Thread by @ido_sum

Well... a bit over hyped for what it is:

https://twitter.com/refsrc/status/1527238287471292417?s=20&t=dOXC2Nhz5evIL5Ip0ymx3Q

Someone at #YC woke up and felt inspired to share the obvious (but in 10 points - so its feels special). Jokes aside, what's NOT there is much more important than what is. Bare with me... 🧵👇

1/ Dear friends who pushed (pre) seed to a cap of $30-$50m with no DD till a month ago, reality is happy to have you joined.
What still strikes weird - is the whole thing is still 99% only about fund raising and valuations and how to manage both...

2/ what it's not about is the only thing that will matter. #CreateValue. In a world with 6-10% inflation, with public markets melting away and money becoming expensive - customers become much much #smarter spenders.

3/ Top line won't matter as a standalone, as the key now is be extremly clear about value propostion to clients. Solving real needs and not 'nice to haves'. Focusing on burn efficiency, margins and unit economic.

4/ NOT selling BNPL for those who cant afford today hoping they will tomorrow. Not embedding finance in every model, but helping people with and businesses do more with the means they have vs. with those they don't.

5/ Be responsible. Spend less on 'Swag' and 'Brand building' and more on CaC, organic and retention, not just signups MoM. Anyway - generic advice is ok, but to be great and do well in such markets - we all need more (than general twitter posts...)

6/ Lastly, the always too generic advice for emerging markets (and our beloved #AfricaTech included). DO NOT listen. Find your customers pains. serve them with the right, even if #unsexy and #complex models. Don't just try and fit US VC molds and buzz words.

7/ Be true to what you are trying to solve. Make sure its a true pain (and not a 'nudge'), and deliver clear value at same or lower price than current spend. Build more efficient infra when need, and save if possible. but focus on building the best foundations, to stand alone.

8/ World wil lkeep turning, and cycles will keep happening. Down markets will have up markets. Play your best hand now, and survivors may win really big. Choose partners that you trust, and prioritise trust over dollars. It wil be worth more.

9/ Be open with your teams about the potnetial bumps. and downturns. MAke sure your core team sees a big picture and has the right upside, as well as is there to solve something they believe needs to be solved.

end/ Reality will serve us well + the resiliance of most #Africanfounders (untill very recently) should still be there and play to our benefit. Such times help clear the thinking on whats core vs. what better for the valuation. Focus on the former. We'll do just fine. #AfricaTech