Month: November 2013

“I live simply. I don’t own a house or a car or even a TV. The less I own, the happier I am.” – Derek Sivers

Derek Sivers is all about making meaning and much less about getting rich.  He gave away the proceeds of the sale of CD Baby to charity.

Building a company is hard and expensive.  It’s even harder if the founder has an expensive lifestyle to maintain.  Entrepreneurs don’t start companies to get rich.  They start them to make meaning.  Getting rich is a pleasant side effect if that happens.

Read “Anything You Want” by Derek Sivers

“When a true genius appears in this world, you may know him by this sign, that the dunces are all in confederacy against him.” – Jonathan Swift

Change of any kind upsets the status quo.  Those who create and control the status quo will not like it.  They have a lot to lose.  They employ lobbyists and attorneys to protect the status quo.

Competitors don’t always play fair.  If you create value and manage to achieve success, you will be attacked in some way, right or wrong.

Just ask Herb Kelleher.

Consider the education “industry” where college tuition continues to increase at double digit rates at the same time innovators like Salman Kahn are giving it away.

Create value and your customers will find you.

“You don’t deal with egos. You use them.” – Steve Neumann

Sooner or later, you will have employees, a Board of Directors and perhaps investors.  You will also have customers.

Everyone has an ego.  Some people will force their egos into the relationship for reasons that are incomprehensible.  And firing them is not always the answer or even possible.

The challenge is to figure out how to use a person’s ego to get the value of what they have to offer.  Channel them into roles where their ego is an advantage.  Isolate them from circumstances when their personality is detrimental.

If a board member is prone to outbursts during a board meeting, meet them for coffee ahead of time and preview the issues with them to gauge their reaction.  If it’s going to be negative, you’ll know and they won’t hear it for the first time.  On the positive side, this person will help you sell your idea if you include them in the conception of the idea (make it theirs).

“I don’t mind a handshake agreement as long as it’s in writing.” Vig Sherrill

Trustworthiness and integrity are important.  But there are many reasons why a deal can go wrong.

Miscommunication is among the chief reasons.

Treating every agreement with a legal document causes all parties to be clear about the expectations, deliverables, and responsibilities. It doesn’t always involve expensive lawyers but there should be a tangible record of the agreement…

…especially when it involves money from friends and family!!!!