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Ask HN: Important nonobvious startup/business lessons you've learned?

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Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#161
post #46
post #33

Here's 30 years of experience for you: 1. Few business problems can't be solved by more sales. 2. Cut expenses when the storm is approaching, not when you're soaking wet. 3. You can't eat assets or inventory. Don't get emotional about what you own, only about your cash balances. 4. Banks are your friend only when you don't need them. Corollary: One bank for borrowing, one for cash balance accounts. 5. 70 completed ca…

Sales fixes everything. Very hard to learn for engineers and designers often.

Corollary #1 - Marketing /sales is hard. Relative to tech / code it's at least 10x more difficult. Code / tech v human behaviour?? Which is easier to predict and sort out.

Corollary #2 - Nobody cares. You might love your baby (i.e., idea / product / startup) but nobody cares. At all. See Corollary #1 for more details.

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#162
post #116

Earlier quoted context omitted.

I meant “sales” as transactions, not “sales” as in the department or role.

The commenter with the advice clearly mean "sales" as the department or role. To a founder or CEO the word "revenue" is used where you're using "sales", it isn't wrong except in context but the intention was unambiguous to me.

IMO "sales" in OP referred to revenue generating transactions.

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#163
When signing up for marketing/SaaS specialized blog/aggregator article submissions, don't use an email address you want to keep using, because you will end up on thousands of marketing lists.

Also, just don't do that anyway. It was a total waste of time, focus on legitimate grass roots sales activities. I thought I might as well give it a go, as they said they'd get the app on ProductHunt and so on. I was skeptical of that, but no harm if it doesn't work. It didn't work and it was a generally scummy experience, and some of the submissions they made on my behalf were very embarrassing for me. Wrong place, wrong tone, wrong words, that kind of thing.

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#164
Hardest lesson: Ship it means flip the on switch.

Yes, shipping faster means you get feedback faster. But shipping faster also means you begin customer support faster. The moment customer support happens is the moment that your development focus shifts from deliverables to bug squashing, making tweaks and balancing priorities. The moment that the system has live data is also the moment that you have to make sure any changes to the system can smoothly adapt the data that's already in the system.

The moment you ship, all of your development is going to slow down from the side effects of shipping. Slogans don't have nuance.

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#165

- The decreasing barrier to ship products means sales & marketing is what differentiates successful products versus products with 0 users. - After building a high growth / high churn product, I am OK sacrificing decreased growth for a significantly decreased churn rate. Great product with high churn is a hard business to build, even when customers love the product. - One of the highest leverage decisions you'll make…

Agenda, timeboxing and action items for meetings is absolutely the biggest, best, low hanging fruit in the modern workplace.

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#166
post #115
post #91

Earlier quoted context omitted.

Even if it doesnt. It generates cash (you can borrow against a p. o I think) and pressure to ship the product.

Assuming what has been already sold is actually possible to build

Yes, dont do a Theranos.

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#167
post #118

Earlier quoted context omitted.

Yes, but I feel this is somewhat of a tautology: of course lots of revenue makes things easier. But the important part is to diagnose why you have low or declining sales. Sometimes it's because you don't have good sales people. But other times it's because the product you have isn't a good market fit, or it's really buggy, or your salespeople oversold and now your customers are unhappy with the actual functionality o…

This is encapsulated by that simple statement. Do whatever you need to get sales.

I disagree, and that's why I responded. I've seen too many "we'll do whatever we need to do to get sales" turn into salespeople making unrealistic promises on impossibly tight deadlines.

So then the sale is made, but in a way that ends up destroying the long (and even medium) term health of the business. Product/engineering goes on a death march to get things done, by the end of it many of those folks are burnt out, customers are unhappy, and sales folks see the writing on the wall and are happy to bail with their fat commission.

It's like saying "do whatever you need to raise your stock price." There are healthy and unhealthy ways to do that, and the advice is useless if you don't carefully distinguish between the two.

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#168
post #33

Here's 30 years of experience for you: 1. Few business problems can't be solved by more sales. 2. Cut expenses when the storm is approaching, not when you're soaking wet. 3. You can't eat assets or inventory. Don't get emotional about what you own, only about your cash balances. 4. Banks are your friend only when you don't need them. Corollary: One bank for borrowing, one for cash balance accounts. 5. 70 completed ca…

>7. Hire and retain "T-shaped" people. In difficult times those employees execute across multiple domains.

As in people who have broad knowledge but also specific expertise?

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#169
23 years exp...

My #1: Get really good at user testing so that you minimize risk every step of the way. I can't say this enough as it has totally changed how I approach startups, new features, and core assumptions (and weirdly my personal life).

My #2: If you have co-founders, make weekly rituals to ensure you stay in sync over everything else. When you get out of sync, bad things happen. This can also be applied to investors, board members, spouses, etc etc etc...

My #3: If you are making a bet write it out in detail about what the bet is, what the assumptions are, and then write in detail why you are doing each piece and examine it from multiple POVs. Writing that down over a period of weeks ensures a good thought process most of the time. Write it out as if you are giving a presentation. This has helped me in so many ways.

Those are the big ones that have been huge with startup/business/life.

Re: Ask HN: Important nonobvious startup/business lessons you've learned?

#170
Eat your own dog food.

New hires don't know how the system work. Don't know the day to day operation or use cases. Never assume they'll just pick it up.

Have periodic exercises where people use the app from start to finish. Have people take on other roles periodically.

I see a lot of brilliant engineers build amazing things that don't help the company. Get them invested in the day to day usage of the product so they know when to push back on pointless ideas.

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