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Tag: cofounders

  • How Blueland’s Founders Avoided the ‘Founder Divorce’ That Kills 65% of Startups

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    Since my co-founder John Mascari and I started Blueland, we’ve only had one real disagreement—what to name the company. That was seven years ago. Since then, we’ve made thousands of decisions that matter far more. Somehow, we’ve managed to stay aligned. 

    That doesn’t mean we see everything the same way. We approach problems from different angle, and we ask different questions. However, we’ve built a partnership grounded in trust—trust in the other’s ownership and trust that the other person cares as deeply, works as hard, and sweats the details just as much. 

    Co-founder conflict is one of the top reasons startups fail 

    Research from Harvard Business School shows that around 65% of startups fail because of co-founder conflict or misalignment. “Founder divorce” is one of the most common but least-discussed risks in building a company. You can have the right idea, funding, and timing, and still fail because your partnership breaks down. From day one, we knew that if we wanted to build something durable, we’d have to protect alignment as deliberately as we protect cash flow. 

    How we work together 

    From the start, we divided responsibilities loosely by strength. For example, I tend to lead on marketing, brand, and creative. He focuses more on operations, finance, and our people. Those boundaries, however, aren’t walls. We both deeply co-own our mission and product philosophy. We both jump into anything that touches the customer or the planet. We talk nearly every day—sometimes about the biggest strategic calls and sometimes about the smallest details. 

    We each care deeply about the details. Knowing the other does the same is what makes trust possible. When he makes a call on a supplier, I don’t need to double-check it because I know it was made with as much care as if I had made it myself—never out of convenience or lack of time. When I do double-check, it’s welcome. We’ve built enough trust that questions never feel like second-guessing. We both know any push or challenge comes from the same place — wanting to get to the right answer for the company. 

    That kind of trust actually makes it easier to challenge each other, not harder. It’s a habit the broader team sees and mirrors. When people watch founders question each other with respect and curiosity, it sets the tone for how the whole company communicates. 

    Revisiting our North Star every year 

    From the beginning, we take a step back to reset once a year. Together with our board and leadership team, we set a North Star—a theme or focus for the year. Then, we define each leader’s priorities that will bring it to life. 

    We also revisit our company values to make sure they still feel true to how we operate. Next, we share the theme with the full company. It keeps everyone anchored and keeps us accountable. 

    When everyone knows the focus, it’s easier to see when decisions start to drift away from, including our own. That discipline around alignment isn’t just for founders. It scales across the organization. 

    Staying aligned in practice 

    Alignment doesn’t happen by luck. It’s maintained through constant communication. We check in daily—sometimes formally, sometimes between meetings or flights—to trade notes, flag concerns, or pressure-test each other’s thinking. If something feels off, we don’t wait. We speak up immediately. It’s rarely dramatic, but this habit has prevented countless small misalignments from becoming bigger ones. 

    What makes it work 

    • Shared ownership of purpose
      We both care about why the company exists and what we refuse to compromise on. 
    • Equal respect for detail
      We trust each other because we both do the work and commit to the details. 
    • Constant communication
      We don’t wait for formal check-ins to reconnect. 
    • Regular re-alignment
      Revisiting the North Star each year keeps decisions consistent and our focus transparent. 
    • Assuming good intent
      Every disagreement starts from the belief that we’re both trying to do what’s best for the company and the mission. 
    • A shared desire to keep learning
      We both approach the business with curiosity. There’s always more to understand, questions to ask, and new ways to make Blueland stronger. 

    The real takeaway 

    People sometimes hear that we’ve only had one major disagreement and assume that means we never debate. It’s the opposite. We question everything. We just do it from a place of total trust. The goal isn’t to avoid conflict. It’s to build a partnership where you know the other person cares as much as you do. 

    The opinions expressed here by Inc.com columnists are their own, not those of Inc.com.

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    Sarah Paiji Yoo

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  • Walking Away From My Co-founder Was the Best Business Decision I’ve Made — Here’s Why | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    On a recent work trip and unable to sleep, I was flipping through the channels when I stumbled upon Late Night with Seth Meyers, who happened that night to be interviewing the show’s former host, the legendary Conan O’Brien. As a fan of the tall, goofy comedian, I paused my channel surfing just in time to hear him share with Meyers the philosophy that guided him throughout his incredibly long and successful career:

    “There’s a giant orchestra, there’s a lot of noise and I’m just banging my triangle. Is anyone even hearing me?” says O’Brien. “And this sounds crazy, it’s like, some Buddhist idea. But if you just stay true to what you believe in, and you keep doing it with purpose, eventually, they’ll only hear the triangle.”

