ReportWire

Tag: Founders

  • Why More Founders Should Think Like Hackers | Entrepreneur

    Why More Founders Should Think Like Hackers | Entrepreneur

    [ad_1]

    Opinions expressed by Entrepreneur contributors are their own.

    Who would know better about protecting a complex system from exploitation than a gifted hacker tasked with destroying it?

    That is how the now decades-old cottage industry of white-hat hackers continues to thrive across sectors in tech development. For those unfamiliar, a “white hat” refers to an ethical security hacker, typically hired by companies or governments to identify security vulnerabilities in a system or software. These hackers operate under the owner’s consent to test out many attacks against programs or even entire infrastructures to uncover potential exploitations before someone more nefarious reaches it.

    Despite its legal ambivalence, white hats are still commonly used as a high-intensity stress test, specifically in cybersecurity. More recently, “white hat” has become a marketing term used to launch products created by individuals with a past in more unscrupulous hacking circles —repurposing their skills to create a product or program of superior, “hacker-proof” quality.

    Related: Be Afraid! 8 New Hacks From the Black Hat Conference That Should Scare You.

    But the concept of a white hat or products created by a benevolent troublemaker has fallen out of style in many mainstream fields of tech development. Now, any tech entrepreneur is a free agent to whichever tech trend happens to be in vogue, and “disruptors” is a hollow buzzword deployed by startup marketing teams.

    Just look at how many projects and funds have pivoted back to AI now that the industry is reaching new heights of innovation and adoption. Trends drive funding and growth in any industry, but it becomes increasingly apparent when leading funds and investors radically change the projects they back, and every other accelerator follows suit to ride a wave. It creates an environment where worthy projects might miss out on valuable funding or attention because their industry isn’t in a trendy tech investment listicle.

    With that in mind, do entrepreneurs and investors have the wrong mindset when exploring certain tech sectors?

    Part of the charm of white hat security comes from adopting a new perspective on a seemingly taboo or illicit part of tech culture and communities. It’s a real-life example of keeping your friends close but your enemies closer. But with so many tech entrepreneurs and VCs chasing trends, it’s harder for other parts of tech to escape being overlooked.

    Some might argue the taboo parts of tech culture have nothing that might benefit mainstream adoption. This argument is understandable, considering how underground tech fixtures are either built to be exploitative or harnessed for unsavory purposes. Reframing fringe developments for other uses may look like an endorsement or put projects in a morally grey area.

    That being said, tech entrepreneurs and investors historically don’t have a problem with being in the grey when it comes to backing projects or entire sectors. Case in point: Bitcoin and crypto, in general, were perceived as a tool for overtly criminal activity, such as buying drugs on the dark web.

    Related: Why 2023 Might Be The Year of the Crypto Underdog

    The dark web is probably one of the murkiest parts of the internet, yet many everyday users don’t actually understand what it entails. The dark web allows private computer networks to communicate and transact completely anonymously by hosting internet content through highly-guarded overlay networks that can only be accessed through specific software or authorization. This kind of technology could be highly beneficial if it wasn’t infamously associated with terrorism, child exploitation and other forms of violence.

    Polls repeatedly show Americans don’t like government and corporate surveillance. And even Westerners who aren’t as concerned about companies like Meta and Google tracking their internet activity understand the value censorship resistance offers activists and journalists seeking to share information under totalitarian regimes.

    But most entrepreneurs wouldn’t even consider repurposing the dark web’s technological underpinnings due to its reputation. A white-hat mentality, for example, could be enormously beneficial in trying to keep the good in the dark web while finding ways to mitigate or even eliminate the bad.

    tomi, an anonymous project that claims to be led by crypto-industry leaders, has taken this approach in building its own alternative internet network. The idea is to ensure the free flow of information without government or corporate surveillance and prevent violence and illicit activity via tomiDAO, its community-led governance model.

    Related: The Metaverse Might Not Be Relevant Anymore, But AR Will Still Transform Industries

    Even AI has already been utilized for disreputable purposes. AI-based facial recognition has landed companies in hot water for illegal usage, not to mention the controversy caused by deepfakes and data privacy being compromised by generative AI. Yet there are few convincing arguments to completely abandon AI for benevolent reasons because it’s being used for dubious purposes.

    Innovation can often come from the most unlikely places, but adopting a trend-focused or narrow-minded approach to tech development will cause entire sectors to be discarded or pushed further to the sidelines. If we want to see more white hat-style development that creates the most interesting and generous tech products possible, it will require entrepreneurs and investors to shift their perspective. While not every seedy sector of tech has a hidden treasure trove of use cases waiting to be discovered, it would be worthwhile to look at the perimeter to at least examine how certain technologies can be used to benefit everyone.

    [ad_2]

    Ariel Shapira

    Source link

  • Entrepreneur | Top Challenges for Founders in 2023 — and How to Solve Each

    Entrepreneur | Top Challenges for Founders in 2023 — and How to Solve Each

    [ad_1]

    Opinions expressed by Entrepreneur contributors are their own.

    The past decade ushered in technological advancements that have beguiled us. Some have successfully offered solutions to the problems they posed to solve for the common human. Others have taken more from the public than they offered. However, none of these advancements have made running a business any less risky.

    As we ease into the year, founders will likely experience challenges on multiple fronts. While there are several technological solutions available to help solve these challenges, it is quite daunting to figure out the most effective solution. Also, having to deal with multiple issues at a time, keeping it together may be a tad difficult.

    Throughout the year, I see the following common challenges among founders, and I offered the following practical solutions to help ease their transition through 2023 and beyond.

    Related: How This Founder Overcame Challenges He Never Saw Coming

    1. Cash flow and funding troubles

    Cash flow is the lifeblood of a business, and many fail when they are unable to maintain it. Also, most startups take a while to start generating cash flow. So, they have to find a way to float the expenses before the money starts flowing in. This is why many early-stage businesses seek out investor funding. However, it may not be the best direction to go.

