The 2023 Founder knows what they have to offer, and why they get out of bed every morning to offer it. I wrote this post in the aim of providing a bit of encouragement and clarity on the commonalities of the founder’s journey from concept to commercial. Let’s dig in!
DEVELOPMENT. While a founder may believe your idea to be brilliant, its best to know for sure by getting up from the drawing board and into the lives of your ideal buyer to confirm need/ want for your offering, their willingness to pay (and how much), and your ability to deliver. Opinions differ on if its worth incorporating before you are clear on these points; seek legal advice to determine what’s right for you.
What’s required of you: HUSTLE! Once you are clear that there is a demand for what you are offering, you need to sell it -nothing speaks more loudly than revenue. While there is such a thing as Pre-Seed Stage funding, its a challenge to secure as it requires a strong & clear value proposition and Go To Market strategy. Prepare to commit 4-6 hours each day to calls & emails (and another 6-8 to running the business); go hands on in your sales efforts because hearing first hand from your market is just as important as making a buck. Your “hustle” will be required from proof of concept to the growth stage. [Sidebar: green tea is a healthy alternative source of caffeine if you suffer from anxiety or insomnia]
STARTUP. You have moved your offering from ideation to having a business is up & running! You can expect to wear many hats but, be sure to onboard help for those crucial roles that impact the delivery of your offering; sales is your job. Your vision created the offering, which makes you the best person to communicate it’s value to your leads and prospects. Your goal at this stage is to adapt the execution of your plans as you experience how your offering, and business, perform in the marketplace.
GROW. This leg of the journey is as much a function of mindset as it is ambition. I have seen many great businesses stop at the startup stage, often as a result of Founder’s Syndrome. The ability to move into the grow stage requires the ability to shift from the hustle that got you where you are to the ability to grind. Here your goal is to staff up or outsource what you aren’t amazing at, target three new markets where your buyer exists, and keep a firm eye on your COGS because profits are the best way to pay for it all.
What’s required of you: GRIND! Where your Hustle was centered around you leading the sales efforts of the business, the Grind is your fight to turn your successful startup into a scalable business. Your must-haves here are a strong CFO to make sure that you’re actually profitable, and a strong CSO to ensure that prospects are moving from funnel to pipeline to buyer; both of which can be outsourced.
EXPAND. Having a profitable business allows you to grow market share by entering new markets after previous targets have been secured. The general expansion cycle is this:
- ID MARKET -while you likely started as a local or regional player, it is time to look nationally to identify where you can most easily duplicate your success
- POSITION OFFERING -begin marketing your offering in that market to begin generating leads
- LAUNCH SALES -initiate aggressive sales activities (dedicate a minimum 20 hours/ week)
- ESTABLISH BRAND -leverage sales success to establish your brand in that market to improve lead gen
- REPEAT.
MATURE. At this leg of the journey your heart’s desired are revealed as you work to make one of three moves:
- Exit -sell the business for a windfall,
- IPO -take the company public,
- Legacy -acquire smaller competitors to continue growing market share.
I hope this gives you some comfort where the challenges of your journey are concerned. While raising capital is a great means of financing your GO HARD efforts, don’t forget that the founder’s journey itself is the greatest classroom to prepare you for the success you’re after. Now, get busy!!! If we can help, stop by GrowExpand.com and let us know how.