    Hearing this, I was immediately cast back to the early days of starting my company, Jotform.

    I’m a proud solo founder now, but that wasn’t always the plan. In fact, for years I’d intended to start a business with a close friend. He was 10 years older than me, he was more experienced and we had talked endlessly about launching a company together. We had a verbal agreement: 50/50 partners. No egos — just mutual trust and a shared dream.

    But when the time finally came to take the leap, everything changed. He told me that someone had advised him to take 51%. That one person always needed to be “in charge.” It wasn’t a suggestion — it was an ultimatum.

    I didn’t even hesitate. I walked away.

    It was one of the hardest decisions I’ve made as an entrepreneur. But it was also the best one. Here’s why.

    Related: The Professional Breakup — How to Oust a Co-founder Legally and Smoothly

    The power of sticking to your principles

    Walking away from that partnership was tough — not just as an entrepreneur, but as a person. It wasn’t merely a business split; it was the unraveling of a shared vision, years in the making. I was suddenly on my own, without a partner to lean on and no one to share the weight of what I was about to build.

    Conventional wisdom holds that co-founders are necessary for a startup’s survival. Founding a company solo is a “vote of no confidence,” the computer scientist and entrepreneur Paul Graham wrote in 2006. “It probably means the founder couldn’t talk any of his friends into starting the company with him,” he said. “That’s pretty alarming, because his friends are the ones who know him best.”

    Yikes. I don’t actually think that advice ever held much water, and with the rise of automation and AI, I firmly believe you need a cofounder less than ever. Still, the fact remains that startups test your resolve in a thousand little ways, and the boundaries you set in those early days become your foundation. If that foundation is cracked, the pressure will only make it worse.

    That decision also taught me something essential: Sticking to your principles doesn’t always feel like a win in the moment. In fact, it often feels like a loss of opportunity, momentum and connection. But over time, the cost of compromising what you want is far greater.

    Related: The 9 Leadership Principles That Carried Me From the Sidelines to the Suite

    Identify your values early

    The split in partnership wasn’t the only disagreement my co-founder and I had. We also didn’t see eye to eye on the direction the company would take. In the course of planning our business, it became evident that we had developed different visions — he wanted to consult for other companies; I wanted to build something new. His vision didn’t excite me, and mine didn’t excite him. One of us would ultimately have had to make compromises we didn’t like.

    So, as depressed as I was at the dissolution of our plan, I also felt a sense of relief. When you’re starting a company, there are so many forces that threaten to derail your vision. That’s why it’s so helpful to define your values early — the non-negotiables that form the bedrock of your business and your motivation for building it. I like the advice offered by career coach Irina Cozma, who writes in Harvard Business Review that clarifying your values takes both conscious effort and time.

    “Depending on your journey, your values might stay constant over time or might change based on new events and information,” wrote Cozma. Check in with yourself each year to ensure that what was once important to you still is. And if it isn’t, don’t be afraid to re-evaluate.

    Knowing my values has guided me through some of my most confounding challenges, like how to grow, when to hire and what products to build. They’ve kept me on track and away from the lure of outside investments or opportunities that ultimately wouldn’t serve the company. Splitting with my cofounder gave me a chance to establish what mattered early on, and became the blueprint for how I built the company I have today.

    When you know what you stand for, decision-making gets a lot easier. You may still be banging your triangle in a noisy orchestra — but you’re doing it with clarity, purpose and the confidence that eventually, your sound will cut through.

    On a recent work trip and unable to sleep, I was flipping through the channels when I stumbled upon Late Night with Seth Meyers, who happened that night to be interviewing the show’s former host, the legendary Conan O’Brien. As a fan of the tall, goofy comedian, I paused my channel surfing just in time to hear him share with Meyers the philosophy that guided him throughout his incredibly long and successful career:

    “There’s a giant orchestra, there’s a lot of noise and I’m just banging my triangle. Is anyone even hearing me?” says O’Brien. “And this sounds crazy, it’s like, some Buddhist idea. But if you just stay true to what you believe in, and you keep doing it with purpose, eventually, they’ll only hear the triangle.”

    Hearing this, I was immediately cast back to the early days of starting my company, Jotform.

