Top 20 Startup Quickies

Your top startup questions answered, in less then 10 seconds each.  Inspired today by a full inbox I’m still trying to get caught up on.

[list type=”arrow”] [li]I have a great idea.  Where can I get it funded? [/li][/list]Just an idea?  Your mom, if she’s gullible.

[list type=”arrow”][li]I have no money though.  How can I start a business? [/li][/list]Go make some money.  Then come back.

[list type=”arrow”][li]How do I leave my job to start a business? [/li][/list]Don’t.  Leave your job for self-employment first.  Then start a business.

[list type=”arrow”][li]How do I start the next Facebook? [/li][/list]Go away.

[list type=”arrow”][li]What is the best way to validate an idea? [/li][/list]Getting someone to pay for it.

[list type=”arrow”][li]How much should I charge for my product/service? [/li][/list]As much as customers are willing to pay.

[list type=”arrow”][li]But how do I know what my customers are willing to pay? [/li][/list]Ask them.  Then increase it by 20%.  Now decrease in 5% increments till you hit the sweet spot.

[list type=”arrow”][li]C-Corp, S-Corp, or LLC? [/li][/list]C-Corp.

[list type=”arrow”][li]At what point in my startup do I hire an attorney? [/li][/list]When you’re big enough to where it wouldn’t be a complete waste of my time to sue you.

[list type=”arrow”][li]How do I structure equity? [/li][/list]1 year cliff, vest over 5 years.

[list type=”arrow”][li]My cofounder bailed early with equity.  What do I do? [/li][/list]Convince him/her the company will fail and buy him/her out on the cheap.  Or sell it.  Or start another company.

[list type=”arrow”][li]Should I have investors sign an NDA before speaking with them? [/li][/list]If you want everyone to know you’re an amateur, sure.

[list type=”arrow”][li]Why not? [/li][/list]It causes too much paperwork for investors to handle, and the document is rarely enforceable.

[list type=”arrow”][li]How do I keep people from stealing my idea? [/li][/list]Execute it.

[list type=”arrow”][li]How do I beat my competitors? [/li][/list]Unhappy A-players.  Steal.  Make happy.  Repeat.

[list type=”arrow”][li]How do I attract creative talent? [/li][/list]Give: Flex-time.  Goals, not hours.  Incentives.  Don’t make drug testing a condition of employment.

[list type=”arrow”][li]I’m in B2B.  How do I get my marketing mailings past their secretary?[/li][/list]Put them in a box instead of envelope.

[list type=”arrow”][li]How do I set up an exit strategy?[/li][/list]Find an acquisition similar to your company.  Find the acquirer.  Find the acquirer’s competitor.  Sell it to that guy.

[list type=”arrow”][li]How can my startup sell for top dollar? [/li][/list]World class talent.  Unique intellectual property.  Big market share.

 

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