

Lessons from my failed start-up - saqibwaqar
http://www.saqibwaqar.com/

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saqibwaqar
My start-up just failed. It is a story that is much more common than the
successes we read about every day so I wanted to pen down my pitfalls and what
I wish I had done differently.

For context, we had a good idea, a great team, early validation from customers
and a very strong network. We failed because we didn’t get enough done fast
enough and generally lacked a sense of urgency. As CEO it was entirely my
fault.

Here are 3 things that I did wrong

Chased small money

We were bootstrapping so I thought I could spare a few hours a week to help
pay the bills so I taught a few online classes. Over time I began to see those
classes as a priority because they gave me immediate cash flow. The jobs paid
poorly so I didn’t really make any money but my startup suffered a lot because
of my indulgences

Failed to motivate my team

As CEO my number 1 responsibility was to hustle, motivate and build a culture
of responsibility and I failed miserably. I adjusted expectations to
accommodate the team, didn’t push for outcomes for my own work and was
generally very relaxed. I should have been over-bearing and knocking down
walls instead of being sensitive or worrying about stepping on toes

Basked in the glory of the ‘start-up’

We did a lot of great work; we got feedback from VCs and Angels, got accepted
to a couple of top-notch accelerators and had great support from customers –
all things that pushed us towards success. But we never took the next step of
raising capital, launching a beta product or growing our team. All because I
was convinced that our product needed more time, we needed a longer list of
customers and our value proposition needed to be less hazy. In hindsight, I
was just lying to myself. I had just grown comfortable in the status quo and
the leisurely pace. I was, after all, running a start-up and pursuing an idea
that I was passionate about and could potentially change the world. Why would
I want to change that and bring in outside pressure?

These mistakes are pretty obvious and I must be stupid and lazy to make them
right? Perhaps that’s true. But my start-up isn’t the only one to fail because
of these issues; there are many others who have fallen prey to the same
mistakes. I also have ambitions to do this all over again so here a few things
that I will do differently

Raise capital as early as I can

I will not wait to build a product, figure out product market fit or built the
perfect team. I will raise capital as early as possible and be happy with any
size of the round. I think this helps in 2 ways. First, at any early stage,
you always need capital so the cash infusion will help and it is always nice
to know that there is some cash in the bank. Second, capital creates external
pressure that makes you hustle and accountable to someone other than the
mirror. This means that I will no longer be able to say that things are going
well but rather will have to say that we will have 5 customers and a beta
product next month. And someone will fire me if I don’t. That is progress for
everyone.

Have the team in one room

I will ensure that our team works in one room, every single day. If we are
going to do weekend work, then we will do it at the office, right next to each
other. This is important because it will not only let us help each other but
also create a culture of accountability. We will know exactly what everyone
else is doing and ensure that we call each other out if we slack. We will not
be distracted by our homes, our errands, our pajamas and in effect breathe
down each other’s neck. This responsibility is good.

No videos, no power-point just product and customers

I will not make any videos or power-points and pitch using an email that is 3
sentences long. Pitches, videos and power-points take an incredible amount of
time that is better spent on building product and developing customers,
especially when all you have is the founding team. Besides if I can’t
synthesize the sell in 3 sentences then I probably don’t have the value
proposition as firmed up as it has to be. Forcing this brevity is a good use
of our time and focus and will undoubtedly please the receiver of my email.

So what’s next?

Sitting down to write this article has already ensured that I will be more
successful in my next start-up. I have not only been able to acknowledge
failure but also have a perspective on what went wrong. I will be more
aggressive, motivational, focused and humbler and my next start-up will be
better for it. You may even get to read all about it if we make it big. Or you
may read about the one after that. The point is that one my start-ups will
make it someday and these lessons will have played their role. I hope they can
play a role in your success too.

