A friend once told me, if you are learning – then you aren’t failing. I’ve put a lot of my learnings as an adventurer in an essay on tinkeron.com.
Do have a look and look forward to your thoughts - Why we start up.
An Open Letter to CEO’s, Tech, MnA Execs of Incumbents, Entrepreneurs.
This letter is greatly inspired by Dalton Caldwell’s open letter to Mark Zuckerberg and is aimed at making a corrective impression with those who drive the M&A in technology companies across India. This is an opinion letter written by me based on my experiences of over 6 years as an entrepreneur in the Technology and Internet space in India. I have only the entrepreneurs perspective to offer. But I do believe my experience and views will matter to you, especially if you are in any way connected to or affected by MnA’s of startups. This was not my first conversation around acquisition, I’ve had several in my journey. The funny thing is this story repeats itself every time. In fact, several entrepreneurs who read this post relate to it with their own stories which follow this pattern. Enough that we might even call it a broad trend.
A couple of months ago I was invited to meet with different executives of a potential acquirer with the purpose of acquisition of a technology that I’ve created. What we were selling was strategically ‘aligned’, could potentially expand the acquirers business, get them to-market significantly ahead of time, and in turn solve a valuable business problem for both.
(c) 2001, Saras D. Sarasvathy.
Professionals who work closely with them and researchers who study them have often speculated as to what makes entrepreneurs “entrepreneurial”? Of course, entrepreneurs also love to hold forth on this topic. But while there are as many war stories and pet theories as there are entrepreneurs, and researchers, gathering together a coherent theory of entrepreneurial expertise has thus far eluded academics and practitioners alike.
What are the characteristics, habits, and behaviors of the species entrepreneur? Is there a learnable and teachable “core” to entrepreneurship? In other words, what can today’s entrepreneurs such as Rob Glaser and Jeff Bezos learn from old stalwarts, such as Josiah Wedgwood and Leonard Shoen? Or even within the same period in history, what are the common elements that entrepreneurs across a wide variety of industries share with each other? In sum, is there such a thing as “entrepreneurial thinking” that can be applied across space, time and technology?
As I look forward to April, I can sense the anticipation of talented individuals who are about to embark on remarkable journeys. This is also is when the foundations for these companies are being laid. Some will be starting out with their friends. As the gears churn away in the minds of the founders, they are carefully going over an important question in their minds – how can I include my co-founder best in what we’re about to do? Founding teams are hard to build, and once built they should be equally hard to pry apart. And yet it happens all too often.
… It was like a breakup scene from a Hollywood movie: it was raining and we were arguing in the street. We couldn’t even agree on where to walk next. And so we parted in anger, heading in opposite directions. As a metaphor for our company’s failure, this image of the two of us, lost in the rain and drifting apart, is perfect.
These words are from Eric Ries’ book ‘The Lean Startup‘. Not very long ago, I had bought into the vision of a couple of ideas and had contributed myself to each one. Along the way, spin-outs were proposed and a decision had to be made. I think I made the right one by letting go, especially considering I personally was not contributing and did not wish to continue contributing in startup mode at the time. Erics’ words closely reflect the ensuing turbulence in my mind at the time. I could not understand my choice as I felt that I was missing deserved attribution.
If one were to think of reality in only this one way, the point of it all would be sadly missed. It would be like trying to guess what an entire Jigsaw puzzle might look like based on just a single piece. When you start off together you know so little about each other except for a gut feeling that you are both going in the same direction and that you would like to share success. Given enough time and pressure, your relationship will develop into something that is closer to family and is less like a purely professional one. Beyond family, a co-founder can enrich your venture in a way that resonates with the spirit of your team and complement your own skills and mindset.
If we look at those who work with us in this way, we might be slightly embarrassed about holding back on many things. For instance, you may have thought your idea and existing work is worth a great deal of equity, or you might have missed out on attributing someone else in the past. That’s alright. It happens to the best of them. Perhaps you were just not ready for it at the time. Founders can choose to auto-adjust to each other to make these deviations irrelevant. It is also ok to find out that things are not going to work out after all. If that is where you are, the best piece of advice you can get would be to accept it and continue to move forward.
Building a founding team is hard work and in contrast it might be better to focus on a challenge that comes before that – how to get started. Success is an irresistible magnet that will help you attract the best talent. From that point, finding a right co-founder is as simple as looking for the right vibes.
If you do have the opportunity to start out with someone I suggest that you err on the side of family and not on the side of being professional. It will lay the foundation to what I believe is necessary for a great company. It might sound absurd but not much more than common wisdom that great companies are especially so because of great founders – not limited by an exact sense of ownership, or propriety.
A 1,000+ emails sent. Worked with the largest, to the smallest customer, all the way down to their end-users. Stumble occasionally but get back up and keep course – and then completely out of the blue, you strike the right note with someone. Can’t help but share this badge I earned.
What a delight to read your letter this morning as I opened my daily emails! You belong in customer service as you understand the pure human intent inherent in the term! Several things… thank you for communicating to me what my next step is; sending a message having a tone that tells it’s reader it was generated by a human being; and for being culpable, responsible for the information being sent out. Again, thank you for starting my morning off today with a happy, oft absent, nod to being genuine! Kudos to you!
(dec. 8th, 2011)
Merry Xmas & a Happy New Year to all!
* Fab.com: Customer Service Tips.