Startup Day Quotes

Do you know great minds enjoy excellence, average minds love mediocrity and small minds adore comfort zones?

As a technology startup, from the day you start until your last breath, you will be in a furious race against time. No technology startup has a long shelf life. Even the best ideas become terrible ideas after a certain age.

When you walk in silence your excellence will always speak for you.

Entrepreneurs don't have weekends or birthdays or holidays. Every day is my weekend, my birthday, my holiday. OR, every day is my work day. Mostly it's a choice.

That’s why hiring consultants doesn’t work. Part-time employees don’t work. Even working remotely should be avoided, because misalignment can creep in whenever colleagues aren’t together full-time, in the same place, every day. If you’re deciding whether to bring someone on board, the decision is binary. Ken Kesey was right: you’re either on the bus or off the bus.

Hard work works harder than luck!

IP is an intangible asset—an idea converted into transferable personal property rights through patents, trademarks, copyrights, service marks, and trade secrets. IP covers every famous animated character you’ve ever heard of, the logos on your clothing. IP covers products and services you use every day—from flashlights to mobile phones, packaging to cars, food and beverage products, to smart thermostats. IP is not only for big businesses. Most start-ups and event microbusinesses have IP of some kind. 

the less energy people expend on performance, the more they expend on appearances to compensate.

While overpaid CEOs take long vacations and hide behind e-mail autoresponders, some programmer is working eighteen-hour days coding the start-up that will destroy that CEO’s business.

In one of their last email exchanges, he recommended two management self help books to her, 'The No Asshole Rule: Building a Civilized Workplace and Surviving One That Isn't' and 'Beyond Bullshit: Straight-Talk at Work', and included their links on Amazon.com. He quit two days later. His resignation email read in part: 'good luck and please do read those books, watch The Office, and believe in the people who disagree with you

Over the years, I've learned that the first idea you have is irrelevant. It's just a catalyst for you to get started. Then you figure out what's wrong with it and you go through phases of denial, panic, regret. And then you finally have a better idea and the second idea is always the important one.

HONESTY COMPOUNDS. It compounds exponentially. No matter what happens in your bank account, in your career, in your promotions, in your startups. Honesty compounds exponentially, not over days or weeks, but years and decades. More people trust your word and spread the news that you are a person to be sought out, sought after, given opportunity, given help, or given money. This is what will build your empire.

Do what you love and love what you do, with excellence.

Start each day with a positive thought and a grateful heart.

I think there are very few people who have a capacity to see the future. So it can be difficult when you are talking about something where nothing about it exists yet.

Sunny, in fact, had the master-servant mentality common among an older generation of Indian businessmen. Employees were his minions. He expected them to be at his disposal at all hours of the day or night and on weekends.

Starting each day with a positive mindset is the most important step of your journey to discovering opportunity.

Much better to figure out where the marketplace is going to be in a few years, focus on providing a solution to that, and let the market forces catch up to you.

Begin each day with a positive thought and a grateful heart.

Not having a recognised brand & trying to stand out in the market is like going to the market without any goods.

It’s 100% easier to increase your time and freedom by eliminating the dumb things you do every day than to try to be 100% more productive doing more dumb things.

Writing and achieving your goals is not failure, not having a goal to write in the first place is the start of failure.

One of the things I’ve learnt about goals is people will write them or wrong them.

Entrepreneurs who kept their day jobs had 33 percent lower odds of failure than those who quit. If you’re risk averse and have some doubts about the feasibility of your ideas, it’s likely that your business will be built to last. If you’re a freewheeling gambler, your startup is far more fragile.

A good plan, violently executed now, is better than a perfect plan next week.” General George S. Patton, Jr.

Hustle is relentlessly pursuing what needs to be done at the time.

The path you make is the one that follows you, and you walk on that path day or later.

I'd say determination is the single most important quality in a startup founder. If the founders I spoke with were superhuman in any way, it was in their perseverance.

Midway through that day’s meeting, Elizabeth made a big show of giving Miquelon an American flag that she said had been flown over a battlefield in Afghanistan. She’d written a dedication to Walgreens on it.

A startup is a company that builds some kind of technology that people want. The mistake that a lot of founders make is to build something they think users want, but that users don’t actually want." - Paul Graham

In Israel’s elite military units, each day is an experiment. And each day ends with a grueling session whereby everyone in the unit—of all ranks—sits down to deconstruct the day, no matter what else is happening on the battlefield or around the world.

The virus is causing something akin to panic throughout corporate America, which has become used to the typos, misspellings, missing words and mangled syntax so acceptable in cyberspace. The CEO of LoseItAll.com, an Internet startup, said the virus had rendered him helpless. “Each time I tried to send one particular e-mail this morning, I got back this error message: ‘Your dependent clause preceding your independent clause must be set off by commas, but one must not precede the conjunction.’ I threw my laptop across the room.”  . . . If Strunkenwhite makes e-mailing impossible, it could mean the end to a communication revolution once hailed as a significant timesaver. A study of 1,254 office workers in Leonia, N.J., found that e-mail increased employees’ productivity by 1.8 hours a day because they took less time to formulate their thoughts. (The same study also found that they lost 2.2 hours of productivity because they were e-mailing so many jokes to their spouses, parents and stockbrokers.)  . . . “This is one of the most complex and invasive examples of computer code we have ever encountered. We just can’t imagine what kind of devious mind would want to tamper with e-mails to create this burden on communications,” said an FBI agent who insisted on speaking via the telephone out of concern that trying to e-mail his comments could leave him tied up for hours.

