It appears that the experiment known as creative.ai will be ending soon, roughly four years after it began. Since I got permission to share, I thought I'd write more about my part in particular and what I could have done differently.
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Thread < 1 /🧵>
2/ I say "experiment" because on some level everything is just an experiment, with lessons to be learned from the outcomes. Experiments never fail!
With hindsight I feel more able to discuss this rationally...
With hindsight I feel more able to discuss this rationally...
3/ However, when you're in the trenches, everything can feel like a critical moment — with the full weight of potential failure behind them.
𝑁𝑜𝑏𝑜𝑑𝑦 𝑠𝑎𝑖𝑑 𝑖𝑡 𝑤𝑎𝑠 𝑒𝑎𝑠𝑦, 𝑏𝑢𝑡 𝑛𝑜 𝑜𝑛𝑒 𝑒𝑣𝑒𝑟 𝑠𝑎𝑖𝑑 𝑖𝑡 𝑤𝑜𝑢𝑙𝑑 𝑏𝑒 𝑡ℎ𝑖𝑠 ℎ𝑎𝑟𝑑.
𝑁𝑜𝑏𝑜𝑑𝑦 𝑠𝑎𝑖𝑑 𝑖𝑡 𝑤𝑎𝑠 𝑒𝑎𝑠𝑦, 𝑏𝑢𝑡 𝑛𝑜 𝑜𝑛𝑒 𝑒𝑣𝑒𝑟 𝑠𝑎𝑖𝑑 𝑖𝑡 𝑤𝑜𝑢𝑙𝑑 𝑏𝑒 𝑡ℎ𝑖𝑠 ℎ𝑎𝑟𝑑.
4/ I don't want to diminish the challenging time it was for everyone; some days felt like months — in both amazing and regrettable ways too.
But I will focus on my own perspective, one of the most difficult yet insightful periods of my career, since that's my story to tell.
But I will focus on my own perspective, one of the most difficult yet insightful periods of my career, since that's my story to tell.
5/ So creative.ai was setup in a way that made everything challenging. It was:
- fully remote
- pre-product
- first-mover
But biggest challenge of all was — unexpectedly — being venture-funded.
- fully remote
- pre-product
- first-mover
But biggest challenge of all was — unexpectedly — being venture-funded.
6/ I'm sharing as there's lots to learn from both the highs and the lows, with lessons that are especially relevant now with many startups getting turned upside down as their markets are swept away beneath their feet.
Don't hear this story told often, maybe it helps someone!
Don't hear this story told often, maybe it helps someone!
7/ Over the years, I've bootstrapped companies, created new businesses from prototypes, grown and fostered large communities, managed well-funded R&D projects — but this was very different.
My biggest mistake was on the investor front. Let me explain...
My biggest mistake was on the investor front. Let me explain...
8/ We picked our investors based on the partners we wanted to work with. It made sense at the time, and I'd do that again!
Unfortunately and unforeseeable, one partner left about a month before we finalized our seed round paperwork, and another left barely a month after.
Unfortunately and unforeseeable, one partner left about a month before we finalized our seed round paperwork, and another left barely a month after.
9/ Two VCs down, we ended up with what's called a "broken syndicate" (as I learned later) and my biggest mistake was not noticing how critical it was and not knowing what to do about it.
avc.com/2018/11/broken…
avc.com/2018/11/broken…
10/ Effectively, creative.ai felt like it was written off within months of getting the money for our seed funding (2.2m) round on our bank account :-|
11/ External advice we got at the time was:
> "just build the business like you're on your own"
It's perfectly sensible to focus on the business, that's needed anyway. But the investor problem wasn't going anywhere and it would only get worse over time!
> "just build the business like you're on your own"
It's perfectly sensible to focus on the business, that's needed anyway. But the investor problem wasn't going anywhere and it would only get worse over time!
12/ More outside advice we got quite a bit later:
> "wipe out the cap table and start again with a new vehicle"
This is wise too, but when you're flying the plane as you're building it, switching to another plane in mid-flight seems riskier still!
> "wipe out the cap table and start again with a new vehicle"
This is wise too, but when you're flying the plane as you're building it, switching to another plane in mid-flight seems riskier still!
13/ Hindsight is 2020. Knowing what I know now, I think I could have at least addressed the root problem earlier, or figured out a smoother transition for everyone.
Instead, I ended up trying pretty much everything I could think of with increasing urgency...
Instead, I ended up trying pretty much everything I could think of with increasing urgency...
14/ One instance in particular, I arrange a two-week "jam" where team members could do whatever the fuck they wanted to do :-]
It didn't go down well with everyone, but I'd do it again in a heartbeat. In the word of the team, it was their most productive fortnight!
It didn't go down well with everyone, but I'd do it again in a heartbeat. In the word of the team, it was their most productive fortnight!
15/ Giving employees freedom what to work on is one of the most proven ways to foster creativity. (Those familiar with in-house game jams know ;-)
blōma was born out of those two-week projects, among other projects that are still just as relevant now as they were then...
blōma was born out of those two-week projects, among other projects that are still just as relevant now as they were then...
16/ Over the lifespan of creative.ai we built a dozen different businesses: multiple with bad timing, but some made money pretty quickly, others led to acquisition interest, one project won an award!
But none of them really fit with the expectations of our syndicate.
But none of them really fit with the expectations of our syndicate.
17/ Right now, there's a team that wants to continue, but it's unclear exactly how that will happen. It's quite a mess :-|
Either way, I will gladly post more on this topic if it's interesting to you... There are many more of my mistakes learn from, I made them all!
Either way, I will gladly post more on this topic if it's interesting to you... There are many more of my mistakes learn from, I made them all!
18/ DISCLAIMER: This is my own uncensored perspective of the situation. For legal reasons, other organizations involved may have different official stories.
19/ Also, I'm no longer associated with creative.ai since mid-2018. The company was split up and I tried to help promising projects spin out — unfortunately with quite mixed results...
Sure, it's the least I can do!
If any founders or leads in the #generative or #CreativeAI space needs advice, I'd be happy to help in any way I can...
If any founders or leads in the #generative or #CreativeAI space needs advice, I'd be happy to help in any way I can...
What surprises me the most is that creative.ai's experience isn't really unique. I think we can do better, and I hope writing about it helps push things in that direction.
