Early stage founders typically get thrown for a loop when they're asked for their TAM. Here's two ways to think about it that both make sense, but not really for the same person at the same time!
Let's say you're a domain expert - 10-15 years in manufacturing sw for auto ancillary units. You know the end users, you've done pre-sales, deployment, you know what their problems are, you even know how to solve some
You decide to startup to solve one of the problems Yay!
The founders of your company hate to see you leave, but also know you're a go-getter. They agree to support you with angel investment, and access to customers. You find a few friends who're hitting a glass ceiling, and want out of mid-mgmt, and into an exciting startup.
Many founders/entrepreneurs often get taught the misconception that investors are the first step in setting up!
Today, the method has changed and so should you! In the rise of startups, following the Lean Startup method is the norm now.
By building a prototype, testing your products to early adopters and then funding through crowdsourcing and family/friends, a successful product will attract VCs and investors to invest without needing to chase after them.
VCs are more focused on scaleups on existing products.
Banyak banget yang nanya, ngerjain startup tu asik ya? Gw share dikit ya ilmu gw di per-startup-an selama 13 tahun terakhir. Bakal panjang ya jadi sabar-sabar ngikutinnya
Gw yakin banyak banget di sini yang ngebayangin jadi kaya Mark Zuckerberg gara-gara nonton the social network. Bikin startup tidak seindah itu, apalagi jaman sekarang, PENUH PENDERITAAN. Iya lo ga salah baca. PENUH PENDERITAAN. Tapi bukan berarti ga asik kok sob nanti lo liat
Pengalaman startup pertama gw dimulai tahun 2005. Startup pertama gw adalah sebuat software house. Jaman itu masih ngenes lah. Kenapa ngenes? Itu jamannya masih kalo lo di bidang IT harus bisa jadi superman yang bisa segala macem dan dibayar serendah mungkin
Having a rich investor buy into our business ideas to fund the growth of our empires is a dream for many startup founders.
For the rest of us, we have to wake up and fund our own businesses.
Review this thread for practical tips for Bootstrapping your business.
What is Bootstrapping?
The Small Business Encyclopedia defines it as: Financing your company's startup and growth with the assistance of or input from others.
I define it as: Building a business with out of pocket financing w/out the guidance of a parent company.
Bootstrapping Strategy #1
Know your operating costs and expenses. Ruthlessly manage unnecessary expenses.
If your partners are money-motivated, it is important to form an agreement to delay gratification. Run a lean ship in order to stay afloat.
1/ It takes people, tools and execution to create a new product and bring it to life. Here’s a shoutout to a few products and services that have been tremendously helpful to @MarieProkopets and I as we’ve built @usefyi 🙏. producthunt.com/posts/fyi
2/ We used @typeform to create a half dozen surveys that helped us learn everything we possibly could about how people use documents. These surveys helped us learn what problems to solve with @usefyi. @DOkuniev and @robert22munoz, you two have built a beautiful, useful product!
3/ @Calendly helped us easily schedule meetings for @usefyi customer interviews so we had less back and forth emails about finding the best time and best way to chat.
2/ At $150bn valuation @AntFinancial Services Group, which was spun out from #Alibaba in 2014, and one which owns China’s biggest payments app, #Alipay, is the biggest #unicorn in the world.
3/ Drivers of Ant Financial's $150bn valuation:
1: Size of #mobilepayments market in #China : ($13 trillion - 61.8% transactions globally)
3: 700 MM smartphone users
4: 76% of of those made a mobile PoS purchase in 2017
5: Penetration: street vendors accept m-payments
Success in small business requires the conscious cooperation of other people to succeed. We naturally rely upon the direct support of our immediate peer group.
There are 3 types of friends.
Only 1 type has the capacity to support your evolution.
Let’s go deeper.
The first type of friends you develop are your Rite of Passage friends.
You meet during moments of transformation. During times of stress, the mind seeks familiarity & comfort.
Common interaction points:
Bootcamp, Freshmen year of college, high school athletics, church choir