The goal - at least the way I think about entrepreneurship - is you realize one day that you can't really work anyone else. You have to start your own thing. It almost doesn't matter what the thing is. We had six different business plan changes, and then the last one was PayPal. If that one didn't work out, if we still had the money and the people, obviously we would not have given up. We would have iterated on the business model and done something else. I don't think there was ever clarity as to who we were until we knew it was working. By then, we'd figured out our PR pitch and told everyone what we do and who we are. But between the founding and the actual PayPal, it was just like this tug-of-war where it was like, "We're trying this, this week." Every week you go to investors and say, "We're doing this, exactly this. We're really focused. We're going to be huge." The next week you're like, "That was a lie.

I didn't really want to patent it because, for one, I don't like software patents, and, two, if you patent it, you make it public. Even if you don't know someone's infringing, they will still be getting the benefit. Instead, we just chose to keep it a trade secret and not show it to anyone.

Paul Buchheit: I'm suddenly reminded that, for a while, I asked people if they were playing Russian Roulette with a gun with a billion barrels (or some huge number, so in other words, some low probability that they would actually be killed), how much would they have to be paid to play one round? A lot of people were almost offended by the question and they'd say, "I wouldn't do it at any price." But, of course, we do that everyday. They drive to work in cars to earn money and they are taking risks all the time, but they don't like to acknowledge that they are taking risks. They want to pretend that everything is risk-free.

Wozniak: Well, we added up to the total everything that was needed. If there was anything that neither one of us knew how to do, Steve would do it. He'd just find a way to do it. He was just gung ho and pressing for this company to be successful. And me, I was pretty much only in my technical head with the circuits.

A lot of the machines that Google is built on—commodity is the polite word for them—they're regular PCs and so they're not always the most reliable.

From that point on, she came to work in a black turtleneck and black slacks most days.

Building a house every day does not necessarily mean that you are building a house every day.

..determination is the most important quality in a founder, open-mindedness and willingness to change your idea are key, and all startups face rejection at first.

The key is to forget about automation and figure out what you can do manually.

Entrepreneur, if your're going to start up, make sure you start up with excellence in mind.

Entrepreneurship is about formulating a plan and then making choices, both big and small, that will help you to reach the next step of that plan. As

The most successful people have the same twenty-four hours in a day that you do.

Every day is full of opportunities, but an opportunity is full of only so many days.

when you build only software that you absolutely need, you don't get more software than you'll actually use.

Anyone can create a job for themselves. But not everyone can change the world

Finished ought to be an F-word for all of us. We are all works in progress. Each day presents an opportunity to learn more, do more, be more, grow more in our lives and careers.

Innovations seem inevitable in retrospect, but at the time it's an uphill battle.

Pick a big enough project, something that's really hard, something that over the years you can work on.

common MVP mistake is over-emphasizing the “minimum” and under-emphasizing the “viable.

One of the most common mistakes that start-ups make is not focusing on building a brand starting on day one.

Whatever you begin will see the light of day provided you can dream big and be a ruler over your dreams with persistent actions.

you are not embarrassed by the first version of your product, you’ve launched too late.” Reid Hoffman

The beauty of entrepreneurship lies in witnessing those determined spirits, who wake up every day to multiple rejections and yet still focus on 'failing' forward.

What I’ve found works best for me personally is a pen-and-paper list for each day with ~3 major tasks and ~30 minor ones, and an annual to-do list of overall goals.)

Entrepreneurs who kept their day jobs had 33 percent lower odds of failure than those who quit. If you’re risk averse and have some doubts about the feasibility of your ideas, it’s likely that your business will be built to last. If you’re a freewheeling gambler, your startup is far more fragile. Like the Warby Parker crew, the entrepreneurs whose companies topped Fast Company’s recent most innovative lists typically stayed in their day jobs even after they launched. Former track star Phil Knight started selling running shoes out of the trunk of his car in 1964, yet kept working as an accountant until 1969. After inventing the original Apple I computer, Steve Wozniak started the company with Steve Jobs in 1976 but continued working full time in his engineering job at Hewlett-Packard until 1977. And although Google founders Larry Page and Sergey Brin figured out how to dramatically improve internet searches in 1996, they didn’t go on leave from their graduate studies at Stanford until 1998. “We almost didn’t start Google,” Page says, because we “were too worried about dropping out of our Ph.D. program.” In 1997, concerned that their fledgling search engine was distracting them from their research, they tried to sell Google for less than $2 million in cash and stock. Luckily for them, the potential buyer rejected the offer. This habit of keeping one’s day job isn’t limited to successful entrepreneurs. Many influential creative minds have stayed in full-time employment or education even after earning income from major projects. Selma director Ava DuVernay made her first three films while working in her day job as a publicist, only pursuing filmmaking full time after working at it for four years and winning multiple awards. Brian May was in the middle of doctoral studies in astrophysics when he started playing guitar in a new band, but he didn’t drop out until several years later to go all in with Queen. Soon thereafter he wrote “We Will Rock You.” Grammy winner John Legend released his first album in 2000 but kept working as a management consultant until 2002, preparing PowerPoint presentations by day while performing at night. Thriller master Stephen King worked as a teacher, janitor, and gas station attendant for seven years after writing his first story, only quitting a year after his first novel, Carrie, was published. Dilbert author Scott Adams worked at Pacific Bell for seven years after his first comic strip hit newspapers. Why did all these originals play it safe instead of risking it all?

