Sleeping Under Your Desk

sleeping under desk

I’ve slept under my desk before.

A few times in fact. It wasn’t comfortable, but it was more comfortable than sleeping on my chair or on top of my desk (I’ve tried both.) Somehow the existence of the desk made it feel a bit safer…

At one point (at one of my startups many years ago) we bought a couch that converted into a bed. I never used it, but my partner did. Others may have as well. There was an air mattress floating around somewhere too.

Startups aren’t fair. Neither is life. It may be that entrepreneurs are so young these days (particularly in the hotbed of Silicon Valley) that they haven’t had enough life experience to appreciate that fact. They’ve got all the enthusiasm and hustle in the world (both needed in massive quantities to succeed) but not the battle scars to understand what it’ll ultimately take.

But startups don’t own the “work insane hours like mad fools” space entirely unto themselves. Have you ever met a doctor that’s on a 24 or 36-hour shift? Now that’s insane, especially since they’re job is to save people’s lives. I’ve known young lawyers who join a firm as a junior associate and work absurd amounts; consistently more, for longer periods of time, than most people in any startup. And big game companies are known for pushing their people into super intense crunch periods before their games are finished. Life is hard. Work is hard. No shit.

There are plenty of examples of people having to work hard. Perhaps too hard. There’s definitely a startup culture around working tons of hours, although you can’t measure success or output simply in hours. Most of the time there’s some level of compensation: high salaries, big bonuses, etc. Whether the compensation matches the expectations is not always obvious or true, but there’s usually something in place. In a startup, the motivation is the experience – you either want to live the experience of the roller coaster or you don’t. I completely understand if you don’t, and even those addicted to the experience question themselves from time to time when things are really bad. Compensation in startups is tricky because salaries are usually lower (certainly at the beginning) than market value. This is often compensated with equity and the dream of future riches. Most don’t get there, which is why those future riches are a difficult lever for motivation, especially when the equity doled out is so little. The earliest employees deserve a bigger piece of the pie.

There are lots of great reasons to join a startup. But there are cons too. That’s life – pros and cons – and being able to balance those to your own comfort level is important for your survival and success. I don’t see the level of complaining that Michael Arrington makes reference to, but it doesn’t surprise me. The grass is always greener on the other side right?

Whenever this discussion around work/life balance, startup culture, startup “realities”, etc. emerges I always go back to a post I wrote in July, 2007 when I was starting Standout Jobs and my second son had just been born: How to Start a Company and Family at the Same Time. It still makes me nod and smile, and although my kids are a bit older now, it’s still a crazy struggle every day to figure out the right balance between family, startup / job, myself, my wife and life. Who knows if I’ve got it right?

Joining a startup – particularly an early stage one – isn’t a simple career choice, it’s a lifestyle choice. You have to go in eyes open and not only understand what’s coming, or just appreciate what’s coming, but embrace the experience fully, and be in it because of the experience.

And every once in awhile, that’ll mean sleeping under your desk…

Man lying under desk image from Shutterstock.


Promises and Platitudes – The Dangers of Low Quality Advisors

Having great mentors can make a huge difference for you, individually, as an entrepreneur. I’ve never had a mentor, but looking back I’m certain it would have been very helpful. Even today. Mentors are there to help you, and by extension (potentially) your startup. But even if your startup fails, or you’re not going where you want with your job, etc. a mentor is still there adding value.

The same should be true with advisors. Advisors are there first and foremost to work with you as the founder of a company. Your Board of Directors is different. They have other responsibilities beyond helping you (as tough as that may sound.) But advisors are yours – you should pick them, and consider them mentors and friends that have your best interests at heart.

But the reality with advisors is that they’re often low quality and not particularly helpful. There are “celebrity” advisors that attach their names to projects, but don’t really do much. These might help with some buzz and momentum, but it won’t be sustainable. There are also advisors that commit a small amount of time but then do nothing but make promises and platitudes.

If your advisor doesn’t really understand your business (or you as a person – strengths, weaknesses, etc.) then their contribution is likely to be filled with common platitudes about startups and running businesses. The same sorts of things you can read elsewhere…Having said that, being told something by someone can be more effective than reading it, but still, this isn’t really enough to add significant value.

A lot of advisors are brought in to make introductions. And this can be extremely valuable. But again, if the advisor isn’t really committed, then how meaningful are the introductions? If someone is doing advisory work for 50 startups … are they really contributing value?

Pick your advisors carefully. Build a relationship with them beforehand, get to know them as professionals and people. Be demanding. Advisors are busy people, and they’ll forget promises they’ve made quickly if you’re not constantly stoking the flames.

