Showing posts with label business. Show all posts
Showing posts with label business. Show all posts

Tuesday, June 9, 2009

the way i work: essie weingarten

The Way I Work: Essie Weingarten, Essie Cosmetics

"God gave me an innate ability to pick colors."

From: Inc. Magazine, April 2009 | By: Liz Welch


In 1981, Essie Weingarten boarded a plane bound for Las Vegas with a suitcase full of nail polish and a plan. She wanted to sell her chip-resistant line of varnish -- in 12 unconventional colors, with names such as Baby's Breath and Bordeaux -- to every hotel and beauty salon in Sin City. Back then, there were fewer than 200 nail salons nationwide, and the few cool colors available were for sale only at high-end department stores. Today, Weingarten's company, Essie Cosmetics, sells to more than 250,000 salons and spas worldwide, from Denver to Dubai, and shoppers spend $150 million a year on Essie products. As a small army of sales reps and distributors touts the line salon to salon, Weingarten, 59, jets around the globe, attending fashion shows in Milan, a sales meeting in Santo Domingo, a speaking engagement at Harrods. All the while, she has her eye out for next season's trendy colors.

I usually get up around 5:30 a.m., put on the news and get a little depressed, and then go back to sleep for another hour or two. I'm up by 7:30, and then it's nonstop all day. I met Max [Sortino], my better half and business partner, 21 years ago at a trade show. He owned a company with his ex-wife that sold jewelry for the nails. Remember that? It was very hot in the '80s.

Max and I have breakfast together. He gets up at, like, 4 o'clock in the morning and is an e-mail freak. I am a phone freak. I like to talk; he likes to write. But I must have freshly brewed coffee first. I have a little coffeemaker that only makes four cups, and a mug is two. That's the way we do it. I'm a maniac. If I smell coffee that's not fresh, I won't drink it. I love cappuccino, but I took my machine out to our beach house in the Hamptons, because we were getting addicted! Now, it's a weekend treat.

I'm one of these germ freaks. I shower in the morning and at night. I wash my hair every night and blow-dry it and then blow-dry it again in the morning, because it's curly. Then I have breakfast. If I'm being good, I eat fresh fruit with rolled oats. Sometimes, I'll put a piece of Melba toast with American cheese in the toaster oven or a piece of sourdough with Muenster cheese -- it's almost like a pizza.

I work from the house in the morning, taking care of the important phone calls, because it's quiet. We live on the Upper East Side of Manhattan, and my office is in Astoria, Queens, close to where I grew up. My father died in 1965, one week before I turned 16. My mother had five kids and never worked a day in her life, and yet she took over his party rental business. Back then, there were no women in business, so she was a great role model for me. She's also the reason I went into the nail polish business. If I was a good girl, she would take me to the beauty salon with her every Saturday. That started when I was 6 -- there were only a few boring colors, and I remember wondering, as a kid, Why can't I paint my nails blue?

I arrive at the office around 11 a.m. Sometimes, I will drive in with Max, though he often comes in later. He prefers to work alone from home, but I like being in the thick of things. My office has glass walls, so people can always see me. I have an open-door policy -- if people have questions or concerns, they know they can walk right in. I always say, "If in doubt, just ask." It's safer that way.

I don't have a personal assistant. People think it's funny that I answer my own phone -- I often pick up on the first ring. But that personal touch is important to me; I like to know what people are saying. When your company grows, it can become impersonal.

I rarely have a set office schedule, unless I am traveling. People pop their heads into my office every day, whether it's Elizabeth, my VP of marketing, saying we need to meet to talk about the spring launch, or Tiffani, my head of PR, wanting to discuss interview requests or public appearances.

God gave me an innate ability to pick colors, which is a good thing, because we produce six colors a season, four times a year. I never know when I'm going to see something that might translate into a nail polish. It could be a fabric or a pincushion that just may have the right intensity of pink. Sometimes, I buy a pair of shoes, even if they only have a size 11, because the color is so perfect. Then I give the item to the chemist, who is out in New Jersey, and he matches the color. Sometimes, I imagine a color but cannot find it, so I keep a Pantone color wheel at my desk. I meet with Michelle, my color engineer, and we often actually mix the colors. It's like a kid's art class. We tweak until we arrive at the right color.