People like the idea of innovation in the abstract, but when you present them with any specific innovation, they tend to reject it because it doesn't fit with what they already know.

Some famous person said, "Success is 50 percent luck and 50 percent preparedness for that luck." I think that's a lot of it. It's being ready to take advantage of opportunities when they arise.

Even though you read much Zen literature, you must read each sentence with a fresh mind. You should not say, “I know what Zen is,” or “I have attained enlightenment.” This is also the real secret of the arts: always be a beginner.” - “When you are sitting in the middle of your own problem, which is more real to you: your problem or you yourself? The awareness that you are here, right now, is the ultimate fact. ” - “Knowing that your life is short, to enjoy it day after day, moment after moment, is the life of “form is form and emptiness is emptiness.” - “You may feel as if you are doing something special, but actually it is only the expression of your true nature; it is the activity which appeases your inmost desire. But as long as you think you are practicing zazen for the sake of something, that is not true practice.” - “The most important thing is to forget all gaining ideas, all dualistic ideas. In other words, just practice zazen in a certain posture.

Because you'll go through so many changes, I don't think it pays off to overanalyze the first business plan, for example. The first business plan is there to make sure you can use Microsoft Word.

At the end of the day, it's just grape juice. No one needs anything that I make. The last thing we need is another wine on the shelf. So that just makes me grateful for the people who do enjoy it.

The most important thing to understand is that the job of a big company executive is very different from the job of a small company executive. When I was managing thousands of people at Hewlett-Packard after the sale of Opsware, there was an incredible number of incoming demands on my time. Everyone wanted a piece of me. Little companies wanted to partner with me or sell themselves to me, people in my organization needed approvals, other business units needed my help, customers wanted my attention, and so forth. As a result, I spent most of my time optimizing and tuning the existing business. Most of the work that I did was “incoming.” In fact, most skilled big company executives will tell you that if you have more than three new initiatives in a quarter, you are trying to do too much. As a result, big company executives tend to be interrupt-driven. In contrast, when you are a startup executive, nothing happens unless you make it happen. In the early days of a company, you have to take eight to ten new initiatives a day or the company will stand still. There is no inertia that’s putting the company in motion. Without massive input from you, the company will stay at rest.

Paul Buchheit: Then you have what we do with PCs, and that's technically pretty challenging—to take this big network of machines that are unreliable and build a big, reliable storage system out of it.

The resignations infuriated Elizabeth and Sunny. The following day, they summoned the staff for an all-hands meeting in the cafeteria. Copies of The Alchemist, Paulo Coelho’s famous novel about an Andalusian shepherd boy who finds his destiny by going on a journey to Egypt, had been placed on every chair. Still visibly angry, Elizabeth told the gathered employees that she was building a religion. If there were any among them who didn’t believe, they should leave. Sunny put it more bluntly: anyone not prepared to show complete devotion and unmitigated loyalty to the company should “get the fuck out.

Venture capitalists, with the exception of people like Don Valentine, would tell you that they'd rather fund a great team than a great idea. The reason is that if they have a bad idea, great teams can figure out a better one. Mediocre people even with a great idea can screw it up in its execution. Or if they have a bad idea, then they aren't going to be in a position to think about how to change it. They're just going to pursue it blindly.

<...> I think we didn't know what we were doing. I think the hallmark of a really good entrepreneur is that you're not really going to build one specific company. The goal—at least the way I think about entrepreneur- ship—is you realize one day that you can't really work for anyone else. You have to start your own thing. It almost doesn't matter what that thing is. We had six different business plan changes, and then the last one was PayPal.

Some people say, "What difference does it make what color the winemaker is that made the wine? Judge the wines off their own merit." Like, of course. And I do believe that my wine is judged off its own merit. But the fact is that when you walk into places and people can't believe that you're the principal or you're the owner or you made the wine, it's mind-blowing to me some days. It's like, wow. That's why we need to continue talking about it.

Livingston: What is the key to excellence for an engineer? Wozniak: You have to be very diligent. You have to check every little detail. You have to be so careful that you haven't left something out. You have to think harder and deeper than you normally would.

a warning to young entrepreneurs: take money from a venture capitalist, and you’ll end up working for some smug, sarcastic, know-it-all prick like this guy, who will constantly tell you that you’re not working hard enough while he spends his days getting into arguments on Twitter.