And don’t assume you automatically have to give up equity in your startup either. I’ve seen this in a few cases; meetings between potential advisors and entrepreneurs are setup, and the advisor basically says, “Give me X% of your startup and we can work together.” Um, no. That’s not how a relationship is built, and it’s an unprofessional way for advisors to work. If an advisor is proving his or her value, you’ve built a relationship over some time, things are going well, then you formalize the relationship. Giving options or equity to advisors makes perfect sense – but you’re not obligated to do so out of the gate.

Advisors are people. They have the same motivations, goals, psychological issues, fears, phobias, etc. that you have. And they’ve got big egos too. You attract the best advisors based on personality fit, value they actually bring (not promise to bring), and through your understanding of what makes each individual advisor tick. Figure out what will convince someone to be your advisor, and pitch that.

Be wary of promises and platitudes. Take your time building your advisory network (or board, or team). But once you’ve got an advisor, make sure you get as much value out of them as you can (being respectful of their time, and making sure they’re getting enough out of the relationship too!) You need to be proactive with advisors – they won’t come knocking on your door asking if you need help – so go through their LinkedIn networks, figure out who they know, figure out how they can help, ask, be persistent, and reward them as the relationship strengthens.


Competitive Research 101 for Startups

Whenever I get pitched by a startup, I always look to see if they’ve properly identified the competition. For starters, I can guarantee you that someone is already working on the same idea. It’s a universal truth. But more importantly than that, competitive research and analysis is one of those areas that is often horribly lacking from any pitch. There are a few reasons for this:

  1. Entrepreneurs don’t want to know. Nobody likes to find a bunch of competitors doing the same (or nearly the same) thing. So entrepreneurs put blinders on.
  2. Entrepreneurs are thinking too small. This is too often the case in Montreal, where entrepreneurs think of Quebec as a market. Even looking at your local market as an entry point is risky if you haven’t done your homework elsewhere.
  3. Entrepreneurs have big egos, which makes them believe what they’re doing is unique and awesome. Egos are needed, but not if they blind you completely.
  4. Entrepreneurs don’t bother looking. This comes down to not tackling your startup in a diligent, rigorous manner. Too often entrepreneurs get an idea, think they’ve hit a home run and start running wildly (in any and all directions.)

The existence of competition should not (necessarily) stop you from starting your company. It should color your thinking, create the appropriate context and help educate you on what’s going on in the market. And it’s one of the first places investors will look to help educate themselves on the market. Most investors aren’t experts in every market they invest in (they may not be experts in any of the markets!), and so a big part of their due diligence up front is to check out the competition.

This happened to me just a few days ago. I received a pitch, looked at it, and started doing some quick research. This is usually the first thing I do if the pitch gets passed my basic “sniff test” judgement (i.e. does it make any sense at all?) In this case I knew of at least one competitor. That’s going to happen a lot when pitching investors – they see a ton of deals – so they have cursory knowledge on a lot of companies. Then I went to Google and tried a couple of relevant search terms. In this particular case, one of the top 3 listings looked like a competitor. I checked them out and it seemed very similar. I saw a few other ancillary competitors as well. This took no more than 10-15 minutes.

I emailed the entrepreneur asking about competition. I listed a couple of references, including the one that looked like a direct match. I asked flat out, “What’s the difference between you and Competitor X?” He replied:

Not much. Fuck.

He followed that up with a more detailed comparison (after he spent some time looking at the competitor), but this essentially kills it for me. The fact that this entrepreneur hadn’t really looked at this competitor – which I had found in 10 minutes with very little understanding of his market – is really bad news. And before you think this is unique to this guy, it’s not. This happens all the time!

Competitive research is an important point of due diligence for investors. More importantly, you need to do it for your own edification. You need to demonstrate and actually have a level of expertise in your market that’s both broad and deep. Domain knowledge is a key advantage; and I bundle in competitive knowledge as a key component of that.

These days I use Crunchbase for competitive research. The profiles in there are often quite detailed and some of them have links to other competitors. With one competitor’s name you can typically find a bunch of others. AngelList is also extremely useful (although a lot of the information is probably hidden to entrepreneurs.) Try Quora as well. And Google almost always returns interesting results. Find a competitor’s name and type in, “[company name] competitors”.

Do your homework. Know your competitors and how you differentiate from them. This isn’t the crux of your pitch to investors, but it’s gotta be there. If a prospective investor (or customer, partner, etc.) can find a competitor in 10 minutes and you don’t really know who they are and how you stand against them, you’re in serious trouble.


About Ben Yoskovitz
I recently joined GoInstant as VP Product. GoInstant changes how we use the web, making it shareable like never before.

I'm also a Founding Partner at Year One Labs, an early stage accelerator in Montreal. Previously I founded Standout Jobs (and sold it). I'm a hands-on startup guy, helping companies grow successfully from the idea forward. You can reach me at byosko at gmail dot com.

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The opinions and commentary on this site are mine and mine alone. They do not necessarily reflect the opinions or positions of my employer, GoInstant.