TUE 27 AUGUST 2013 | 11.47 AM
0 COMMENTS“The Ultimate Cheat Sheet For Starting And Running Your Business” comes from Techcrunch and an article written by James Altucher. Some of it is tongue and cheek, but there are pearls in the list.
Here are some of my favorites:
4) Should you go for venture capital money? First build a product, then get a customer, then get friends-and-family money (or money from revenues which is cheapest of all) and then think about raising money. But only then. Don’t be an amateur.
– You cannot get any more succinct than this. It’s pretty clear that raising VC capital comes last after a lot more work and avenues are explored.
5) Should you patent your idea? Get customers first. Patent later. Don’t talk to lawyers until the last possible moment.
– Who wouldn’t respect this one? Seriously though, at some point you do need to protect your ideas (at least the ones that are patentable). However, it is expensive and should be done at the right time. I suppose the biggest question is, when is the right time.
6) Should you require venture capitalists to sign NDAs? No. Nobody is going to steal your idea.
– Not sure I totally agree with this one, except it being specific to VCs. It does certainly seem to take a shot at inflated sense of worth some people may get for their idea.
13) Do you listen to venture capitalist?
Yes, of course. They gave you money. But then don’t do anything they ask you to do.
– Just funny….. 😉
24) I have lots of ideas. How do I pick the right one?
Do as many ideas as possible. The right idea will pick you.
– I really like this point. Not only do I agree, but in keeping an idea factory cranking out new ideas, it is definitely likely that some that are discarded today, become much more attractive and viable in the long run, maybe slightly tweaked from the original. My advice, document and store all ideas, you never know when they’ll be useful later.
50) How do I prepare for a meeting?
Know everything about the clients: competition, employees, industry. Over-read everything.
– From all the years I’ve spent in the software industry, consulting and selling products, I can’t stress the importance of this one. There is nothing more insulting than going into a meeting where someone is trying to sell you something, and they ask you to explain your business to them in detail. I do not mean asking for elaboration of specific points or aspects, I mean the instances (I’ve seen many) where the “seller” has no clue what their potential customer does. This shows skin in the game, taking time to learn and then to ask insightful questions.
63) Should I negotiate the best terms with a VC?
No. Pick the VC you like. Times are going to get tough at some point, and you need to be able to have a heart-to-heart with them.
– In working with VCs or people in general, sometimes the most important thing is not the service, funding or other aspects from the relationship, but the ability to speak candidly with them in difficult conversations and times.
74) I made a mistake. Should I tell the client?
Yes. Tell him everything that happened. You’re his partner. Not the guy that hides things and then lies about them.
– Can you get away without being honest, sure, but only for a short time? Don’t be short sighted and always think of the long term implications of not being forthright and honest. Also, keep in mind that many industries fit the adage of “It’s a small world.”. Being dishonest with one client and your likely to get a bad reputation quickly across the entire space or vertical you are targeting. It really is the best policy to be honest.
Read the full list and article from the link below.
-Chris
Techcrunch – James Altucher article
