Building a Company in Ten Easy Steps

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Building a Company in Ten Easy Steps
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1. The Idea

• Write what you know
• Lets do the big thing.
• Well figure it out.
• Every airplane has something wrong with it

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2. Roll Up Your Sleeves

• Two types of entrepreneurs
• Whats your prediction for the fight?

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Or, Put Another Way

• Now, for some of you it doesn't matter. You were
  born rich, and you're going to stay rich. But
  here's my advice to the rest of you take dead
  aim on the rich boys. Get them in the crosshairs.
  And take them down.

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3. Assemble a Team

• Dont be a lonely freak
• Build it and sell it
• Find the maniacs give em a reason to believe
• You want to win a World Series? Give me nine
  players in their contract year.

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4. Raise Money

• Pitch keep it simple short
• Lots of people will pay for it
• We can build it no one else can
• Weve thought about the financials
• Customer validation
• Presentation
• Wiffys keep moving
• Dont leave without the ball
• Answer the question (why do you ask?)
• http//www.sequoiacap.com/process/stepthree_howtof
  ormat.asp
• Dilution you have too much risk, plenty of
  upside (minimize risk)

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5. Dont Screw Up

• Undue concern over dilution, loss of control
• COO, CFO, GC, BD your friends
• A large office, an assistant
• Patented business models
• The pogo stick, the futon
• Its complicated
• Big-company DNA

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6. Build a Culture

• Everyone is a leader
• We are excited by ideas
• We value speed in everything we do
• Everyone sweeps the floors
• Everyone is respected
• We never say I
• We put the customer first
• We do the right thing

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6. Culture (Some Tactical Stuff)

• The lunch gadget
• Safeway
• Large monitors
• Private offices
• Scenic offsites

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7. Build the Product

• A picture worth a thousand words
• 1st and 2nd moments of customer delight
• What can we do that they cant?

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8. Crazy, Do-it-Yourself SM

• 1st customer find someone crazy
• Radical openness the truth will set you free
• DIY PR think like a journalist, after 2 beers
• Start something tradeshow, magazine
• Be yourself
• Be a competitive monster
• Dont worry about the competition
• What do they not want me to do? (speed)
• Why cant we do that?

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9. Manage Others

• Do you have a minute?
• Whats wrong?
• Keep your door open be available at consistent
  times
• Plenty of sleep No Hulk
• Be on time, no e-mail or cell
• Go to them
• Gather information, make decision
• Little-league rule
• Shackleton rule
• Do you trust me?
• Fire early
• Be interested in everything, and nothing else
• Give, control, sympathize

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10. Manage Yourself You Dont Have to Have the
Job

• Its my fault.
• I dont know.
• What should I be doing?
• Whats important now?

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11. If You Lose, Lose Nothing

• The operative word is, I think, love
• If I lose, I lose nothing.
• There the fault lies all in the not-done, all in
  the diffidence that faltered.