
17) Ought to I spin off this unrelated concept right into a separate enterprise?
No. Make one enterprise nice. Throw all the things in it. Do DBAs to determine totally different concepts.
18) I made a mistake. Ought to I inform the consumer?
Sure. Inform him all the things that occurred. You’re his associate. Not the man that hides issues after which lies about them.
19) I undercharged. What ought to I do about it?
Nothing. Cost the subsequent consumer extra.
20) I’ve quite a lot of visitors however no revenues. What ought to I do?
Promote what you are promoting. There’s just one Google. (Properly, there are two or three Googles: Fb, Twitter, and so on., however none of them are you.)
21) I’ve been in enterprise now for six years, and my enterprise doesn’t appear to be rising. It’s even slowing down. What ought to I do?
Provide you with 10 concepts a day about new companies what you are promoting can provide. Attempt to get a buyer for every new service.
I do know one enterprise on this state of affairs that refuses to do that as a result of their VCs are telling them to focus extra. You’re going to exit of enterprise in any other case.
22) How do I market my app?
Pals after which phrase of mouth.
23) Do I take heed to enterprise capitalists?
Sure, after all. They gave you cash. However then don’t do something they ask you to do.
24) Ought to I care about margins?
No. Care about revenues.
25) When ought to I rent individuals full time?
When you might have revenues.
26) C Corp or S Corp or LLC?
C-Corp when you ever need to tackle buyers or promote to a different firm.
27) What state ought to I incorporate in?
Delaware.
28) Ought to founders vest?
Sure, over a interval of 4 years. On any change of management, the vesting hastens.
29) Ought to I patent my concept?
Get prospects first. Patent later. Don’t speak to attorneys till the final attainable second.
30) Ought to I require enterprise capitalists to signal NDAs?
No. No person goes to steal your concept.
31) Ought to I’ve a technical co-founder if I’m not technical?
No. In the event you don’t have already got a technical co-founder, you possibly can at all times outsource expertise and never hand over fairness.
32) Ought to I barter fairness for companies?
No. You get what you pay for.
33) Ought to I construct a product?
Possibly. However first see if, manually, your product works. Then take into consideration offering it as a service. Then productize the generally used companies. Too many individuals do that in reverse after which fail.
34) How a lot dilution is an excessive amount of dilution?
If somebody needs to present you cash, then take it. The outdated saying, “one hundred pc of nothing is value lower than 1 p.c of one thing” is true.
35) What if no one appears to be shopping for my product?
Then change to a service and do no matter anybody is keen to pay for utilizing the abilities you developed whereas making your product.
36) If a consumer needs me to rent their buddy or they gained’t give me the enterprise (e.g. like a bribe) what ought to I do?
All the time do the moral factor: Rent the buddy and get the consumer’s enterprise.
37) What do I do when a buyer rejects me in a B2B enterprise?
Keep in contact as soon as a month. By no means be offended.
38) In a B2C enterprise?
Launch quick. Add new options each week.
39) What if my consumer asks me to do one thing not in my marketing strategy?
Do it, or discover somebody who can do it, even when it’s a competitor.
40) Ought to I ever speak badly a few associate or an worker despite the fact that they’re terrible?
By no means gossip. All the time be straight with the wrongdoer.
41) I’ve a lot of concepts. How do I choose the correct one?
Do as many concepts as attainable. The proper concept will choose you.
42) Ought to I get an workplace?
No, not until you might have revenues.
43) Ought to I do market analysis?
Sure. Discover one buyer who DEFINITELY – indubitably – will purchase a service from you. Be aware that I don’t say purchase your product, as a result of your preliminary product is at all times not what the client wished.
44) Ought to I pay taxes?
No. You need to at all times reinvest your cash and function at a loss.
45) Ought to I pay dividends?
See above.
46) When ought to I hearth staff?
When you might have fewer than six months’ burn within the financial institution and also you aren’t getting revenues rising quick sufficient.
47) For what different causes ought to somebody hearth an worker?
- Once they gossip.
- Once they don’t over-deliver consistently.
- Once they ask for a elevate as a result of they suppose they’re making beneath business commonplace.
- Once they speak badly a few consumer.
- Once they have an perspective.
48) When ought to I give a elevate?
Not often.
49) How huge ought to the worker choice pool be?
15 to twenty p.c.
50) How a lot do advisers get?
One-fourth of 1 p.c. Advisers are ineffective. Don’t even have an advisory board.