I try to go to as many fashion shows as possible -- New York, London, Milan, Paris, Berlin. I see everything, from Oscar de la Renta to Zac Posen and everyone in between. Spring was totally black, white, yellow, and maize -- boring. I came back to my office and told my team, "We have to have colors that are going to put a smile on everyone's face. This country is in a funk." So, I went brighter and fun. I decided to use uplifting names and colors -- there's a bright red called One of a Kind, a pale coral pink called Eternal Optimist, and a bold blue called Mesmerize. I wanted to call that one Obama Mama -- he's our savior -- but we already have Bahama Mama. We thought it would be confusing -- which Mama do you want?

Every day, someone asks, "How do you come up with all the great names?" I keep a list going at all times -- I jot them down in my Mont Blanc notebook, which is my lifeline. I'm devastated, because they don't make this size anymore, and mine is pretty beat up. I love it, because it fits in my clutches and my small bags, so I can always bring it with me. It is jammed with my scribbled notes. When we are ready to name the new line, I sit down with a few people on staff and pass around a list of roughly 16 ideas. People put little check marks next to their favorites, and nine times out of 10, my favorites win. But some don't. No one liked No Pre-Nup.

In the early days, I would drive around Manhattan with a box of nail polish in my trunk, searching for new salons to drop off samples. But in 1983 and 1984, as nail salons started proliferating, I hired sales reps: one for Manhattan, one for Queens, one for Las Vegas. Since then, the whole business model has changed. Now, we work with distributors. They sell our products for us, which means we have to sell our products to them. Either I go, or I send someone, to these sales meetings, where we get 15 minutes to sell them on our product. Then, their salespeople go out and sell to the salons.

That's why we need to get to the consumer directly. We have been doing trade advertising for 15 years and just started consumer advertising five years ago. We get e-mails and phone calls from people in places we used to call flyover states who say, "I saw your nail polish advertised in Cosmo. Where can I find it?" Some people e-mail and say, "Why isn't Essie in our town?" And that gets brought up in our sales meetings, which I have weekly.

I get detailed reports once a week from all the outside salespeople and the 12 in-house staff members who support the field team. I'm in constant touch with my reps in the field. So if my Southeast guy is in Georgia meeting with distributors, he'll stop by salons or spas to take photos of how our product is being displayed so I know what we look like. If a retail outlet is not using shelf talkers -- those little strips that say, "As seen in InStyle" or "Winner of Allure's Best of Beauty Award" -- we can send them a package.

I used to do all the trade shows. But then my knees started to give in. It's such a great way to meet the people who sell our product and form relationships with them. I still go to as many as possible.

I am, like, a numbers freak. I used to look at them every day. It became an obsession. Then Max said, "Why don't you just look at them every month?" That was hard for me. But then I realized, if you have people you trust, you can let go. Now, I ask my VP of sales once a week how we're doing. Or, if we are having a particularly good week, he'll hover around my office, waiting to be asked. He keeps me posted.

I go out for lunch a few times a month, usually meeting with a magazine or if a customer is in from out of town. But if I'm in the office, I don't have lunch until 4 o'clock. I get so wrapped up, and then suddenly I'm starving. I love to cook; it relaxes me. So I'll run across the street to this great market and buy things to make lunch. When we bought the building, 10 years ago, we did a renovation, and I had a kitchen built adjacent to my office.

I f I have appointments in the city, either with designers, beauty editors, or sales reps, I always make a point of popping into random salons to say, "Hi; I'm Essie." And they say, "Manicure? Pedicure?" And I say, "No. I'm Essie." I take out my business card, and then they get all excited, and they start speaking in their native tongue. Who knows what they're saying about me? I ask what colors are really doing well, what's hot. We recently added new products to our line, so I ask if they're selling the cuticle pen or our hand and body lotions.

I've been going to the same manicurist for 20 years and get my nails done every Friday at 5 p.m., unless I'm traveling. She's in a salon on 65th between Madison and Park and has an incredible clientele: high-powered working women. I often find myself networking when I'm there. I was looking to do a charm, a little ballet slipper to put on our color called Ballet Slippers, and, sure enough, I met this woman there who recommended a jeweler, and I had the cutest ballet slippers made.

Media requests come in daily. Usually, it's a quick phone call, though occasionally my PR rep will set up an editor meeting or lunch. Getting product placement or editorial write-ups is even more powerful than advertising, so these meetings are incredibly important. We'll meet in the city at a restaurant or do a deskside meeting with an editor, depending on what we're launching. Our launches are very controlled. We know what the launch date is, 90 days before on long leads, so we do a marketing calendar and a publicity plan.