Tyler was to his left, and to his right were the three other witnesses who had joined them for the headlining session of the first day of testimony. Directly next to Cameron sat Fred Wilson, a seasoned venture capitalist veteran who had moved into the cyber currency space in a big way, with the countenance of someone who had seen a number of technology waves, including the first dot-com boom and bust. Next to Wilson, the up-and-comer venture capitalist Jeremy Liew, a partner at Lightspeed Venture. And at the end of the bench, Barry Silbert, the founder and CEO of the startup SecondMarket.

The lawyers I worked with ran a valuable business, and they were impressive individuals one by one. But the relationships between them were oddly thin. They spent all day together, but few of them seemed to have much to say to each other outside the office. Why work with a group of people who don’t even like each other?

Try to imagine the calamity of that: Zack, age twenty-eight, with no management experience, gets training from Dave, a weekend rock guitarist, on how to apply a set of fundamentally unsound psychological principles as a way to manipulate the people who report to him. If you put a room full of journalists into this situation they would immediately begin ripping on each other, taking the piss out of the instructors, asking intentionally stupid questions. If the boss wants us to waste half a day on Romper Room bullshit, we could at least have some fun. My HubSpot colleagues, however, seem to take the DISC personality assessment seriously. The

The buzz about Google these days is that it's like America itself: still the biggest game in town, but inevitably and irrevocably on the decline. Both are superpowers with unmatched resources, but both are faced with fast-growing rivals, and both will eventually be eclipsed. For America, that rival is China. For Google, it's Facebook. (This is all from tech-gossip blogs, so take it with a grain of salt. They also say a startup called MonkeyMoney is going to be huge next year.) But here's the difference: staring down the inevitable, America pays defense contractors to build aircraft carriers. Google pays brilliant programmers to do whatever they want.

The pharmaceutical companies were going to use Theranos’s blood-testing system to monitor patients’ response to new drugs. The cartridges and readers would be placed in patients’ homes during clinical trials. Patients would prick their fingers several times a day and the readers would beam their blood-test results to the trial’s sponsor.

When someone tells me they have a founder they want to introduce me to but they’re worried because the person is a wild card, I set that meeting up for the next day. Angel investors are looking for wild cards, because the best founders are typically inflexible and unmanageable, pursuing their visions at the expense of other people’s feelings.

In big companies, there's always going to be more politics and less scope for individual decisions. But seeing what startups are really like will at least show other organizations what to aim for. The time may soon be coming when instead of startups trying to seem more corporate, corporations will try to seem more like startups. That would be a good thing.

Apparently sprinters reach their highest speed right out of the blocks, and spend the rest of the race slowing down. The winners slow down the least. It's that way with most startups too. The earliest phase is usually the most productive. That's when they have the really big ideas. Imagine what Apple was like when 100% of its employees were either Steve Jobs or Steve Wozniak.

Use difficulty as a guide not just in selecting the overall aim of your company, but also at decision points along the way. At Via web one of our rules of thumb was run upstairs. Suppose you are a little, nimble guy being chased by a big, fat, bully. You open a door and find yourself in a staircase. Do you go up or down? I say up. The bully can probably run downstairs as fast as you can. Going upstairs his bulk will be more of a disadvantage. Running upstairs is hard for you but even harder for him. What this meant in practice was that we deliberately sought hard problems. If there were two features we could add to our software, both equally valuable in proportion to their difficulty, we’d always take the harder one. Not just because it was more valuable, but because it was harder. We delighted in forcing bigger, slower competitors to follow us over difficult ground. Like guerillas, startups prefer the difficult terrain of the mountains, where the troops of the central government can’t follow. I can remember times when we were just exhausted after wrestling all day with some horrible technical problem. And I’d be delighted, because something that was hard for us would be impossible for our competitors.

A company that is not designed to create high-tech products is very unlikely to have the culture or the DNA that it takes to create high-tech products. So if you are a high-tech person in that company, then you're basically a glorified typist in some sense. It's very unlikely that the kind of people who would be successful in an entertainment company would even understand what programmers do that makes them more than typists.

How to build a strong culture44 1. Have strong hiring filters in place. Explicitly filter for people with common values. You need to be careful that this does not act as a mechanism to inadvertently filter out diverse populations. You can have both a common sense of purpose and a diverse employee base at the same time. See later sections and the interview with Joelle Emerson for more information. 2. Constantly emphasize values day-to-day. Repeat them until you are blue in the face. The second you are really sick of saying the same thing over and over, you will find people have started repeating it back to you. 3. Reward people based on performance as well as culture. People should be rewarded (with promotions, financially, etc.) for both productivity and for living the company’s values. 4. Get rid of bad culture fits quickly. Fire bad culture fits even faster than you fire low performers.45 This chapter focuses on #1 above:

We do everything wrong: instead of spending years perfecting our technology, we build a minimum viable product, an early product that is terrible, full of bugs and crash-your-computer-yes-really stability problems. Then we ship it to customers way before it’s ready. And we charge money for it. After securing initial customers, we change the product constantly—much too fast by traditional standards—shipping new versions of our product dozens of times every single day.

IN HIS EIGHTEEN-YEAR CAREER in the army, Shoemaker had come across a lot of people who seemed to think the military was exempt from civilian regulations and free to conduct medical research as it pleased. That was simply not the case, though this wasn’t to say it hadn’t happened in the past. The Pentagon tested mustard gas on American soldiers during World War II and Agent Orange on prisoners in the 1960s. But the days of unsupervised, freewheeling medical experimentation by the military were long gone.

