GUY KAWASAKI'S TIPS FOR ENTREPRENEURS
From his talk at Stanford. "Entrepreneurs are blessed. They are blessed with vision and energy and the ability to recruit, and the ability to create great things."
- •You should always be a bootstrapperEven if you have 10 million dollars in the bank
- •Make meaningThere are three ways to make meaning: 1. First is to increase the quality of life. 2. Right a wrong. Find something that's wrong in the world or you notice that's something wrong and you want to fix that. 3. Prevent the end of something good.
- •Do not be afraid of polarizing peopleThe ideal situation is where some people really love your product and some people hate your product, but very few people feel sort of disinterested or neutral towards your product.
- •You need soul matesYou need, I think, ideally three people in a founding team. For Bill Gates, there was Steve Ballmer. For Steve Jobs, there was Steve Wozniak. Find a few soul mates. to balance you off, that keep you warm, that will pick you up.
- •Define a business model1. Be specific. It's who is buying the product. Specifically who. 2. Don't be unique. VCs want innovative technology, innovative services, innovative products. We do not want innovative business models. 3. Ask women. When you come up with an idea for a company, ask women about the product, the service, the business model.
- •Weave a MATWhich stands for: Milestones: something that increases the valuation of your company. Assumptions: write down and test assumptions Tasks: a task is always used to either test an assumption or to complete a milestone.
- •Make a great pitchThe purpose of a pitch is to get to the next stage of due diligence. The purpose of a pitch is not to try to close the venture capital firm, the partner, or the customer in that meeting.
- •Pitch Rules to follow: 10/20/3010 slides: Title, Problem, Solution, Biz Model, Underlying magic, Marketing & Sales, Competition, Team, Projections, Status & Timeline. 20 min presentation. Use 30 pt font.
- •Fix for who's buyingIgnore the people who are atheists. Atheists are too hard to convert to your religion. Go for agnostics. Go for believers.
- •Suck at the bottomIn most organizations the higher you go, the thinner the oxygen. And therefore the more difficult it is to find intelligent life, right? So, if you dedicate yourself in the sales effort to sucking up, you will be sucking up to the dumbest people in the organization.
- •Be a menschThink to yourself, "I will help people for the sheer pleasure of helping people."
- •Career Path to becoming an Entrepreneur or VCIf you want to be a venture capitalist or an entrepreneur, what you should do is, you should either go to work for a large company or a tech startup and get hands-on experience. The most important thing I think you could learn for an entrepreneur is how hard it is to sell stuff. I think one of the best things you could do is go to work for startup that fails, because that is where you learn a lot.
- •For VCs: The best places and companies to fund, are people under 30 years old who are solving a personal problem.
- •Bonus from Jack Dorsey (Twitter & Square's CEO)If you want to build a product and you want to build a product that is relevant to folks, you need to put yourself in their shoes and you need to write a story from their side.