I also spend a lot of time thinking about marketing. Part of our strategy is to put the voice behind the brand. A lot of people didn't even know there was an Essie! Or they think I am Asian! So we teamed up with an advertising agency to help us with branding and started coming up with a new tag line for each season. The first one was, "Hi. I'm Essie, and I'm a color-holic." The agency came up with that one. But I love coming up with them, too. My favorite was, "From the bedroom, to the boardroom, to the ballroom." And then for a color in this past winter's collection, I came up with the name Rock Star Skinny, and the agency came up with the line, "All of the color, none of the calories."

I often work until 8 or 9 o'clock at night. When everyone leaves, I get a lot done. That's when I do what didn't get done -- e-mails, calls to the West Coast. I need quiet to really concentrate, because I'm a little bit scatterbrained; I'm doing a lot of things at once. I get home late, so Max and I might go out for dinner. Or, if we have had a big lunch, then I will throw together a salad and call it a night. I do my cooking at the beach house on the weekends. I like to read before bed -- Danielle Steel and Sidney Sheldon are my favorites, but often I am so tired, I conk out. If we're up, Max and I both love David Letterman, but I am addicted to Dancing With the Stars. I'm a frustrated dancer. I thought I was going to be a prima ballerina.

The end of last year was the first time our monthly sales were down. It was devastating. We're used to a double-digit increase. We were going to close almost 20 percent ahead for the year. Max tracks that with our accountant -- I used to. Now, I don't even look until the end of the month. And while I'm not happy with the way the economy is falling out, I always say, "We still make women feel good for very little money." We're the affordable luxury. Even if you're out of a job, you still have to look perfect. So, we're in a really good spot in a bad economy.

the way i work: matt mullenweg

The Way I Work: Matt Mullenweg

Matt Mullenweg, founder of Word Press and Automattic, manages a successful Internet business where everyone is working from home.

From: Inc. Magazine, June 2009 | By: Matt Mullenweg, as told to Liz Welch


As a high school student, Matt Mullenweg worked on open-source software projects in his bedroom. Seven years later, he still does most of his work from home. Mullenweg, 25, is the founder of Automattic, the company behind the open-source blogging tool WordPress and a handful of other software projects. WordPress.com powers 12 million blogs, including those of The New York Times, which invested in Mullenweg's company last year. Although Automattic's headquarters is within walking distance of Mullenweg's San Francisco apartment, he rarely visits the place. Instead, he spends his days either traveling the world to meet WordPress fanatics or holed up in his home office, where he often blasts Jay-Z and writes software code into the wee hours.

In the morning, I have certain aspirations. One of my goals is to avoid looking at the computer or checking e-mail for at least an hour after I wake up. I also try to avoid alarm clocks as much as possible, because it's just nice to wake up without one. I leave my shades up a bit, so I usually wake up about an hour after the sun rises. I usually don't eat breakfast, and I avoid caffeine. I've got enough stimulating things in my life already. I also avoid morning meetings: The earliest meeting I'll do is 11 a.m.

I like to read first thing in the morning. I'm addicted to the Kindle. I read a lot of business books, because I feel like I should figure out how to be a real businessman before someone figures out that I'm not one. I really enjoy reading classics as well, which I try to work in once every two months. Reading is my break. Otherwise, I go to sleep and wake up thinking about WordPress.

I travel a lot, but when I'm in San Francisco, I usually work from home. Everyone else works from home, too. We're a virtual company. We recently got an office on Pier 38, a five-minute walk from my apartment. I'll go to there once a week, usually Thursdays, and for board meetings, which happen about once every two months. We leased it so we wouldn't have to keep borrowing conference rooms from our VC partners. It's kind of sad; we have this great space right on the water -- and six days a week, it's empty. Of the 40 people working for the company, eight are in the Bay Area, but that's just a coincidence. They could be anywhere in the world.

We all communicate using P2, something we launched that allows users to publish group blogs in WordPress. It's a bit like Twitter, but the updates come in real time. With P2, we can share code and ideas instantly. There is a dedicated channel for each part of the company, and when there's a new message, it shows up in red. It may be someone talking about development or what he or she had for breakfast. I also use Skype for one-on-one and mini group chats.

