A few years ago I found a comment by a millionaire that at first I thought was a great idea, how do you define what a CEO is and does?
Not a bad question, right? Especially when it comes to being a startup.
Normally the CEO moniker, Chief Executive Officer, used in big Fortune 500 companies and even some startups that want the same prestige might work, but as a startup, it just doesn’t quite fit, do you see the same thing?
I have a friend that has a startup and she uses the CEO title on her business card and her web site. She’s a startup. But seeing it on her card it just sounds so old fashion and stuffy, as if “bestowed” by oneself for others to see how you want to project your image. But is that the true focus of a business? To make yourself look good?
Not so accurate.
So, here’s my attempt in our current business climate to get to the heart of what a business CEO title is about.
What do you call a failed entrepreneur in Silicon Valley? Experienced.
Anywhere else in the US and you have to change your name, move to another town, or parents hang their head in shame toward friends. In Silicon Valley after hearing about your first failure they ask, “What’s your next company going to be?” The culture of the US innovation, that change is inevitable, that leasing office space to 20 year olds is not unheard of, that taking a $2 million dollar check and building a company around solving a problem is the most important part of a startup culture. This culture needs in the US schools, colleges and universities, businesses, and government institutions.
Want some hands on experience with your startup idea? Check out these sites:
You typically hear startups and wannabe startups talk about getting funding for their business adventure, but here are a list of companies that did not look for funding. They did it the old fashion way, they earned it.
When it comes to startup entrepreneurs, one of the key factors of getting started is the key word: Focus. What should they focus on to get them going?
Have you heard of the comment, “What you focus on is what you get!” It’s true. The same thing goes for seeing a glass half empty or half full. If all you see is obstacles and not your vision of accomplishing something it is demotivating. But even if you focus on the positive, what do you focus on?
I once was working a job at a small retail company and the Regional Director was visiting and “motivating” us by stating, “Focus, focus, focus!” But of course, most of the people took that and ran “fast” with what they saw, but each in their own direction with activities that, while helpful to the business, were actually NOT the right priorities for the business. Her leadership skills were fear based and while they were “detailed,” her motivation did not embrace what the priority of the organization’s goals were. It was a scattered view of “getting it all done and fast,” it intentionally “blurred” everyone’s focus costing the company time, money and resources.
So, as any startup entrepreneur, here’s a short list of what to focus on:
Product – putting in all of the features necessary and getting the product out the door.
Competition – seeing what your competition is doing and not letting them out of your sight and ensuring you’re better than they are.
Ideal Customer – what are your customer’s needs and wants.
So, what do you think a startup should focus on?
Here’s the wrong answers:
Product – focusing solely on your product and building the most complete and perfect Swiss Army knife for your ideal customer takes time and resources, and maybe no one will want it. Therefore, you’ve wasted your resources and reduces your profit potential.
Competition – if you focus on what your competition is doing even THEY can miss the boat of what a customer wants and needs. If they’re heading down the wrong path, they just get there sooner than you do. Don’t chase your competition’s bunny trial which may lead to a dead end.
These are the correct answers in the correct order of priority:
Focus on your ideal customer’s needs and wants, it is here that you spend your time and effort so that they are willing to give you their money for your solutions.
Product – when you focus on your ideal customer and their needs and wants your product becomes the result of that time and effort.
Competition – while focusing on your customer’s needs and wants you’ll then focus on your product and services, but you need to keep your competition in your peripheral vision, not completely out of sight, but still in view and not your main focus.
A focused priority will keep you moving ahead in the right direction.
Startup entrepreneurs don’t have time or money to waste. OnStartup.com has a quick blog post The 5 Minute Guide To Cheap Startup Advertising (sorry it takes longer than five minutes) that gives a quick understanding about advertising. Take a quick read, it’s worth the time.
Getting money to fund a startup takes guts. Guts to begin a startup and guts to find money to fund your startup. There is a difference between funding a dog sitting business, which could mean less than $500 versus finding $25,000, $75,000, or even $150,000 worth of funds to start your business, such as a retail store.
Then there’s the Angel investors and Venture Capitalists that invest upwards of $500,000 to $1,000,000 and part of your company.
Well Paul Graham of Y Combinator discusses the various funding channels for startups and what has happened in the last few years, the shakeups that have occurred and what it currently means for those looking for funding. Check him out.
