"Good systems and processes are the birthplace of scalability."
When is the right time to start thinking about sales?… that is the question. Or at least it should be the pivotal question of all tech startups. This week Jeremiah Jones, prolific, engineering-minded entrepreneur and CTO consultant/founder of Techuity, joins SalesFounders to discuss the concept of technical debt and the sales challenges facing tech founders.
Technical Debt vs Sales
When to start selling
A Validated Approach to Selling
Jeremiah is a software entrepreneur and the founder of Techuity, a seed investment firm. He has been involved in many startups as co-founder, consultant, or advisor. He has two technical degrees and an MBA. A favorite hobby is recording classical piano music where he has had over 36 million downloads of his music.
What is the difference between startups that succeed vs those that fail? That’s the question of todays podcast. It’s one thing to have a great idea. It’s a completely different thing to systematically prove that your customers agree. There’s a reason that 93% of startups that scale early never reach the 100k per month and why 74% of prematurely scaled startups will fail. My guest, John Richards, is a wealth of knowledge when it comes to building scalable businesses. In this episode, we discuss the signals of premature scaling, the business model canvas, the surprising differences between grad students and undergrads as entrepreneurs, and the single most important ingredient to a successful startup.
What would you ask a Venture Capitalist and author who has raised over $1B and directly invested in more than 125 different companies? How about, “What can I do to kill my startup?” In this week’s episode we talk with Paul Ahlstrom, the managing director of Alta Ventures and co-author of Nail It Then Scale It, to discuss his wealth of expertise and the 3 startup pitfalls that will guarantee you fail.
Three pitfalls that will guarantee you fail:
Launching your product or service without the specific customer in mind. Don’t just fall in love with your idea and fail to continually think about exactly where it intersects with the customer’s pain you’re trying to resolve.
Going head to head with a market leader for the same customers without being better. Disruption comes from below, through going after an unserved customer. Don’t try to innovate and then go after the very same audience as the giants. It’s much easier to go after non-consumption that consumption. As that new market grows, it will niche the market above it and create M&A opportunities.
Scale it before you nail it. In other words, doing good and obvious things in the improper order. This will cause an inordinate cash burn rate. (By the time you get through a certain amount of cash, your company should be worth more than the amount that went in!) Starve, starve, starve the startup before you nail the PMF.
Key startup hypothesis: For (name your customer) that have (name your problem) we do (name your solution) unlike (name your competitor) through these benefits (name your benefits).
Big Idea Canvas: "Before you try nailing and scaling a startup of your own, you need to be sure that your idea passes the 'who cares' test."
The most powerful asset to an entrepreneur is a sales perspective – an understanding of the “sales process” and an ability to infuse that perspective into every facet of the business. At SalesFounders, our mission is to help entrepreneurs leverage proven sales strategies to bridge the startup sales gap and generate scalable sales revenue.
The SalesFounders Podcast interviews VC’s, entrepreneurs, and thought leaders to explore their journey through the sales gap and learn from their experience. Where did they struggle? What did they learn? and how did they ultimately succeed?
Whether you’re an early stage startup or an established company with existing sales, Salesfounders will empower you with actionable content that you can implement immediately to enhance your strategy, generate revenue and scale.