Humility is the Key

I recently attended a ceremony honoring innovators in my state, and the two top winners gave short speeches. One thing that struck me in both speeches was their humility. Both winners spoke about the legions of people who make their success possible, and how they really had little to do with it! It was all about the others.

That got me thinking about the role of humility in a successful startup. Another entrepreneur I know thinks she knows everything -- you can't make a suggestion, offer her an idea, or posit another possibility. She will tell you why you are wrong and she is right. Yet she hasn't raised a single dime of investment funding. Could there be a connection?

Everyone who invests in my business is going to believe they know something I don't--they not only want to help me succeed, they are going to expect it. And so do I! Everyone I talk to knows something I don't. Why wouldn't I want to learn from them? Why wouldn't I want to hear their ideas and opinions? I gladly accept advice from anyone who wants to give it. I am thankful that people care enough about me to offer their advice and give me their time. I'm sure they have other things to do, but they've chosen to spend this part of their day with me, and I'm going to listen to what they have to say. And be grateful so many people want to see me succeed. Whether I take their advice or not, I am humbled that they are willing to share it with me.

Don't Spend Money on Stuff that Doesn't Matter

Sometimes I see entrepreneurs spending scarce dollars on things that don't really matter to their particular business, and I wonder what they're thinking. For example, I've seen them spending lots of money designing and printing lavish business cards, and these are people who are NOT in the graphic design business. My cards were designed for free by a student at a local university, and copied at a copy center (not printed) for $65 for 200 of them. They look perfectly presentable for someone in the medical device industry.

Now I'm not saying I haven't spent some dollars in the wrong places, but this expense seems absurd to me. Any knowledgeable person I'm dealing with knows that my money is going into R&D, not business cards. One of my investors once complemented me when he noticed that the spreadsheet I was showing him had unrelated printing on the back (I recycled.) If I had whipped out a custom-designed card with an unusual shape and printing on both sides, I don't think it would have said "she'll spend my money wisely."

I write every check for every invoice, and probably will for a long time. It helps me to think long and hard about each and every expense. Think about the business you're in, and what you need to do to make an impression. If it's not in business cards, don't spend your money there.

Learning to Enjoy without Spending Money

There's no question that my social life has been curtailed as a result of my foray into entrepreneurship. I simply can't afford to do as much as I used to. But in some ways it has allowed me to meet new people, renew some old friendships, and improve some current ones.

When you can't take your family out for a nice dinner, sometimes it's just as fun to invite some friends over to the house. Maybe not for a big dinner, but coffee and dessert. I have found myself spending more evenings like this, just chatting with friends and neighbors, going for walks in the neighborhood, and in general hanging out with people without the added benefit of paid entertainment. I have enjoyed this, probably more than I expected.

Last weekend I went to a CD release party with a friend. There was no cover charge, and the band was so grateful for the large turnout they gave us a free CD. Check out the Jay Hoad Band and give a listen. Jay's from Australia but the music has a global sound. The point is I am probably open to more adventures now that I am watching my dollars than I was before, freely spending on concerts and plays that offered no personal interaction, only entertainment. Now my family and friends are my entertainment and it is very rewarding. Another side benefit of entrepreneurship!

Knowing When to Let Go

I think I ought to write about some mistakes I've made in addition to the ones I've observed. One of mine was not letting go soon enough of someone who wasn't working out. Of course, we all have stories about hiring/firing/not firing the right people, but this was someone who was eager, smart, hard-working, and producing results. The problem is, the job changed.

It went from a macro job (doing market research) to a detailed job (putting all that research into an action plan). It took me a long time to admit this person didn't have the right skills to get the results I needed. I tried to lead, but she did not follow. I was encouraged by her own enthusiasm for the project, but ultimately I had to admit I was not getting exactly what I needed and I had to look for someone else.

It's hard to let go of people with energy, enthusiasm, and commitment, but ultimately it's about the results. I have not replaced her, but I'm no longer fretting about the checks I was writing to her, either. It was the right move.

Get a Hobby, Too

After a few months of entrepreneuring, I started to get the feeling that my friends were getting bored with hearing about my business--and nothing but my business. I realized that I had put all my energy and focus into one thing, and I was becoming a dull boy..(all work and no play).

I did a few things to change that. I started a monthly Giving Circle, which is a monthly dinner in which someone makes a presentation about their favorite charity, and all the participants write a small check to that charity. I also started writing a book, and eventually a blog. Then I started a vegetable garden, and learned to cook Indian food.

All these things gave me fresh ideas, interesting topics to share, and even some new friends. I was able to have a conversation without blathering on about my business. And these hobbies give me an occasional respite from the intense focus of starting a company.

Don't Write Important Emails When You're Down

I recently drafted an update to my investors right after I had gotten some bad news about my business. Fortunately, I sent the investor update to a friend to read before I sent it out, and he stopped me from sending it. It was a real downer, when in fact most things were going very well. I was shocked when I re-read it the next day, and grateful that I had an opportunity to rewrite it.

There are a lot of ups and down in business, and when you're writing anything important--communicating to your Board or your investors, sending a note to a client, even writing a grant application--a temporary feeling of pessimism can cloud your message. If you're feeling down, DON'T WRITE ANYTHING. If you're not sure, wait a few hours and then draft your communication. But most importantly, have someone else re-read any critical messages before you send them, and see if they respond how you want the recipient to respond. Most of the time, that important message can wait until the next day, when the sun has come out and you're feeling positive and energetic once again.

Joining Professional Organizations

The company I started was in a field that was unfamiliar to me (long story, I'll tell you later) but I immediately joined 2 or 3 professional organizations in my new field, initially for the networking opportunties. But what I soon discovered was a treasure trove of educational opportunties as well. I signed up for as many as I could, and learned a lot about navigating my new industry, medical devices.

But many of the educational seminars were very expensive, so in every case I did all I could to get a discounted fee. I always made a point of calling the main office of the seminar sponsor to explain that I was a pre-revenue start up company, and needed the training but couldn't afford it. Nearly every time, a discount was offered to me. In some cases I used existing memberships (even AAA for travel expenses) to get discounts. Sometimes I called up other groups that were supporting me, such as local entrepreneurship organizations, and asked them to pay for the seminar, or at least part of it.

On my website, I have placed the logos of all the organizations I belong to. I am an active member, and if I'm not learning anything or meeting helpful people, I don't renew my membership. Oh -- and I always ask for a "beginner's discount" when I join. Most organizations have a lower, unpublished fee for pre-revenue companies.