    Founders often have cash savings when they set up their venture. It’s normal to plan around this cash savings, and they often overestimate the chances of the business turning a profit in no time. As a result, founders (first-time founders, especially) are very likely to incur high overhead costs and accommodate more payroll expenses than necessary. As reality sets in, they may start seeking out external funding.

    While it’s a popular practice to secure investor funding, it’s something you should think through. Founders often make the mistake of giving out too much equity to investors in their bid to close funding fast. Early-stage investors can sense your desperation for money and exploit it to demand ridiculous equity.

    To avoid this, you should keep your overhead costs low and reduce your payroll expenses to a minimum. Only hire talents when needed. If a role opens up, and you don’t see it being relevant in a few months, it’d be smarter to work with an independent contractor.

    As an alternative to investor funding, consider reaching out to a local bank for a business line of credit early enough. This will give you some level of liquidity to keep your venture afloat. Mind you, financial institutions don’t really provide a long line of credit, especially to startups. So, the lower your overhead and operational costs, the more useful a line of credit will be for you.

    2. Marketing/advertising

    Marketing, as we know it, is crucial to the success of a business, but it’s often capital-intensive. A majority of startups are spending up to $15,000 per month on marketing. If you’re a startup founder, your mouth is probably agape about how much money other startups are pouring into marketing.

    Well, more marketing spend doesn’t always guarantee high returns. Almost every startup is strapped for money. So, your ability to find clever workarounds will be immensely helpful.

    Instead of creating expensive marketing campaigns, you should consider guerrilla marketing approaches. They often cost next to nothing to create and can be insanely effective.

    Also, maintaining a consistent, high-quality blog can help you attract more organic traffic to your website. If done right, this traffic can be converted to hot leads. There is lots of marketing that you can do on a very tight budget. Just get creative.

    Related: No Money? No Problem. 30 Low-Budget Marketing Ideas for Your Business

    3. Transparency

    A lot of founders are against complete transparency in their dealings. However, you need transparency to build a successful company. It doesn’t matter whether you raised investor funding or not.

    With investors, there have been cases where bad investors have used complete transparency against founders in subsequent rounds. On the flip side, non-transparent startup founders are likely to arouse suspicion.

    With popular cases, like Elizabeth Holmes (Theranos) and Sam Bankman-Fried (FTX), investors have become more watchful of opaque founders. This can often cause them to demand significant control over your business. Adopting a culture of transparency can facilitate their due diligence and enable trust.

    Speaking of trust, a study by the HBR revealed that founders are more likely to attract top talents if they build a more transparent workplace culture. So, why not consider laying your activities bare and maintaining all-hands meetings that encourage collaboration and foster belongingness?

    4. Burnout epidemic

    When you’re building a startup, you can easily find yourself working unusually long hours. Most startup founders work about 80 hours per week. The body needs some rest, food, sleep and distraction to function properly. Sadly, most founders are not giving their bodies enough of these.

    The interesting reality is that this unhealthy behavior rubs off on employees. When employees see their leader working long hours, they are challenged to do more. Soon, this unhealthy behavior becomes a culture in the workplace, and productivity may take a nosedive.

    Alternatively, you set out designated work hours for yourself and the team. Ensure that everyone on the team gets adequate rest. Also, you should prioritize your health. A simple solution is to leave your computer at work and keep work inaccessible outside work hours. This way, you can get some time to rest and find balance.

    Related: 3 Ways to Stop Founder Burnout In Its Tracks

    5. Diversity and inclusion

    There have been fewer movements better than the need to have a diverse and inclusive workforce, especially from the onset. However, many startups are making this an obsession. Leave the DEI initiatives for established organizations. Instead, focus more on hiring objectively.

    As a startup, you need talents for the value they bring to the team regardless of their race, culture, or gender. Don’t get bogged in the need to be inclusive that you start losing valuable talents in the process. If you hire on merit and find your team becoming diverse, great. Otherwise, leave the DEI initiative until further down the road.

    [ad_2]

    Judah Longgrear

    Source link

  • 5 Effective Ways to Prepare for the Unexpected

    5 Effective Ways to Prepare for the Unexpected

    [ad_1]

    Opinions expressed by Entrepreneur contributors are their own.

    Let’s face the hard truth: We are never fully equipped with adequate information to predict — for sure — what will happen in the next couple of days. For businesses, this could be an interrupted cash flow when an investor pulls out of a deal. It could be a lockdown that stalls your plans to advertise your new brand at the next regional convention. Who knows?

    When unexpected events happen, a business must adapt quickly or risk going under. Interestingly, the fate of a business — especially a startup — lies mainly on the shoulders of the founders.

    How founders respond to unanticipated events varies. Some are reactive. Others are proactive. While the latter is better, we all have limits. Frequent exposure to the unknown can cause anxiety and other psychological strains that can be your business’s undoing.

    How many unexpected and unpleasant events can you endure, and how quickly can you navigate through them? That’s a difficult question to answer, I know. Here are five ways that you can prepare yourself.

    Related: How to Prepare for an Unexpected, Unwanted and Unwelcome Business Setback

    1. Assess your capabilities objectively

    As founders, you’ve had to wear many hats in your company. You’ve assumed the roles of HR, operations and even finance. You’ve developed skills you never knew you had the abilities for.

    All these experiences can spark the belief that you’re single-handedly capable of handling anything that comes your way. Although this confidence in your abilities is good for entrepreneurs, it could lead to the Dunning-Kruger Effect, which is defined as “a cognitive bias whereby people with limited knowledge or competence in a given intellectual or social domain greatly overestimate their own knowledge or competence in that domain relative to objective criteria or to the performance of their peers or of people in general.”