On the day the company starts, there is very limited customer input to a product specification. The company doesn’t know who its initial customers are (but it may think it knows) or what they will want as features. One alternative is to put Product Development on hold until the Customer Development team can find those customers. However, having a product you can demonstrate and iterate is helpful in moving the Customer Development process along. A more productive approach is to proceed with Product Development, with the feature list driven by the vision and experience of the company’s founders.

Amazon made its first 10x improvement in a particularly visible way: they offered at least 10 times as many books as any other bookstore. When it launched in 1995, Amazon could claim to be “Earth’s largest bookstore” because, unlike a retail bookstore that might stock 100,000 books, Amazon didn’t need to physically store any inventory—it simply requested the title from its supplier whenever a customer made an order. This quantum improvement was so effective that a very unhappy Barnes & Noble filed a lawsuit three days before Amazon’s IPO, claiming that Amazon was unfairly calling itself a “bookstore” when really it was a “book broker.

Dr. Z would one day explain the father-son relationship to me this way: For the son, his father begins as a deity on a pedestal. The father can do no wrong. As the son ages, he discovers that his father is flawed, mortal, and full of frailty: an oedipal fall from grace. The son is filled with disappointment, hurt, and anger over his dad’s imperfections. The father starts to sink in the son’s eyes, slowly sometimes, and other times all at once. What follows is conflict and resentment. As the son’s psyche grinds against his father’s, men are forged. Boys become men. Or they don’t. Only some dads survive the son’s journey intact. Before they do, they all fall down.

Livingston: Some aspects of business turned out to be less of a mystery than you had thought. What did you find you were better at than you thought? Graham: I found I could actually sell moderately well. I could convince people of stuff. I learned a trick for doing this: to tell the truth. A lot of people think that the way to convince people of things is to be eloquent—to have some bag of tricks for sliding conclusions into their brains. But there's also a sort of hack that you can use if you are not a very good salesman, which is simply tell people the truth. Our strategy for selling our software to people was: make the best software and then tell them, truthfully, "this is the best software." And they could tell we were telling the truth. Another advantage of telling the truth is that you don't have to remember what you've said. You don't have to keep any state in your head. It's a purely functional business strategy. (Hackers will get what I mean.)

Bitcoin is not a currency. Bitcoin is the internet of money. As a technology, it can bring economic inclusion and empowerment to billions of people in the world. I’ll give you one example of a specific application that is going to fundamentally change the lives of more than a billion people in the next five to ten years. ​ Every day, an immigrant somewhere cashes their paycheck and stands in line to wire 50 percent of that paycheck back to their home country to feed their extended family. Here in the US, 60 million people have no bank accounts, yet they cash their paychecks and send them abroad. Overall in the world, $550 billion is transmitted every year as remittances from first-world countries. Much of that money is sent to five major destinations: Mexico, India, the Philippines, Indonesia, and China. In some of these places, remittances represent up to 40 percent of the local economy. Sitting on top of that flow of $550 billion are companies like Western Union, and they take, on average, a cut of 9 percent of every single one of these transactions out of the pockets of the poorest people of the world. Imagine what happens when one day one of these immigrants figures out they can do the same thing with bitcoin — not for 15 percent, not 10 percent, not 5 percent, but for 5 cents. Not a percentage; a flat fee. What happens when they can do that? They can, right now. There is a startup company that is handling remittances between the US and the Philippines. They’re doing a few million dollars right now, but they’re going to start growing. There’s $500 billion sitting behind that dam. When you’re an immigrant and you can change your financial future by not paying 9 percent to send money home, imagine what happens if every month, instead of sending 91 dollars home, you send 100 dollars home. That makes a difference. There are a billion people, right now, with access to the internet and feature phones who could use bitcoin as an international wire-transfer service.

She also felt like there was something slightly more insidious going on, about how you were now supposed to feel like your work was your everything: where you got your paycheck, yes, but also where you got fed and where you found your social circle. Everything had started bleeding into everything else. These kids—she felt no compunction about calling them kids—expected that their workplaces would provide all this for them, as if work were an extension of college, with its own clubs and student organizations. Even more disconcerting was that many TakeOff employees lived together or had roommates who were in some way connected to other TakeOff employees, and now there were even apartment buildings that were actual dorms for grown-ups, where you lived in a suite with a few other people and had common areas and nightly activities. It was almost like a return to the days of Henry Ford, when a company provided you with housing and meals and social events. What had happened to having to figure out life on your own?

Let’s say experiment A is testing a small change, such as the color of the sign-up button. As results start coming in, it becomes clear that the increase in the number of new visitors signing up is very small—garnering just 5 percent more sign-ups than the original button color. Besides the obvious assumption that changing the color of the sign-up button may not be the key factor holding back new users from signing up, it’s also an indication that you’ll have to let the experiment run quite a long time in order to have enough data to make a solid conclusion. As you can see from the chart above, to reach statistically significant results for this test, you’d need a whopping 72,300 visitors per variant—or, in other words, you’d have to wait 72 days to get conclusive results. As Johns put it in an interview with First Round Review, “That’s a lifetime when you’re a start-up!” In a case like this what a start-up really ought to do is abandon the experiment quickly and move on to a next, potentially higher-impact, one.

