Marc Nager StartupDay 2011 Speech

The shit that no one talks about

@MarcNager

A few things first...

Define Startup

People2 x Idea = Startup

Note: Enterprise = Business Model (Startup) > 0$

What comes first, the team or the idea?

Your Your IdeaIdea

Team Team IdeaIdea

Validation

Who’s problem are you solving?

It’s not all about $$

Funding ≠ Success

Only 16 percent of the fastest-growing and most successful companies in the US had venture financing

Do you have full Commitment?

diff btw. co-founder and an employee“...oh yeah, i have a developer working for me.”

Have all of these?

TeamValidation

Commitment

Let’s go....

Welcome to the Real World

Startup101A few things to not F-up

1. Work/Life Balance2. Company Culture

3. Mentors4. Legal

5. Accounting

Work/Life Balance

Working long hours doesn’t mean you are working smart

Culture

Advisors/MentorsThe early believers

1. Find people that care2. Be strategic

3. Bad advice can kill you4. Your job isn’t to impress them

Legal1. “Don’t incorporate a hobby”

2. No lawyer should charge for advice3. You get what you pay for

4. Don’t Sign NDAs5. TMs come later

Founders Documents

1. You need a lawyer2. Keep it simple

3. You MUST have an operating agreement

Structure

3 Main Types: LLC, S-Corp, C-Corp

LLC/S-Corp - If you WILL NOT take fundingC-Corp - If you WILL take funding

~$2,500 for basic filingsBuild a relationship. You will need them

again.

Accounting

Money is never an easy topic...

Accounting

1. Know your REAL burn rate2. An annual budget

3. Accounting System4. Know your runway

Do-s

AccountingDon’t-s

1. Operate on a CASH basis2. Use your personal accounts

3. Fall behind4. Hire a FT person until economics of time make

sense

QuickBooks up and running

Documentation

Taxes & FilingsSOOO MANY!

State, City, Federal, other...

DON’T BE LATE! Make a system of reminders

Put it on the wall!

Other things...

Practice your pitch! Assume you suck

You will have shitty daysTrack the metrics that matter

Don’t talk to all the big guys firstAct bigger than you are

At the end of the day...

PivotStealth

The people that matter will judge you by what you DO, not by what you talk about.