In my home office, I have two large, 30-inch computer monitors -- a Mac and a PC. They share the same mouse and keyboard, so I can type or copy and paste between them. I'll typically do Web stuff on the Mac and e-mail and chat stuff on the PC. I also have a laptop, which I have with me all the time, whether I'm going overseas or to the doctor's office. I'm pretty rough on my laptops. I go through about two a year. I keep a server for my home network in the closet. I really enjoy computer networking. I sometimes do tech support for our employees who live in the Bay Area.

One of my favorite programs that we didn't make is Rescue Time. It runs in the corner of my computer and tracks how much time I spend on different things. I realized that even though I was doing e-mail only a couple of minutes at a time, it was adding up to a couple of hours a day. So I'm trying to reduce that. I have a WordPress plug-in that filters all my messages based on the sender's e-mail address -- so high-priority e-mails go into one folder and the rest go into others. Tim Ferriss, who wrote The 4-Hour Work Week, advocates checking e-mail twice a week, but that is too severe for me. Instead, I'm trying to implement Leo Babauta's approach from The Power of Less. He suggests small steps, like checking e-mail five times a day instead of 10. It's like dieting: People who binge diet gain it all back. That happens to me with e-mail.

I listen to music every day, a lot of jazz -- Dexter Gordon and Sonny Rollins. I also like Jay-Z and Beyoncé. I have an analog stereo that was hand built in Japan by a guy who makes a few systems a year. The aural experience is mind-blowing. Music helps me when I'm coding, which is still my priority. When you're coding, you really have to be in the zone. I'll listen to a single song, over and over on repeat, like a hundred times. And I turn off instant message and e-mail. If you are taken out of the flow, if that little toaster pops up that says you've got mail -- and you look at it, you've lost it. You're juggling variables and functions and layouts. The moment you look away, it all falls to the ground, and you spend 10 minutes getting it all back in the air again.

I also manage the support, usability, and product development people who are scattered all over the globe, from Alabama to Ireland to Bulgaria. My management strategy is to find extremely self-motivated and talented people and then let them go. There's no manager looking over your shoulder every day, so you need to be able to completely direct yourself. For every person we hire, we might get 800 applications. We always start people on a contract basis. And many of the people we've hired are contributors to the open-source project. It's what they were doing for fun at night after they'd already worked for eight hours a day, only now they'll get paid for it.

I'm also the primary person on Akismet, Automattic's anti-spam software for websites, which we created from scratch. We just added the first engineer six months ago, but for the past four years, it's been just me. I decided to do it because I was worried about my mom. She hadn't started a blog yet, but I had this crazy fear that when she did, she'd be bombarded by spam for Viagra and think that had something to do with what I did all day.

I go out for lunch whenever I can. I really enjoy lunches. There's something very personal about sharing food with someone. It's a chance to develop personal connections with folks. Often, I'll have lunch with Toni Schneider, my CEO. He and I get along superwell, which is one of the reasons I think the business has worked. He brings the gravitas because he's a digital native -- the former CEO of Oddpost, a webmail company Yahoo acquired in 2004. We'll go to lunch at 12:30 and stay until 5. If I'm in town, I'll get together with Toni as frequently as we can, because we really enjoy each other's company.

I'm very disorganized. I'm wildly late all the time and really bad at keeping a schedule. That is one of the many reasons I love Maya [Desai]. Her official title is "anti-chaos engineer," which is another way of saying office manager. She does a bunch of things for Automattic, including streamlining my schedule and arranging my travel. Last year, I was on the road for 200 days and clocked 175,000 miles. That's seven times around the globe. The bulk of my travel is to WordCamps. We did the first one in San Francisco in 2006. We invited people from the local tech community to come talk about open source. Later, we decided that, rather than having everyone come to us, we would go wherever people want to have the camp. So instead of paying thousands of dollars to go halfway across the world, it's 20 bucks to go down the street. And for that, you get a full day of great speakers, a T-shirt, lunch, and an open bar. Since then, there have been hundreds of WordCamps in countries such as Argentina, Japan, and China. We host one annually in the Bay Area, but the rest are organized by local tech communities.

Of the 45 or so WordCamps a year, I go to about half. If I went to all of them, I would be traveling practically every weekend. I open up each event with my "State of the Word" speech, which gives a broad overview of WordPress and the history of open source. I feel it's my responsibility to spread these ideas, because they have had such a profound effect on my life. The smallest gatherings have 50 participants, and the largest have about 500. In the Philippines, people treated me like I was a rock star. After the camp was over, I spent two hours taking pictures and signing autographs. People were like, "Will you sign my laptop?" "Will you sign my badge?" "Will you sign my body part?"

