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Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

sergioschuler.com

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Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#81

Earlier quoted context omitted.

Great sales people can sell anything to anyone. Selling the things you believe in to people that really need it is easy. Selling people mediocre products they don't need and probably can't afford, that is actually difficult. If anything convincing a developer to take your money (assuming you have any) to write code should be orders of magnitude easier than convincing a client to give you money for something that does…

>Great sales people can sell anything to anyone. If that were true then an inventor could have asked a great sales person to sell an engineer on the idea, and build it. In fact, this isn't true at all, and most innovative ideas are forced to be built by the same person in whose head they are, precisely because it is not true that "great sales people can sell anything to anyone", and some of the best ideas can't be so…

This was not brought up but is relevant when a lot of discussion on this article is revolving around the business-developer relationship.

>Selling people mediocre products they don't need and probably can't afford, that is actually difficult.

This is exactly why developers (at least this one) have a pending distaste for business people. This should never, ever, be done. The difficulty of selling 'mediocre products' that are not in 'need' and to people who cannot 'afford' is awful and disgusting. It implies tricking the buyer for your own gain.

If you have a mediocre product do not misrepresent when you sell it. If you are trying to fck people out of their money, fck you.

The difficult case is what if you invest your livelihood in a product that turns out to be shitty. You are left with either tricking people in to buying it or facing the alternative -- debt, foreclosure etc.. This could include putting a family (wife or husband or partner and children out on the street). This sucks for all involved. Customers wish you had a good product, you wish you did too.

This decision comes down to responsibility. You built that product. You were in charge or you bought in to the company. Take the loss, be honest about the product (note sales is still involved just not sales that misrepresents).

To be clear, sales is great. If sales is the method of opening people's mind enough to see what you genuinely believe are the best parts of your product. If its to lie and convince them to lie and buy a product that is 'medicore' and they cannot 'afford' (implicitly that this purchase will hurt them in other ways) then fck sales. This 'lying sales' is what the statement indicated and what I, and I think other developers, do not like.

Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#82

You want to know how to validate your idea faster? Don't have a free plan. Will people give you their credit card... that's what you want to know. And those are the people you want feedback from.

exactly. that's what he says in the article, no? :)

Yes. He says that instead of having a "Try it for free" button he should have posted the price and seen how many are interested in the product then.

Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#83

Earlier quoted context omitted.

I replied the same thing above: tech business are usually not about tech, they are empowered by tech. A company that uses phones to sell their products is not about "phones", they are about the product and the phone is just a tool. For me, the web was just a tool. A lot of non-tech co-founders exist and they succeed, so certainly not absurd.

Exhibit A. Everything wrong about this perspective. Disassociation and genericness down to a "T". How's that formula working for you?!

Nah, troll harder next time.

Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#84
post #57

Earlier quoted context omitted.

I love the Monkees.

I love The Beatles.

I think the Monkees fit the bill of a "pop band manufactured by a business person" more than the Beatles do.

And they're better.

Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#86
This is a great article full of truth. My respects to the author because it takes courage to accept one's mistakes, but it's critical for getting up and moving forward in a better direction. How many ideas are sitting in my brain, but all I can think of is how to exactly am I supposed to validate that any of them are worth my life?! I mean, really, a startup will mean I will have no life. With my loved one in a startup already, I don't know if I could really start something without the support. Looking back, were any of the big companies that started as a small STARTUP founded by poor people? I think not. I haven't heard a single story of an actually poor person, who founded a startup and is now rich.

Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#87

You want to know how to validate your idea faster? Don't have a free plan. Will people give you their credit card... that's what you want to know. And those are the people you want feedback from.

Do you want to ask for a credit card with no deliverable?

Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#88
post #78

"Instead of surfing the wave and adapting my idea to what a real prospect client was telling me they wanted" FFS don't do this. There are far too many startups beached on the shores of "well, this one SRS BZNS client wanted us to change what we were doing so we did. Where'd all the rest of our clients go?" I'm not saying "don't pivot", but "just making what they wanted" (where N(they) = 1) turns you into a poorly-pai…

I personally would view building something for X client a viable option if it was going to be a large sum of money. Then use that money to fund the company and the product you really want to build and sell.

It can be hard to get that one or two clients who can fund the company, but it is a viable strategy as long as you have the right mindset. We, Datalanche, had this opportunity but unfortunately (like most deals) it didn't work out. Had we successfully made the deal, it would have been a multi-million dollar contract which would have easily funded the entire company and the flagship product and we wouldn't have given away any control.

Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#89

A business person trying to start a tech startup.... It's like a business person looking for musicians to start a band. This is beyond ridiculous. Either bring some skill to the table or go create a "business startup" and stop polluting the industry with yet another failed idea and even worse a "post mortem" of why it failed. PS: This includes Marketing, Managers as well as the Business peanut gallery.

I have to disagree there is more to a business then a product.

Somebody has to find customers, make sure there is a way to accept their money, ...

Re: Lessons learned from my failed startup after 2 years, 300 users and 0 revenue

#90
"Since we were 3 business people, we spent all this time into idiot plans, budget forecasts, BUSINESS CARDS, fancy website… all useless things which in the end did not contribute to anything."

I've been apart of a lot of startups and this is far and away the best advice. It was a common theme with two startups I worked for during the boom years. One CEO's hubris was stunning. 10 million privately funded and he blew most of it on season tickets and suits at stadiums to "entertain" big prospects (nevermind we didn't have any "big" prospects at the time!), remodeled the office to the tune of a few hundred thousand dollars, it goes on, but you get the idea.

When you're in a startup, it really is about getting your product shipped, and making sure that's where the focus is.

Great writeup and glad you saw the errors of your ways. Lots of people never gain the wisdom you have until after two or three failed attempts.

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