    Successful entrepreneurs have accurate knowledge of themselves and their capabilities. They also understand the people they work with and have great confidence in their abilities.

    By quickly realizing that your capabilities are not suited for an unanticipated event, you will be better disposed to seek help from those that are better suited for the situation at hand.

    2. Use “buffers”

    Running a business is all about making plans, setting deadlines and pursuing them. Things don’t often go to plan, and deadlines are missed. These are quite expected, but at times, things may spiral in the wrong direction, and chaos could ensue.

    To avoid chaos, founders need to keep their heads high and remain on top of the situation. One way to do this is to create buffers.

    You can start by surrounding yourself with social buffers — familiar individuals that make you feel very comfortable. These could be family members, buddies or close colleagues. Having them around when events take a wrong turn can reduce your chances of acting impulsively out of anxiety or fear.

    Time buffers are very helpful, too. When the unexpected happens, business operations are expected to continue. As you set deadlines, you should consider increasing the timeline of each milestone by about 20%. This will provide enough time to navigate unexpected events without threatening upcoming processes.

    Related: 4 Ways to Make Sure Your Business Survives the Unexpected

    3. Maintain a healthy network

    When quick, unpredicted market changes threaten business survival, founders often seek assistance from outside their organization. Most times, founders seek out other founders in similar situations to help themselves figure things out.

    Many M&A deals during the Dot Com bubble burst — one of the most challenging times in our recent economic history — happened between founders within the same network. The relationship between Elon Musk and Peter Thiel is a typical example.

    Your network may not be there for only M&A opportunities. Sometimes, you need to assess your direction against theirs from time to time. If your industry is volatile and moving in a new unforeseen direction, it will do you a lot of good to know how your colleagues are going about it.

    4. Always look at the big picture

    Founders must recognize that unexpected events can be a good thing. It brings opportunities. Paradoxically, being fazed by the challenges that come with the unexpected can blind you to those opportunities.

    It’s best to paint a big picture of your business. Clearly define your grand mission. And keep an open mind as to how that mission can be accomplished. Things don’t always have to work out the way you planned them. But they will work out.

    Just like road trips, a wrong turn of events can make you reconsider your route. It could take a little longer to reach the destination. As long as you have a clear big picture, you will be more likely to stay in control of the situation.

    Related: 4 Ways to Prepare Now so Your Business Survives the Unexpected Later

    5. Finally, practice willful acceptance

    Unpredicted changes in your business or industry may create new challenges. Sometimes, we are required to solve these challenges. But what can you do if you neither have the capabilities nor resources to solve them?

    You can simply accept the issue and commit to other things within your resources and capabilities. Studies have shown that acceptance and commitment can reduce your chances of acting anxiously when you’re fazed by a fortuitous event.

    Also, the challenges created by the occurrence of these events may not be yours to solve, even though you have the skills and resources. You have to accept this, too.

    Founders must learn to use resources efficiently. If there is an already existing solution that could be creatively used to solve a problem, you should try that out first before committing to creating a solution. This will save you lots of time and resources.

    [ad_2]

    Judah Longgrear

    Source link

  • How to Grow Your Business and Maintain Your Independence

    How to Grow Your Business and Maintain Your Independence

    [ad_1]

    Opinions expressed by Entrepreneur contributors are their own.

    In my last post, I shared some of the personal qualities that underlie entrepreneurial success, which I spoke about in a recent speech at my alma mater, Cornell. I’d now like to share some of the business advice that I gave in the same speech. Once you perfect the personal qualities of success, you still must understand the strategies that contribute to growing a successful company.


    Luis Alvarez | Getty Images

    Each of these strategies have something in common: They are focused on not just growth at any cost, but on sustainable growth that will maintain your independence. After all, most entrepreneurs get into the game because they want personal freedom and control over their own destiny. It’s important to never give that up.

    Related: 7 Steps to Finding Freedom in Your Business

    1. Don’t eat the free lunch

    That’s why the first strategy is to never eat the free lunch. In truth, nothing is free. The minute you accept someone else’s hospitality or gift, you take a subservient role.

    As a new entrepreneur, when I would go to a lunch or dinner, I aggressively fought to pick up the check, even when we didn’t have much money. The law of reciprocity holds true in business as well as life: If you are generous, people will be generous to you. If you live off the generosity of others, they will own you.

    This is why my company has never received any venture capital money, and I always recommend that other entrepreneurs resist the temptation as well. In many ways, you can’t be a pure founder if you take the easy money. As soon as you accept big bucks from the financiers, you work for them. You are limited in your ability to call shots.

    So, how do you avoid relying on venture capital or private equity? The key is to be thrifty and prioritize organic growth. If you don’t waste money, you don’t need to take other people’s money.

    Yes, capital is still required for many businesses. You might need some bank financing or money from friends and family. But a little bit of money is all it takes to test your idea and build proof of concept. And, of course, put as much of your own money in as you can.

    When I was able to pay my friends and family back for their investments in my company, it was one of the most rewarding things in my life. We got them their money back at 21x their original investment. It took us about 6 or 7 years, but rewarding the risk they took on our company was a form of success in itself. I’d always much rather reward friends and family than financiers who see you as just another cash cow — and treat you accordingly.

    2. Cultivate diverse revenue streams

    The second rule, and another crucial way to maintain independence, is to diversify your revenue streams. Diversity is good in all things, whether in the teams you hire or the revenue streams you create.

    A business built around a single cash source lacks resilience. I learned that the hard way during the pandemic. We were the largest online group hotel booking platform in the world. That’s a status you don’t want during a global pandemic when everyone’s locked down and not traveling in groups. We had to do a major pivot and switch from group to individual hotel sales. We set up a first-of-its-kind “gig economy” call center, where remote agents can answer inbound customer calls, which has resulted in much higher booking conversion rates for us compared to online. Now, we’re a much stronger company because we’ve built up an alternative revenue stream.