I use my camera when I travel to document my day. The photos are autobiographical -- because my memory's so bad, I'll often forget everything about a trip. Then, usually on planes, I process, upload, and edit those photos on my laptop and then craft a narrative of what I've seen throughout each day. It's like a visual diary. But it's hard to keep up with: I have photos from 2005 I haven't posted on my blog yet. On a trip to Vietnam last February, I took 2,000 to 3,000 photos. They say the difference between an amateur photographer and a pro is the amateur shows you everything. I'm somewhere in between. I'll post maybe a quarter of how many I took.

I used to think constantly about building an audience for my blog. But now my attitude is, If I'm not blogging for myself, it's not worth it. So I don't post once a day, only when it feels natural. Some people complain -- they say, "Write more about WordPress; we don't want to see photos of kids in Vietnam," but I don't really care. I really like posting photos of places I've been. For my 25th birthday last January, I published a list of 2009 goals on my blog. It included learning Spanish, learning how to cook, and posting 10,000 photos. The Spanish is going all right, but I'm failing the cooking one. I go out for every meal. If you open my refrigerator, you will find Girl Scout cookies and barbecue sauce. But I will reach the photo goal. By March, I'd taken about 6,000 photos and posted 2,000 of them.

People write a lot of comments on my blog, and I actually read and manually approve every comment before it gets posted. I think the broken-windows theory -- that a broken window or graffiti in a neighborhood begets more of the same -- applies online. One bad comment engenders 10 more. I'll happily approve a comment from someone who completely disagrees with everything I believe in, but if I get a positive comment with a curse word in it, I'll edit it out. My blog is like my living room. If someone was acting out in my house, I'd ask that person to leave.

I look at our numbers every day -- usually after 5 p.m. -- via an internal dashboard, where we track 500 to 600 statistics, from the number of words people are posting to how often they're logging in to WordPress.com. I wrote a lot of the software, and I'm most interested in the activity numbers -- how many people use the site every day. All the numbers update instantly.

I do my best stuff midmorning and superlate at night, from 1 to 5 in the morning. Some people don't need sleep. I actually do need sleep. I just sleep all the time. I'll catch naps in the afternoon, or I'll take a 20-minute snooze in the office -- just all the time. Our business is 24 hours. Our guys in Europe come online at midnight. Sometimes, I will go out at night, come home from the bar at 2 or 3 a.m., and then go to work.

For WordPress, we're trying to set up a community that will be around 10 to 30 years from now, that's independent from the whims of the market. I feel like the nonelected benevolent dictator: It's my responsibility to meet as many users as possible and direct the software project in a way that reflects their interests. Last year, I probably met 2,000 or 3,000 people who make their living from WordPress. We want to be like Google, eBay, Amazon -- they all enable other people to make far more money than they capture. And that's ultimately what we're trying to do. We're trying to create a movement.

My mom started a blog a couple of weeks ago. Six years into this, and we finally made it easy enough for my mom to use.

Thursday, April 23, 2009

Median Web Designer Salaries

In this difficult economy, ever wonder what the going rates for a web designer are in our country? Here is a list of average current web designer salaries in U.S. metropolitan areas, originally published on About.com:

Location


Salary
Find a Job
Alabama - Mobile


$59,905
Alabama
Alaska - Anchorage


$75,687 Alaska
Alaska - Fairbanks


$76,744 Alaska
Arizona - Phoenix


$64,500 Arizona
Arkansas - Little Rock


$59,565 Arkansas
California - Los Angeles


$73,043 California
California - San Diego


$69,434 California
California - San Jose


$79,982 California
California - San Francisco


$79,551 California
California - Ventura


$72,228 California
Colorado - Boulder


$59,913 Colorado
Colorado - Denver


$68,585 Colorado
Connecticut - Hartford


$71,869 Connecticut
Delaware - Wilmington


$69,682 Delaware
District of Columbia - Washington D.C.