As the other startups do at the end of their presentations, Shen offers to the batch the expertise of his team's members: "Kalvin and Randy are developers," he says, and as for himself, he knows how to stay motivated in the face of rejection. "I've gotten rejected thirty days in a row," he says, a reference to his putting himself through "Rejection Therapy," in which one must make unreasonable requests so that one is rejected by a different person, at least once, every single day- inuring one to the pain of rejection. (One example of Shen's first bid to be rejected: he asked a flight attendant if he could move up to first class for free. In another case, he saw an attractive woman on the train and decided he would ask her for her phone number, and when she would turn him down, he would have fulfilled the day's required quota of rejection. He sat near her, fell into a conversation, and when they got off the train and he asked for her number, she said, "Sure." He categorized this as "Failed Rejection.") "So if you need to get pumped up for your sales calls, talk to me. p121

Tim Tigner began his career in Soviet Counterintelligence with the US Army Special Forces, the Green Berets. That was back in the Cold War days when, “We learned Russian so you didn't have to,” something he did at the Presidio of Monterey alongside Recon Marines and Navy SEALs. With the fall of the Berlin Wall, Tim switched from espionage to arbitrage. Armed with a Wharton MBA rather than a Colt M16, he moved to Moscow in the midst of Perestroika. There, he led prominent multinational medical companies, worked with cosmonauts on the MIR Space Station (from Earth, alas), chaired the Association of International Pharmaceutical Manufacturers, and helped write Russia’s first law on healthcare. Moving to Brussels during the formation of the EU, Tim ran Europe, Middle East, and Africa for a Johnson & Johnson company and traveled like a character in a Robert Ludlum novel. He eventually landed in Silicon Valley, where he launched new medical technologies as a startup CEO. In his free time, Tim has climbed the peaks of Mount Olympus, hang glided from the cliffs of Rio de Janeiro, and ballooned over Belgium. He earned scuba certification in Turkey, learned to ski in Slovenia, and ran the Serengeti with a Maasai warrior. He acted on stage in Portugal, taught negotiations in Germany, and chaired a healthcare conference in Holland. Tim studied psychology in France, radiology in England, and philosophy in Greece. He has enjoyed ballet at the Bolshoi, the opera on Lake Como, and the symphony in Vienna. He’s been a marathoner, paratrooper, triathlete, and yogi.  Intent on combining his creativity with his experience, Tim began writing thrillers in 1996 from an apartment overlooking Moscow’s Gorky Park. Decades later, his passion for creative writing continues to grow every day. His home office now overlooks a vineyard in Northern California, where he lives with his wife Elena and their two daughters. Tim grew up in the Midwest, and graduated from Hanover College with a BA in Philosophy and Mathematics. After military service and work as a financial analyst and foreign-exchange trader, he earned an MBA in Finance and an MA in International Studies from the University of Pennsylvania’s Wharton and Lauder Schools.  Thank you for taking the time to read about the author. Tim is most grateful for his loyal fans, and loves to correspond with readers like you. You are welcome to reach him directly at tim@timtigner.com.

Yes, that’s the one. Aaron, I want you to acquire the company tomorrow. Start low, but I want you to end up offering at least fifteen million for it. Actually, how many partners are there?” “I see two registered partners. Michael Teo and Adrian Balakrishnan.” “Okay, bid thirty million.” “Charlie, you can’t be serious? The book value on that company is only—” “No, I’m dead serious,” Charlie cut in. “Start a fake bidding war between some of our subsidiaries if you have to. Now listen carefully. After the deal is done, I want you to vest Michael Teo, the founding partner, with class-A stock options, then I want you to bundle it with that Cupertino start-up we acquired last month and the software developer in Zhongguancun. Then, I want us to do an IPO on the Shanghai Stock Exchange next month.” “Next month?” “Yes, it has to happen very quickly. Put the word out on the street, let your contacts at Bloomberg TV know about it, hell, drop a hint to Henry Blodget if you think it will help drive up the share price. But at the end of the day I want those class-A stock options to be worth at least $250 million. Keep it off the books, and set up a shell corporation in Liechtenstein if you have to. Just make sure there are no links back to me. Never, ever.

The VCs were prolific. They talked like nobody I knew. Sometimes they talked their own book, but most days, they talked Ideas: how to foment enlightenment, how to apply microeconomic theories to complex social problems. The future of media and the decline of higher ed; cultural stagnation and the builder’s mind-set. They talked about how to find a good heuristic for generating more ideas, presumably to have more things to talk about. Despite their feverish advocacy of open markets, deregulation, and continuous innovation, the venture class could not be relied upon for nuanced defenses of capitalism. They sniped about the structural hypocrisy of criticizing capitalism from a smartphone, as if defending capitalism from a smartphone were not grotesque. They saw the world through a kaleidoscope of startups: If you want to eliminate economic inequality, the most effective way to do it would be to outlaw starting your own company, wrote the founder of the seed accelerator. Every vocal anti-capitalist person I’ve met is a failed entrepreneur, opined an angel investor. The SF Bay Area is like Rome or Athens in antiquity, posted a VC. Send your best scholars, learn from the masters and meet the other most eminent people in your generation, and then return home with the knowledge and networks you need. Did they know people could see them?