    Building a diverse business allows you to maintain your independence even when the going gets tough. The temptation to take venture capital or private equity money isn’t only strong in the beginning, it can also come up when you face hard times. That’s why it’s so important to plan ahead and maintain your rugged independence. Think of yourself like the Henry David Thoreau of your industry.

    Ultimately, taking the easy financing is a shortcut that leads to a trap. It’s like an athlete who takes steroids rather than putting in the work. Easy growth rarely leads to sustainable or enduring growth. There have been a lot of rewards for “blitz growth” in recent years, particularly in the tech industry. But that has changed in the last year with a big market correction. It’s best to put in the work, take the longer road and set yourself up for sustainable and lasting success.

    Related: 4 Ways To Achieve Sustainable Growth

    3. Be an expert — and act like one

    The final rule I’d like to highlight is the importance of developing your own expertise. This is also where people become tempted by dangerous shortcuts. It may seem appealing to hire someone else to be the resident expert in your industry, but then you risk forfeiting control over your business.

    Your clients or customers need you to be an expert. This requires putting in the work by constantly learning, meeting new people in your industry and staying on top of the latest innovations and trends. I like to tell aspiring entrepreneurs: You should always attend that industry conference or next event, no matter how tired you are. You can find time for sleep later.

    One of the reasons my company succeeded was by becoming the group hotel booking engine for sites like Priceline, Expedia and Hotels.com, and that came from being at every conference. The minute the big CEO walked in the room, I went up to them. I would reach out and say, “That was a great speech. I loved what you had to say. Oh, we work with your company” or “We would like to work with your company.” I probably did it to the point of being annoying, but it worked.

    If you’re a founder entrepreneur, nobody’s going to come up to you and introduce themselves — at least not at first. You’re going to have to open those doors yourself. That requires not being shy and going everywhere you possibly can.

    Of course, being an expert doesn’t mean developing expertise in every area. Hiring smart people and delegating is critical, as long as you don’t become lazy and outsource all of your company’s strategic thinking and hustle to others.

    At the end of the day, the only true way to be a leader is to be worthy of the respect of those who follow you. That requires being the expert — and acting like it. It doesn’t mean you are arrogant or a know-it-all; it simply means you have confidence in your own ability to identify trends, make decisions and lead your company forward.

    Related: 5 Essentials for Succeeding When You Become Your Own Boss

    By following each of these rules, you will not only grow your company but maintain full control, even in the face of hardship. You will preserve your rugged independence while still working effectively with others.

    If you are ever tempted to take the shortcut, just remember why you became an entrepreneur in the first place. You started a business to work for yourself and be the master of your own fate. Never give that up, no matter what.

    [ad_2]

    Tim Hentschel

    Source link

  • 5 Priceless Lessons For First-Time Entrepreneurs

    5 Priceless Lessons For First-Time Entrepreneurs

    [ad_1]

    Opinions expressed by Entrepreneur contributors are their own.

    The road to entrepreneurship isn’t as glamorous as what’s portrayed on the #entrepreneur side of Instagram. The formula for success doesn’t contain any jets or fancy clothes or cars but rather a ton of grit and conviction. Growing a company from a two to 30-person team had several challenges. Things like iterating the product, funding and even hiring people to join the journey posed as mountains that had to be conquered by our team. If you’re looking to start a company — you’re in for a wild ride!

    I’m not claiming to be an expert, but I wanted to get these thoughts out there to help anyone in the thick of business ownership. (Or even on the cusp of it!)

    Here are five lessons I’ve learned as a first-time female founder.

    Related: Avoid These 3 Common Entrepreneur Death Traps

    Don’t wait for “perfect.”

    It’s wishful thinking to wait for the stars to align to start moving toward your business goals. You may feel a case of overthinking, but when you’re building a business, speed of iteration will be your best friend to success. Start somewhere. No decision is perfect, and few decisions will result in the death of your company. It’s a matter of making small actionable steps daily to reach your goals.

    Perfection is the enemy of progress. The first iterations of the product will likely be rocky. But getting your product out to the market with beta testers led us to a product we are incredibly proud of today. Without feedback, it is impossible to iterate effectively. I ask myself regularly, “what can I do today to make us better than yesterday?”

    Related: Perfection Does Not Exist. Here’s How to Stop Wishing and Get Your Business Started.

    Bring in the right folks

    Easy enough, right? I believe good people build good teams and good teams build good products. Building your team is one thing that’s vital to the success of your business. The secret behind Smartrr’s growth is the team we’ve built. Finding that talent from scratch was one of the most challenging things I’ve faced. I know I said never to wait for perfection. Still, it’s essential to clarify the type of culture you’re looking to build your business around and focus on aligning the right people that will add value to the specific culture.

    Starting a company is a challenge; having misalignment internally will only distract you from your goals and can be your downfall. Take your time in selecting who is in your inner circle. This includes your team but also all other stakeholders as well; your investors, your partners and your customers. Surround yourself with well-intentioned, ambitious and intelligent people, who are dedicated to solving the problem you seek to build around, and success will follow.

    Then, align those folks behind a customer-obsessed mindset. It sounds simple enough, but it is so easy to get distracted by who has the latest shiny object or clever marketing campaign in the space. Be relentless in surfacing your customer’s pain points and feedback, avoid looking at what other competitors are doing and set your sails toward what needs you can fulfill for your customers and prospective customers.

    As a result, we continue to develop innovative solutions and stay aligned with our mission and goals internally. If there’s one thing you should take away from this piece is that everyone in your company (regardless of what product/service you’re providing) needs to be laser-focused on the end consumer.