$71,053 Washington D. C.
Florida - Jacksonville


$62,776 Florida
Florida - Miami


$64,239 Florida
Florida - Tampa


$62,320 Florida
Georgia - Atlanta


$65,518 Georgia
Georgia - Savannah


$61,066 Georgia
Hawaii - Honolulu


$71,653 Hawaii
Idaho - Boise


$62,006 Idaho
Illinois - Chicago


$70,674 Illinois
Indiana - Indianapolis


$64,487 Indiana
Iowa - Des Moines


$63,070 Iowa
Kansas - Kansas City


$64,917 Kansas
Kentucky - Louisville


$63,188 Kentucky
Louisana - New Orleans


$66,902 Louisiana
Maine - Bangor


$60,022 Maine
Maine - Portland


$63,997 Maine
Maryland - Baltimore


$68,070 Maryland
Massachusetts - Boston


$73,794 Massachusetts
Michigan - Ann Arbor


$70,544 Michigan
Michigan - Detroit


$71,431 Michigan
Minnesota - Minneapolis-St. Paul


$69,937 Minnesota
Mississippi - Jackson


$59,174 Mississippi
Missouri - St. Louis


$65,857 Missouri
Montana - Billings


$58,912 Montana
Montana - Helena


$59,082 Montana
Nebraska - Lincoln


$59,722 Nebraska
Nebraska - Omaha


$62,417 Nebraska
Nevada - Las Vegas


$67,809 Nevada
Nevada - Reno


$68,403 Nevada
New Hampshire - Manchester


$67,136 New Hampshire
New Jersey - Newark


$75,491 New Jersey
New Mexico - Albuquerque


$61,967 New Mexico
New York - Buffalo


$64,885 New York
New York - New York


$77,475 New York
New York - Syracuse


$65,544 New York
North Carolina - Charlotte


$65,146 North Carolina
North Carolina - Greensboro


$55,489 North Carolina
North Carolina - Wilmington


$60,988 North Carolina
North Dakota - Bismarck


$59,147 North Dakota
Ohio - Cinncinnati


$64,839 Ohio
Ohio - Cleveland


$66,562 Ohio
Ohio - Columbus


$65,107 Ohio
Oklahoma - Tulsa


$61,830 Oklahoma
Oregon - Eugene


$65,844 Oregon
Oregon - Portland


$64,617 Oregon
Pennsylvania - Philadelphia


$79,717 Pennsylvania
Puerto Rico - San Juan


$48,965
Rhode Isand - Providence


$67,097 Rhode Island
South Carolina - Charleston


$60,949 South Carolina
South Carolina - Greenville


$61,184 South Carolina
South Dakota - Sioux Falls


$59,526 South Dakota
Tennessee - Nashville


$62,502 Tennessee
Texas - Austin


$63,684 Texas
Texas - Dallas


$65,988 Texas
Texas - Houston


$66,986 Texas
Utah - Salt Lake City


$62,750 Utah
Vermont - Burlington


$57,052 Vermont
Virginia - Richmond


$64,637 Virginia
Washington - Seattle


$72,371 Washington
Washington - Spokane


$65,936 Washington
West Virginia - Charleston


$60,061 West Virginia
Wisconsin - Greenbay


$64,154 Wisconsin
Wisconsin - Milwaukee


$67,757 Wisconsin
Wyoming - Cheyenne


$57,920 Wyoming

Monday, March 30, 2009

Startups in 13 Sentences

Sometimes something is put together so perfectly, there is no need to reword or paraphrase. Here's my favorite for today. Hope Mr. Graham doesn't mind my copying & pasting it here.



Startups in 13 Sentences
February 2009

by Paul Graham

One of the things I always tell startups is a principle I learned from Paul Buchheit: it's better to make a few people really happy than to make a lot of people semi-happy. I was saying recently to a reporter that if I could only tell startups 10 things, this would be one of them. Then I thought: what would the other 9 be?

When I made the list there turned out to be 13:

1. Pick good cofounders.


Cofounders are for a startup what location is for real estate. You can change anything about a house except where it is. In a startup you can change your idea easily, but changing your cofounders is hard. [1] And the success of a startup is almost always a function of its founders.

2. Launch fast.

The reason to launch fast is not so much that it's critical to get your product to market early, but that you haven't really started working on it till you've launched. Launching teaches you what you should have been building. Till you know that you're wasting your time. So the main value of whatever you launch with is as a pretext for engaging users.

3. Let your idea evolve.


This is the second half of launching fast. Launch fast and iterate. It's a big mistake to treat a startup as if it were merely a matter of implementing some brilliant initial idea. As in an essay, most of the ideas appear in the implementing.