And so, when I tell stories today about digital transformation and organizational agility and customer centricity, I use a vocabulary that is very consistent and very refined. It is one of the tools I have available to tell my story effectively. I talk about assumptions. I talk about hypotheses. I talk about outcomes as a measure of customer success. I talk about outcomes as a measurable change in customer behavior. I talk about outcomes over outputs, experimentation, continuous learning, and ship, sense, and respond. The more you tell your story, the more you can refine your language into your trademark or brand—what you’re most known for. For example, baseball great Yogi Berra was famous for his Yogi-isms—sayings like “You can observe a lot by watching” and “When you come to a fork in the road, take it.” It’s not just a hook or catchphrase, it helps tell the story as well. For Lean Startup, a best-selling book on corporate innovation written by Eric Ries, the words were “build,” “measure,” “learn.” Jeff Patton, a colleague of mine, uses the phrase “the differences that make a difference.” And he talks about bets as a way of testing confidence levels. He’ll ask, “What will you bet me that your idea is good? Will you bet me lunch? A day’s pay? Your 401(k)?” These words are not only their vocabulary. They are their brand. That’s one of the benefits of storytelling and telling those stories continuously. As you refine your language, the people who are beginning to pay attention to you start adopting that language, and then that becomes your thing.

One day Spinner, the woman who runs PR tells me, “I like that idea, but I’m not sure that it’s one-plus-one-equals-three enough.” What does any of this nutty horseshit actually mean? I have no idea. I’m just amazed that hundreds of people can gobble up this malarkey and repeat it, with straight faces. I’m equally amazed by the high regard in which HubSpot people hold themselves. They use the word awesome incessantly, usually to describe themselves or each other. That’s awesome! You’re awesome! No, you’re awesome for saying that I’m awesome! They pepper their communication with exclamation points, often in clusters, like this!!! They are constantly sending around emails praising someone who is totally crushing it and doing something awesome and being a total team player!!! These emails are cc’d to everyone in the department. The protocol seems to be for every recipient to issue his or her own reply-to-all email joining in on the cheer, writing things like “You go, girl!!” and “Go, HubSpot, go!!!!” and “Ashley for president!!!” Every day my inbox fills up with these little orgasmic spasms of praise. At first I ignore them, but then I feel like a grump and decide I should join in the fun. I start writing things like, “Jan is the best!!! Her can-do attitude and big smile cheer me up every morning!!!!!!!” (Jan is the grumpy woman who runs the blog; she scowls a lot.) Sometimes I just write something with lots of exclamation points, like, “Woo-hoo!!!!!!! Congratulations!!!!!!! You totally rock!!!!!!!!!!!!” Eventually someone suspects that I am taking the piss, and I am told to cut that shit out.

Patrick Vlaskovits, who was part of the initial conversation that the term “growth hacker” came out of, put it well: “The more innovative your product is, the more likely you will have to find new and novel ways to get at your customers.”12 For example: 1. You can create the aura of exclusivity with an invite-only feature (as Mailbox did). 2. You can create hundreds of fake profiles to make your service look more popular and active than it actually is—nothing draws a crowd like a crowd (as reddit did in its early days). 3. You can target a single service or platform and cater to it exclusively—essentially piggybacking off or even stealing someone else’s growth (as PayPal did with eBay). 4. You can launch for just a small group of people, own that market, and then move from host to host until your product spreads like a virus (which is what Facebook did by starting in colleges—first at Harvard—before taking on the rest of the population). 5. You can host cool events and drive your first users through the system manually (as Myspace, Yelp, and Udemy all did). 6. You can absolutely dominate the App Store because your product provides totally new features that everyone is dying for (which is what Instagram did—twenty-five thousand downloads on its first day—and later Snapchat). 7. You can bring on influential advisors and investors for their valuable audience and fame rather than their money (as About.me and Trippy did—a move that many start-ups have emulated). 8. You can set up a special sub-domain on your e-commerce site where a percentage of every purchase users make goes to a charity of their choice (which is what Amazon did with Smile.Amazon.com this year to great success, proving that even a successful company can find little growth hacks). 9. You can try to name a Planned Parenthood clinic after your client or pay D-list celebrities to say offensive things about themselves to get all sorts of publicity that promotes your book (OK, those stunts were mine).