    If you get this right, the team will not only build something incredible, but your team will inspire one another every day and drive a strong culture, better productivity and a stronger business.

    Reflection is vital

    Everyone will have a different path to subduing various levels of anxiety caused by day-to-day business tasks. For me, the two things that help are sleeping — that’s more of a short-term solution — and reflection.

    It’s easy to block bad calls, days, etc. That said, confronting the good and bad through reflection gives you the privilege of growing and maturing. With time, you will look back at the same event that made you sick to reflect on and laugh at what once ruffled your feathers (trust me, we’ve all been there. You are not alone.). With every misstep, misfortune and mistake you make, the one before doesn’t look so bad.

    As a founder, you really don’t have the option to stop when things get rough. Again, I’ve been there. Once you get through the next challenge, you look back and know you are better for it. Reconcile the bad, and even laugh at what triggered you in the past when you can. When faced with a new challenge, take those steps forward and focus on what you can control — those previous challenges will help you know that you can get through another. More often than not, you’ve accomplished greater feats.

    Related: 8 Entrepreneurs Reveal How They Discern Reflection From Regret

    Capital isn’t the only thing you can gain funding for

    I can write a whole other article on how to raise funds for your business effectively, but with the space I have, know that there is so much to gain from being in a room with investors with years of experience in your space. A good investor relationship, in my mind, is not based on the foundation of capital provided.

    In our early stage, our “best” investors are those with whom we have a true partnership. They are the ones we can call for help for whatever reason. They are not investing merely to fill an investment thesis bucket. They are excited by what you are doing and take the time to learn about you and your vision for the company. They don’t wait for you to reach out. They’ll take the initiative to introduce you to a potential client or just to see how founder life is treating you.

    When you are actively fundraising, remember this: just as much as you are telling them your vision, they should be telling you theirs. Do your due diligence, and ask hard questions; find out who they support, their current portfolio companies, who they can connect you with and their stances on trends in your market.

    Create goals outside of your business

    You will undoubtedly be tested and pushed outside of your limits and challenged to push through many mental barriers. Another helpful way to grow is to create accomplishments outside of work. What I’ve found particularly helpful while working on Smartrr is to challenge myself to find purpose beyond work. Being so focused on something so large as scaling what we hope will continue to be a thriving business, short-term wins are essential.

    One example of that is hiking on the weekend: getting fresh air does wonders, but getting to the peak of a hike, “winning,” in a sense, is a great win that helps fuel my mind for the next week ahead. Hard to believe when you are deep in the trenches, but wins won’t always come from your business. Set goals and crush them, both in and out of your organization!

    As a first-time founder, these five lessons have brought joy and success into the entrepreneurship journey. This is not your “success formula,” but lessons I hope you can take, practice and fuel your growth in business and life. Remember, success isn’t linear nor manifests the same way for all instances, but please apply these principles to how you see fit in your day-to-day. Get clear on your goals, and I hope you start your 2023 off great!

    [ad_2]

    Gaby Yitzhaek Tegen

    Source link

  • The Best Employees Want More Than Just Money. Here Are 6 Ways to Attract Them.

    The Best Employees Want More Than Just Money. Here Are 6 Ways to Attract Them.

    [ad_1]

    Black Friday Subscription Sale – Unlock this subscriber exclusive article and more for 50% off today.

    Access all Entrepreneur content with no ads, unlock discounts, and get exclusive advice only available to our subscribers. Plus, our magazine delivered straight to your door.

    Get 50% off an annual subscription today. Just use code SAVE50 at checkout.

    [ad_2]

    Entrepreneur Staff

    Source link

  • How Founders Can Improve Their Tolerance for Uncertainty

    How Founders Can Improve Their Tolerance for Uncertainty

    [ad_1]

    Opinions expressed by Entrepreneur contributors are their own.

    Businesses, especially startups, are characterized by uncertainty. From the viability of a business idea to investors’ decisions, as well as how users would respond to your latest product feature, you’re never exactly sure what’s coming. Externally, political, technological and competitive uncertainties are causes for worry as well.

    Studies have shown that uncertainties are constant in entrepreneurship, and a leader’s ability to tolerate and manage them will greatly support the success of their venture. However, repeated exposure to high levels of uncertainty can send entrepreneurs into an emotional rollercoaster that could affect their self-image. Early-stage and first-time founders run greater risks of being broken by the twists and turns of rapidly changing business environments.

    More fascinating, though, is that some — especially serial entrepreneurs — are hooked to the uncertainties synonymous with startups. And their ability to tolerate these uncertainties and adjust accordingly to changing environments has helped them succeed. You, too, can learn to do the same by incorporating these four attitudes into your life:

    Related: 3 Ways to Overcome Uncertainty About Your Business’ Future

    1. Avoid micro-managing your team

    Delegate some uncertainties. So many activities go into building a company. A majority of those activities carry fair amounts of uncertainty. And it’s easy to get roped into bouts of worry trying to figure out how things could go wrong.

    It could be a marketing campaign that your team is trying out for the first time or a new product that your company is working on. Rather than actively engaging in these activities and interfering with your team’s every move, you can rid yourself of the anxiety that comes with the process and focus your energy where it’s needed the most.

    Studies by the Harvard Business Review reveal that micro-managing a team could significantly add to a boss’s stress and anxiety levels. Just lay back a bit, and let the marketing or product team worry about the uncertainty associated with their roles. You’ll thank yourself for it.

    2. Accept what you cannot control

    As far as entrepreneurship is concerned, so many events take place that are beyond the entrepreneur’s control. It could be some government policy changes that threaten the survival of your business. Maybe a key employee is quitting to spend more time with family. Whatever it is, there might be absolutely nothing you can do to change things. And you have to accept that.