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    Aytekin Tank

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  • How Founders Can Demonstrate their Founder-Market Fit to Investors | Entrepreneur

    How Founders Can Demonstrate their Founder-Market Fit to Investors | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    In the early stages, startups often lack impressive numbers to showcase their potential. That’s why investors primarily examine the co-founding team to assess how likely they are to build a thriving company.

    In simpler terms, investors are looking for something called founder-market fit when the founders’ skills, experience, and personal qualities align with what the market needs.

    But how can a founder determine if they have this so-called founder-market fit?

    A background check

    Deep industry expertise can indicate a strong match between the founders and their target market. The ability to execute ideas is vital for early-stage founders, and the more bulletproof they are in their domain, the higher the chance they’ll be able to do it.

    It’s also about knowing what to disrupt and how, because, at its core, a founder-market fit means that the person starting the company has personally experienced the problem they’re now trying to solve.

    In some cases, outsiders have disrupted industries they knew little about, but generally, founders have a much better chance of succeeding if they have a sense of how a specific market works. About 35% of startups fail because the founding team doesn’t know enough about the market and what customers actually need.

    The best way to know an entrepreneur has a founder-market fit is to look at their education, previous employment, and projects. How long have the founders been active in this industry? How well do they know its problems? How badly do they want to change the status quo?

    There are many examples of this: Airbnb’s founders hosted people in their apartments before building a marketplace for homestays; Slack began as an internal communication tool for a company owned by one of the founders — he knew what app his team needed.

    Health tech startup Theranos is a well-known case of the opposite when a lack of industry knowledge — among other things — led to a startup’s failure. Investors were swayed by the founder’s grand vision: they collectively invested $1.3 billion. Unfortunately, they overlooked the significance of the founder’s background.

    The founder, Elizabeth Holmes, promised to revolutionize health care while having only two semesters of chemical engineering classes at Stanford.

    Related: 6 Lessons Entrepreneurs Can Learn From the Fall of Theranos

    Synergy among co-founders

    When a founder presents me with a startup that heavily relies on sales but struggles to articulate their thoughts, it raises a red flag. In such situations, investors should carefully assess the other co-founders in the team, seeking a partner who brings the required expertise — in this example, in sales.

    Founder of Awesomic, a platform that matches web design talents with businesses, Roman Sevast has a background in software development. He takes full responsibility for Awesomic’s technical aspects and product development, while another founder, Stacy Pavlyshyna, is a former digital marketer who handles operations, communications and marketing.

    This serves as a good illustration of where both co-founders bring their domain expertise to the table, and their collaboration enables them to achieve a solid founder-market fit.

    A prominent global example of a synergistic partnership is the relationship between Steve Wozniak and Steve Jobs.

    Related: 5 Expert Tips on How to Choose a Co-Founder for Your New Business

    How to tell investors about founder-market fit

    To increase the likelihood of securing funding, early-stage founders should make sure they communicate their founder-market fit to investors. My several tips:

    • Share specific examples of the co-founders’ industry challenges and how they resolved them.
    • Emphasize accomplishments relevant to the target market, such as previous startup ventures, industry accolades, significant milestones, or partnerships.
    • Present a compelling narrative about a co-founder that showcases their in-depth industry knowledge. Instead of stating “5 years of IT experience,” highlight achievements by saying, “developed a product used by 300,000 clients”.
    • Demonstrate a scalable business model that aligns with market needs and show how exactly it aligns.

    Problem-solving experience

    This does not suggest that successful startups can only emerge from founders with prior experience. Quite the opposite, according to Sebastian Mallaby’s book “The Power Law,” groundbreaking ideas often originate from individuals who are outsiders to the industry.

    These outsiders, however, must possess certain character traits that enable them to achieve a founder-market fit. I’d like to highlight perseverance and curiosity.

    Outsiders should thoroughly study the market to understand their potential customers, launch effective marketing campaigns, and ultimately develop a product that people will find valuable. Curiosity serves as the driving force behind acquiring the necessary knowledge.

    Perseverance is crucial because the market landscape constantly changes, and founders continuously overcome new challenges. We seek to invest in founders who are prepared to adapt to evolving market conditions, meet customer demands and embrace emerging trends.

    Founders never know which particular problems they will face when starting a business. But if they previously solved problems in a chosen market or if they show they have grit, VCs take it as a good sign.

    Related: Beyond the Basics: 5 Surprising Qualities Investors Seek in a Winning Team

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    Vital Laptenok

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