In fact, the same basic ingredients can easily be found in numerous start-up clusters in the United States and around the world: Austin, Boston, New York, Seattle, Shanghai, Bangalore, Istanbul, Stockholm, Tel Aviv, and Dubai. To discover the secret to Silicon Valley’s success, you need to look beyond the standard origin story. When people think of Silicon Valley, the first things that spring to mind—after the HBO television show, of course—are the names of famous start-ups and their equally glamorized founders: Apple, Google, Facebook; Jobs/ Wozniak, Page/ Brin, Zuckerberg. The success narrative of these hallowed names has become so universally familiar that people from countries around the world can tell it just as well as Sand Hill Road venture capitalists. It goes something like this: A brilliant entrepreneur discovers an incredible opportunity. After dropping out of college, he or she gathers a small team who are happy to work for equity, sets up shop in a humble garage, plays foosball, raises money from sage venture capitalists, and proceeds to change the world—after which, of course, the founders and early employees live happily ever after, using the wealth they’ve amassed to fund both a new generation of entrepreneurs and a set of eponymous buildings for Stanford University’s Computer Science Department. It’s an exciting and inspiring story. We get the appeal. There’s only one problem. It’s incomplete and deceptive in several important ways. First, while “Silicon Valley” and “start-ups” are used almost synonymously these days, only a tiny fraction of the world’s start-ups actually originate in Silicon Valley, and this fraction has been getting smaller as start-up knowledge spreads around the globe. Thanks to the Internet, entrepreneurs everywhere have access to the same information. Moreover, as other markets have matured, smart founders from around the globe are electing to build companies in start-up hubs in their home countries rather than immigrating to Silicon Valley.

For fifteen years, John and Barbara Varian were furniture builders, living on a ranch in Parkfield, California, a tiny town where the welcome sign reads “Population 18.” The idea for a side business came about by accident after a group of horseback riding enthusiasts asked if they could pay a fee to ride on the ranch. They would need to eat, too—could John and Barbara do something about that? Yes, they could. In the fall of 2006, a devastating fire burned down most of their inventory, causing them to reevaluate the whole operation. Instead of rebuilding the furniture business (no pun intended), they decided to change course. “We had always loved horses,” Barbara said, “so we decided to see about having more groups pay to come to the ranch.” They built a bunkhouse and upgraded other buildings, putting together specific packages for riding groups that included all meals and activities. John and Barbara reopened as the V6 Ranch, situated on 20,000 acres exactly halfway between Los Angeles and San Francisco. Barbara’s story stood out to me because of something she said. I always ask business owners what they sell and why their customers buy from them, and the answers are often insightful in more ways than one. Many people answer the question directly—“We sell widgets, and people buy them because they need a widget”—but once in a while, I hear a more astute response. “We’re not selling horse rides,” Barbara said emphatically. “We’re offering freedom. Our work helps our guests escape, even if just for a moment in time, and be someone they may have never even considered before.” The difference is crucial. Most people who visit the V6 Ranch have day jobs and a limited number of vacation days. Why do they choose to visit a working ranch in a tiny town instead of jetting off to lie on a beach in Hawaii? The answer lies in the story and messaging behind John and Barbara’s offer. Helping their clients “escape and be someone else” is far more valuable than offering horse rides. Above all else, the V6 Ranch is selling happiness.

The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man.” George Bernard Shaw On a cool fall evening in 2008, four students set out to revolutionize an industry. Buried in loans, they had lost and broken eyeglasses and were outraged at how much it cost to replace them. One of them had been wearing the same damaged pair for five years: He was using a paper clip to bind the frames together. Even after his prescription changed twice, he refused to pay for pricey new lenses. Luxottica, the 800-pound gorilla of the industry, controlled more than 80 percent of the eyewear market. To make glasses more affordable, the students would need to topple a giant. Having recently watched Zappos transform footwear by selling shoes online, they wondered if they could do the same with eyewear. When they casually mentioned their idea to friends, time and again they were blasted with scorching criticism. No one would ever buy glasses over the internet, their friends insisted. People had to try them on first. Sure, Zappos had pulled the concept off with shoes, but there was a reason it hadn’t happened with eyewear. “If this were a good idea,” they heard repeatedly, “someone would have done it already.” None of the students had a background in e-commerce and technology, let alone in retail, fashion, or apparel. Despite being told their idea was crazy, they walked away from lucrative job offers to start a company. They would sell eyeglasses that normally cost $500 in a store for $95 online, donating a pair to someone in the developing world with every purchase. The business depended on a functioning website. Without one, it would be impossible for customers to view or buy their products. After scrambling to pull a website together, they finally managed to get it online at 4 A.M. on the day before the launch in February 2010. They called the company Warby Parker, combining the names of two characters created by the novelist Jack Kerouac, who inspired them to break free from the shackles of social pressure and embark on their adventure. They admired his rebellious spirit, infusing it into their culture. And it paid off. The students expected to sell a pair or two of glasses per day. But when GQ called them “the Netflix of eyewear,” they hit their target for the entire first year in less than a month, selling out so fast that they had to put twenty thousand customers on a waiting list. It took them nine months to stock enough inventory to meet the demand. Fast forward to 2015, when Fast Company released a list of the world’s most innovative companies. Warby Parker didn’t just make the list—they came in first. The three previous winners were creative giants Google, Nike, and Apple, all with over fifty thousand employees. Warby Parker’s scrappy startup, a new kid on the block, had a staff of just five hundred. In the span of five years, the four friends built one of the most fashionable brands on the planet and donated over a million pairs of glasses to people in need. The company cleared $100 million in annual revenues and was valued at over $1 billion. Back in 2009, one of the founders pitched the company to me, offering me the chance to invest in Warby Parker. I declined. It was the worst financial decision I’ve ever made, and I needed to understand where I went wrong.