    Yes, it’s easier said than done. You’ll most likely feel vile for being in such a position. That’s okay. Feelings make us humans, and you don’t have to deny them. The University of Utah Health Care psychiatrist, Maria Reyes, predicates that recognizing and acknowledging our feelings towards circumstances beyond our control is the first step to managing anxieties related to uncertainty.

    Also, you might need to disengage from the situation a bit. Stepping back helps you gain a better view of what seems like an obstacle to your success. Some entrepreneurs make the best of this step-back moment, by doing things like playing golf or engaging in hobbies of various sorts. You can give it a shot.

    Related: The 4 Things Leaders Need to Do First When Faced With Uncertainty

    3. Be grateful (for the little things)

    Gratitude is an antidote for the negative emotions that uncertainty engenders, wrote psychologist Guy Winch in his book, Emotional First Aid. Being grateful has a joyous effect on the mind. Studies have shown that expressing gratitude causes the release of serotonin and dopamine in the brain. These hormones are associated with happiness, higher self-esteem and motivation.

    Endeavor to take small breaks to reflect on your experiences. Identify the little things that often go unnoticed, and imagine how life would have turned out without them. It could be as trivial as being able to refuel your car at the gas station the day before. If it’s helped move you forward in the slightest bit, then it’s worth expressing gratitude for.

    An act as simple as being grateful, if done repeatedly, can help you build tolerance for uncertainty because you believe that there will be good things to be grateful for either way.

    Related: How to Practice Gratitude as a Business Skill

    4. Make contingency plans

    Building a business requires making assumptions and following gut feelings. A majority of the time, those assumptions are wrong. Worst off, verifiable market research data may look so wrong when reality sets in. If they were always right, I guess uncertainty would be every entrepreneur’s least problem.

    So, as you make assumptions and lay out plans to succeed, it’s crucial to also plan for failure. What would you do if reality renders your assumptions nonviable? What are your Plan B and Plan C?

    You have to figure these out. According to a report by the Harvard Business Review, in times of uncertainty, the best entrepreneurs create contingency plans that can allow them to change course quickly. This is particularly helpful because most lethal circumstances are beyond the entrepreneur’s control. Talk about changes in market trends, and like in 2020, the pandemic.

    Related: 6 Strategies You Need to Run Your Company Through Uncertainty

    It’s very easy to get tangled up in the need to control your future and that of your company. And knowing that some things just aren’t fated can be unsettling. That’s understandable. You’re not alone. Many have learned to live with it. And so can you.

    The best approach to tolerating uncertainty is to stop resisting change and accept what you can’t control. Also, reduce the amount of uncertainty that you need to deal with by delegating some of them while making plans to recover from possible failures.

    Most importantly, don’t forget to pause and appreciate the little things that you experience along the way. As with most processes, building tolerance for uncertainty is a worthwhile journey. You don’t want to miss the opportunity to be grateful.

    [ad_2]

    Judah Longgrear

    Source link

  • How This Founder Is Challenging Us to Unlearn Toxic Expectations When it Comes to Beauty

    How This Founder Is Challenging Us to Unlearn Toxic Expectations When it Comes to Beauty

    [ad_1]

    Opinions expressed by Entrepreneur contributors are their own.

    Growing up, my mother never wore makeup. I remember a jar of Olay face cream on her dresser nestled next to a bottle of Beautiful perfume. From time to time, she’d paint her toenails red or occasionally put on lipstick for very special events. My mother’s simple beauty regimen is the reason why, to this day, I’ve never embraced wearing makeup. And the truth is, even as an adult I don’t know how to wear makeup. No one ever taught me how.


    Kulfi

    “Growing up in South Asian culture, I wasn’t allowed to participate and use makeup,” says Priyanka Ganjoo, founder and CEO of Kulfi. “We weren’t supposed to attract attention, and we were actively discouraged from focusing on anything beauty related. My mother never showed me how to use makeup either.”

    As an adult, my relationship with makeup has slowly evolved. I’ll use a little bit of blush, a touch of eyeshadow and maybe a dab of lip gloss. But never eyeliner — it requires too much precision for someone who doesn’t know what they’re doing.

    Enter Kulfi. Its award-winning kajal eyeliner has made me love eyeliner. It’s easy to use, and the intense, long-lasting color doesn’t budge, sparing me of raccoon eyes. Nazar No More (black) is my absolute favorite, although I hope to try some of the bolder colors like Rain Check (blue) and Purply Pataka (berry).

    Although the beauty industry was hit hard by the pandemic, marketers like Ganjoo have been resourceful, coming up with innovative ways to sell to customers. Many direct-to-consumer brands like Kulfi found success when consumers had no other choice but to shop online. In 2020, the global beauty industry spend was $483 billion, and by 2025 it’s expected to be $716 billion. And where those sales are coming from is rapidly changing: Online sales will make up 48% of spend by 2023.

    “While we had to delay the launch of Kulfi due to the pandemic, it ended up working out for the best,” Ganjoo says. “It gave our team a chance to really grow our community of Kulfi fans in a digital-first environment and made the launch a huge success.”

    Image Credit: Kulfi

    Here are three of the biggest lessons Ganjoo has learned in building Kulfi.

    Understand your why

    “Growing up, I wasn’t one of the pretty girls,” Ganjoo says. “I was extremely curious, excelled in school and spent my summers in Delhi eating kulfi, a type of Indian ice cream. I named the company Kulfi as an ode to that little girl, now that I have the power to reclaim beauty for myself and so many others.”

    Ganjoo remembers starting her career at Boston Consulting Group and being told by coworkers that she looked tired. She didn’t wear makeup at the time, and she felt pressured to go and purchase concealer to cover her dark circles. “I’ll never forget that visit to the cosmetic counter. They told me my nose was too big; it needed contouring,” she shares. “They told me I needed to groom my eyebrows. They sold me over 20 products I didn’t know how to use, some of which didn’t even match my skin tone. I left feeling even more insecure and didn’t feel like myself.”

