rimutaka

How do YC companies fail?

Uplifted from a presentation given by YC CEO Michael Seibel on SaaStr #253 podcast

• Founders think that if some investor gave them money it is a validation of their product

  Founders are a better experts in their startup. Treat the investors as just one more data point.

• Hiring too quickly

  If you have $1m in the bank it doesn't mean you have to hire 10 people. Focus on product-market fit and get traction first.

• Lack of focus

  Trying to solve too many problems at once. Solve one and become indispensible at that. Expand from there.

• Announcing product market fit too early

rimutaka

When to shut down your startup

From a presentation by Aaron Harris, a YC partner

This decision making framework is based on the premise that startups are about growth. If you are not growing you are not a startup. You may be a business, but not a growing one. In most cases if the business is not growing it is shrinking (occupies smaller market share).

1. Are you growing?

• Are things going OK?

  Let's say you are surviving.

• Is the business growing?

rimutaka

Feedback Farm Community Guidelines

Vetting

Members must be humans with real names. Proof of expertise can be any of:

1. Github profile via OAuth
2. Works for a tech company via work email
3. LinkedIn profile via OAuth

rimutaka

Name assessment for an online project

Discard unworkable names as they come up

It won't tell you if the name is good, but it should save you the pain of picking a bad name.

• Is .com available?

  Usually it's the first one to go

• Is there a website behind it?

  Just go to the URL

• Can the domain be purchased?

rimutaka

Validating a new idea

Background search

• Who else is doing it

  Competition

• Who else is trying to do it

  Startups, side projects, open-source projects.

• Who tried and failed > These can be extremely hard to find. Look through investor portfolios, accelerators, online maker spaces, forums, GitHub.

rimutaka

Hard and fast customer service rules

How to save yourself time by not doing things you don't have to

I wouldn't call this a manual for "fanatical" customer support, though.

• Never rush to solve a problem - the problem may solve itself

  In most cases it is something the user did wrong at their end.

• Give them some homework

  Ask them to perform an action. There is nothing more off-putting than homework.

• Mention there may be cost involved

rimutaka

UpWork freelancer vetting

Discard bids and applications not worth pursuing

This is more a list of red flags to discard low quality candidates and build a shortlist.

• All questions answered satisfactorily

  Aim for 3 questions: easy, depth of expertise, attention to detail

• Job success less than 80%

  Definitely out.

• Job success less than 90%

rimutaka

Job offer assessment

Identify weak points and potential issues to help you make a decision

You are the expert on you and what you want from life. No other opinion matters in this process. Just be honest with yourself when answering these questions.

• Is it going to be fun?

  Will you genuinely enjoy the job?

• Is it taking you to where you want to be in life?

rimutaka

Name assessment for an online project

Discard unworkable names as they come up

It won't tell you if the name is good, but it should save you the pain of picking a bad name.

• Is .com available?

  Usually it's the first one to go

• Is there a website behind it?

  Just go to the URL

• Can the domain be purchased?

rimutaka

New market segment assessment

Discard unworkable target market ideas by identifying major road blocks early.

Go through the entire list before digging deep into the difficult questions to identify any obvious show stoppers.

• Name of the product or service on offer.

  E.g. a mobile ANPR camera

• Name the target market in just a few words. > E.g. individuals concerned of the traffic around them