First Round Capital released their State of Startups 2019 Report with 3600 submissions of information creating 190,000 + data points. This year’s survey included employees besides Founders covering 950 companies.
We all make them every day. And most of them are ugly (browse Slideshare for a bit and you will see). I speak with companies and founders, head of sales and CEO’s they all lament about how difficult it is to turn around a slide deck yet Guy Kawasaki gave the formula long back. 10/20/30. 10 slides, 20 mins and 30 point font size. Who is listening?
That’s the math that David Cummings wrote about in his post of November 23rd. It is quite simple. If you have $1m of new recurring revenue you are likely looking at a 800k gross margin. Invest half in Marketing and half in hiring two sales people. They will add $1m in new recurring revenue. Rinse and repeat.
Sammy Abdullah Co-Founder of Blossom Street Ventures wrote this overview of Startup CEO salaries which is educative as well as indicative of some trends. He painstakingly gathered and analyzed data as disclosed by companies while filing for their IPO’s and this is what it revealed:
Do you spend time thinking about your startup’s culture, your managerial priorities and how to deal with people?
Kim Malone Scott is the author of Radical Candor and led products like AdSense, YouTube and Double click online sales and ops at Google. She recounted her management lessons from her work at Google, Apple, Dropbox Twitter and 3 failed startups in her post in the First Round Capital blog.
I have referred to Jason Cohen a few times this year as I read his blog at asmartbear.com. Jason is the founder of WP Engine and has quite a track record. As we try to fine tune our pricing in this piece in reference he talks about the pricing positioning – one that could potentially help you 8X your price. Super tempting.
As I dig through the net to find wisdom I found this very comprehensive 2015 piece by Joseph Walla the founder of Hellosign (2012) and HelloFax (2010) earlier. He writes about the numerous lessons learned while taking his two ventures from 0 to 1mn ARR.
What is disruption? Why are we so enamored by this word? Well it came into the tech lexicon possibly from Clayton Christensen’s classic – The Innovators Dilemma. One key point to be made is this : According to Christensen “new companies disrupt incumbents not when they introduce new technology, but when they help create new markets.”
I dug out this very readable profile of Naval Ravikant, written in October 2015, by Sarah Lacy, founder of Pando and Chairman Mom. That month Anglelist was announcing multiple initiatives including a $400m fund with CSC group from China, a vehicle for VC’s to engage early and a Tinder like app for individual jobbers.