    With Kulfi, Ganjoo is focused on her why and her purpose for building this brand. She wants women to unlearn the toxic expectations that are set for us when it comes to beauty. “When I was younger, I wasn’t supposed to wear makeup because it might attract men, and I would be attracting the wrong attention,” she says. “Then I entered the workforce, and I was pressured to wear makeup so I didn’t look unprofessional.”

    Now, with Kulfi, Ganjoo wants women to wear makeup for themselves. She wants them to play with makeup and have fun with it. She wants it to bring them joy and be a way to express themselves. And finally, for all women to feel fierce and confident using Kulfi.

    Challenge the playbook

    Though her first foray into makeup wasn’t a positive experience, Ganjoo later ended up in the beauty industry herself, first at Estée Lauder and then at Ipsy. After years of building beauty brands for industry titans, she left Ipsy to build Kulfi. At the time, the marketing playbook was running Facebook and Instagram ads to create awareness, and hiring a celebrity was another quick fix to building a brand.

    “From the beginning, I challenged that playbook, and that made people uncomfortable,” Ganjoo says. “I knew I wanted Kulfi to be a community for all the people who looked like me, who had been excluded by beauty brands for far too long.” She drew inspiration from Glossier and Glow Recipe, both of which built strong followings. The products they continue to launch are all community driven.

    Originally, Ganjoo wanted to launch with a concealer to match her undertones. But the Kulfi community she was building had other ideas. “Every woman I talked to wished she had a better kajal eyeliner in her makeup kit,” she says. “No one was excited about this product. It was our opportunity to reinvent it.”

    Image Credit: Kulfi

    Historically, kajal is one of the most popular beauty products in India. It was originally applied as a form of protection, used to shield the eyes from harsh rays of sun and to ward off the evil eye.

    “With the launch of the Kulfi eyeliner, we wanted to celebrate South Asian beauty, accentuating beautiful dark eyes and eyebrows and giving women an easily accessible, no-hassle product,” Ganjoo says.

    Embrace your role as the visionary founder

    For Ganjoo, the road to fundraising hasn’t been easy. Before Kulfi launched, investors told her “the market is too small,” and “South Asian beauty is not aspirational” and “using dark skinned models won’t sell.” She didn’t listen to them. She was determined to build a brand that celebrated and centered South Asians in its narrative.

    After a successful pre-seed fundraising round, with a majority of women of color investing, it has changed her perspective on who will continue to be on her cap table. “To the extent I can pay it forward, I want to do that,” she says. “I want as many women of color building Kufli with me as possible.

    Ganjoo will never forget what one investor said to her. “You need a visionary co-founder, that was the feedback,” she says. “Despite all of my credentials, I still continue to face bias as a South Asian woman founder. Why do I need a white man as a co-founder sitting next to me to bring me credibility?”

    Here’s what Ganjoo knows for sure. Countless customers have told her that Kufli looks and feels so fresh and so different from what’s in the beauty marketplace. “That’s because Kufli has shifted the perspective to center the people who have been left behind.”

    Her advice now to all entrepreneurs listening: “Remember that you are the visionary founder. Don’t let anyone else convince you otherwise.”

    [ad_2]

    Mita Mallick

    Source link

  • 9 Ways a Venture Capitalist Can (and Should) Help Startup Founders After Closing the Deal

    9 Ways a Venture Capitalist Can (and Should) Help Startup Founders After Closing the Deal

    [ad_1]

    Opinions expressed by Entrepreneur contributors are their own.

    Most people think of a venture capitalist as an investor who provides capital to startups in exchange for equity. But that is only partly true. Venture capitalists are typically looking for a high return on investment. However, this high return will be difficult to attain without mentoring founders, sharing knowledge, resources and experience — and even providing mental support.

    Below, I’ll highlight nine ways an early-stage venture capitalist should help startup founders after closing the deal, and these points are exactly what differentiates a great investor from a mediocre one:

    Related: What I Learned From the World’s Greatest Venture Capitalist

    1. Sharing mistakes

    Those VCs who are entrepreneurs and experienced doers themselves bring in their valuable experiences and problem-solving skills possessed after overcoming hurdles in their own startups for years. But what is even more important is that while founders are only focused on one startup, venture investors have invested in dozens, so they are able to inform founders of the mistakes they’ve made in the past and the lessons they’ve learned from those mistakes. They can help founders avert similar situations. So, keep in mind that founders become stronger being surrounded by other entrepreneurs from the VC‘s portfolio.

    2. Visibility and credibility

    If you are a VC-backed startup, that means someone trusts you with their money. That’s a credibility criterion. Furthermore, if you are a VC-backed B2B software startup for your enterprise clients, the fact that you have already raised money will mean that you are sustainable enough to fulfill the contract, and you have enough runway. This is also a good sign for banks if founders want to take out a loan — and it goes without saying that founders appear on the radar of growth-stage VC firms. They often follow the successes of their peers’ portfolio companies. That’s exactly the kind of visibility entrepreneurs need.

    3. Industry expertise

    Most venture capital firms have their funds with an industry focus: B2B SaaS, MedTech, Creative Economy, etc. This means that the VC team has seen hundreds of tech companies, and they’ve most likely previously worked in the field in which any given founder is currently building their startup So, they have a wealth of knowledge to pass on to founders. At our venture capital firm, we have data-driven systems for monitoring industry benchmarks, for instance. Founders shouldn’t underestimate the benefits they can gain from such expertise.

    Related: 9 Top Venture Capitalists Share Their Best Advice for Entrepreneurs

    4. BoD meetings

    Having a place on the Board of Directors of a startup is a common practice for early-stage VCs. Most BoD meetings are held once a quarter, where the founding team shares metrics, results and financial forecasts for the future. Those meetings help both with operational issues and with crafting strategic plans — and experienced VCs often give wise pieces of advice regarding all of them.

    5. Evaluation

    Venture capital team members, being outsiders, provide a third-party evaluation of startups. They often ask questions and critically examine your plans, work and execution. It’s important for founders to listen to people who are interested in their growth, but not involved in daily operations. The VC is waiting for the startup’s growth and thus thinks strategically, that’s why a VC might be the best advisor in opening the founder’s eyes to some major moves and not making small problems a big deal.

    6. Financial modeling, PR and HR

    Founders don’t always know how to get recommendations on their potential CMO or Chief of Sales. They can ask their VC firm’s partner if he or she has any honest reviews in their professional network about the candidate. Let’s say a founder has questions about building a financial model. Whom should they ask? I bet 99% of founders can go to their VC firm’s associate, and they’ll help. And when founders have a news peg, but are too small to hire a PR specialist — bingo! — the VC’s PR expert can help. That is what we call “an entrepreneur-friendly VC firm.”

    Related: The How-To: Choosing The Right Venture Capitalist For Your Startup

    7. Mentoring

    In the initial stages of any startup, founders are in a vulnerable position and need mentoring in order to avoid fatal mistakes, not waste time on useless actions and scale their business. A VC will not teach you to do your business, but a VC can be a partner to brainstorm a strategic question or give some tips on decision-making or scaling, for example. Systematic peer-to-peer meetings with constructive feedback are crucial for most entrepreneurs, even serial ones. Investors provide this support and share insights by investing their time and resources during such sessions.

    8. Mental support

    It is always good to know that somebody believes in you. Sometimes a VC can operate like a therapist — if founders feel like they can’t be vulnerable with their clients or even with their colleagues, the investor who was once in the same boat might be the right person for the founder to shout SOS to when they need support. Most VCs are experienced managers and decision-makers, and they really know how to encourage entrepreneurs.

    9. Contacts, networks and intros

    By utilizing their contacts, an investor may be able to open more doors for building strategic partnerships. An investor’s network may help with collaborations with other startups, and they may be able to empower the user acquisition marketing strategy, for example, by the means of cross promotions, various referral programs, as well as guest blogging and integrations into partners’ newsletters. Moreover, early-stage VCs are always the ones who are interested in getting later rounds. They introduce founders to more investors and help with growth, expansion and funding.

    Whether a VC will help founders along the road to becoming a unicorn or instead be an obstacle could not be evident after just two or three calls or meetings. Founders should always do reverse due diligence and talk to several portfolio companies to learn whether or not the VC they’re interested in is one who would do everything from the list above.

    [ad_2]

    Alexander Chachava

    Source link

  • TYE Boston’s Final Pitch Competition Showcases Next Generation of Change-Makers

    TYE Boston’s Final Pitch Competition Showcases Next Generation of Change-Makers

    [ad_1]

    Teen Entrepreneurs pitch 12 startup solutions for the chance to go to the TYE Global Competition

    Press Release
    –


    updated: Jun 3, 2021


    BOSTON, June 3, 2021 (Newswire.com)
    –
    TiE-Boston Foundation, Inc. hosted the 2021 TYE (TiE Young Entrepreneurs) Boston’s Final Pitch Competition. Twelve startups created by 61 high school students representing three countries, six states, and 54 high schools participated in the day-long virtual pitch competition. Teams competed for $9,000 in cash prizes and the chance to represent Boston at the TYE Global Competition on June 18th and 19th.

    Top honors went to Scollab, an online platform designed to improve collaboration between students, as they secured first place, followed by Viva, a hardware solution to help plant owners keep their plants thriving, and Spare!, a digital solution to help keep track of coupons to help shoppers save money. Pryntic, a marketplace that provides people with an easy way to sell and buy creations made by people with 3D printers, won Best Prototype and Curls 4 Gurls, a digital solution that recommends products to help women with type 3 (curly) and type 4 (coily) hair achieve their goals, won Best Lean Canvas. The event saw a turnout of over 250 attendees and was judged by venture capitalists and entrepreneurs.

    Melanie Habwe Dickson, one of the guest judges for the event, closed the proceedings with a message to the TYE students. She said, “Congratulations on the artwork, the craft, and the technical expertise that all of you clearly invested in. I think that is especially important and especially noteworthy … The fact that so many of you poured your heart and soul into thinking about how you could create impact is really commendable.”

    Sprinkled throughout the event were videos from TYE Alumni sharing their experiences in the program. Daniel V., a rising sophomore at Dickinson College and TYE alumnus ’19-’20, shared that “one of my favorite memories would have to be meeting my mentor … He brought a lot of enthusiasm and energy to the table that we needed, and I feel that is why we were so successful.”

    TYE Boston’s Entrepreneurship Academy is dedicated to fostering the next generation of leaders through the transformative experience of building a startup. Over the course of six months, exceptional high school students are taught a rigorous curriculum by startup founders and industry experts and collaborate with their peers to create a solution to a pressing problem they identify. This year’s cohort created solutions for issues ranging from the democratization of 3D printing, combating student stress during COVID-19, providing unbiased news, and mobilizing Gen Z to support local businesses.

    Generous sponsorship for the event was provided by DS SolidWorks Corporation, Innovate@BU, Santander, CIMCON Software LLC, New England Innovation Academy, and Bleumi.

    The competition concluded with all participants as winners as all the teams took back with them plenty of experience, important feedback, and long-lasting connections.

    Applications for the 2021-2022 TYE Entrepreneurship Academy are now open. Learn more today.

    For more information, contact: Katie Quigley Mellor, TYE Program Director, katie@boston.tie.org

    Source: TiE-Boston Foundation, Inc.

    [ad_2]

    Source link