4. Understand your users.


You can envision the wealth created by a startup as a rectangle, where one side is the number of users and the other is how much you improve their lives. [2] The second dimension is the one you have most control over. And indeed, the growth in the first will be driven by how well you do in the second. As in science, the hard part is not answering questions but asking them: the hard part is seeing something new that users lack. The better you understand them the better the odds of doing that. That's why so many successful startups make something the founders needed.

5. Better to make a few users love you than a lot ambivalent.


Ideally you want to make large numbers of users love you, but you can't expect to hit that right away. Initially you have to choose between satisfying all the needs of a subset of potential users, or satisfying a subset of the needs of all potential users. Take the first. It's easier to expand userwise than satisfactionwise. And perhaps more importantly, it's harder to lie to yourself. If you think you're 85% of the way to a great product, how do you know it's not 70%? Or 10%? Whereas it's easy to know how many users you have.

6. Offer surprisingly good customer service.


Customers are used to being maltreated. Most of the companies they deal with are quasi-monopolies that get away with atrocious customer service. Your own ideas about what's possible have been unconsciously lowered by such experiences. Try making your customer service not merely good, but surprisingly good. Go out of your way to make people happy. They'll be overwhelmed; you'll see. In the earliest stages of a startup, it pays to offer customer service on a level that wouldn't scale, because it's a way of learning about your users.

7. You make what you measure.

I learned this one from Joe Kraus. [3] Merely measuring something has an uncanny tendency to improve it. If you want to make your user numbers go up, put a big piece of paper on your wall and every day plot the number of users. You'll be delighted when it goes up and disappointed when it goes down. Pretty soon you'll start noticing what makes the number go up, and you'll start to do more of that. Corollary: be careful what you measure.

8. Spend little.


I can't emphasize how important it is for a startup to be cheap. Most startups fail before they make something people want, and the most common form of failure is running out of money. So being cheap is (almost) interchangeable with iterating rapidly. [4] But it's more than that. A culture of cheapness keeps companies young in something like the way exercise keeps people young.

9. Get ramen profitable.

"Ramen profitable" means a startup makes just enough to pay the founders' living expenses. It's not rapid prototyping for business models (though it can be), but more a way of hacking the investment process. Once you cross over into ramen profitable, it completely changes your relationship with investors. It's also great for morale.

10. Avoid distractions.


Nothing kills startups like distractions. The worst type are those that pay money: day jobs, consulting, profitable side-projects. The startup may have more long-term potential, but you'll always interrupt working on it to answer calls from people paying you now. Paradoxically, fundraising is this type of distraction, so try to minimize that too.

11. Don't get demoralized.


Though the immediate cause of death in a startup tends to be running out of money, the underlying cause is usually lack of focus. Either the company is run by stupid people (which can't be fixed with advice) or the people are smart but got demoralized. Starting a startup is a huge moral weight. Understand this and make a conscious effort not to be ground down by it, just as you'd be careful to bend at the knees when picking up a heavy box.

12. Don't give up.

Even if you get demoralized, don't give up. You can get surprisingly far by just not giving up. This isn't true in all fields. There are a lot of people who couldn't become good mathematicians no matter how long they persisted. But startups aren't like that. Sheer effort is usually enough, so long as you keep morphing your idea.

13. Deals fall through.


One of the most useful skills we learned from Viaweb was not getting our hopes up. We probably had 20 deals of various types fall through. After the first 10 or so we learned to treat deals as background processes that we should ignore till they terminated. It's very dangerous to morale to start to depend on deals closing, not just because they so often don't, but because it makes them less likely to.

Having gotten it down to 13 sentences, I asked myself which I'd choose if I could only keep one.

Understand your users. That's the key. The essential task in a startup is to create wealth; the dimension of wealth you have most control over is how much you improve users' lives; and the hardest part of that is knowing what to make for them. Once you know what to make, it's mere effort to make it, and most decent hackers are capable of that.

Understanding your users is part of half the principles in this list. That's the reason to launch early, to understand your users. Evolving your idea is the embodiment of understanding your users. Understanding your users well will tend to push you toward making something that makes a few people deeply happy. The most important reason for having surprisingly good customer service is that it helps you understand your users. And understanding your users will even ensure your morale, because when everything else is collapsing around you, having just ten users who love you will keep you going.

Notes

[1] Strictly speaking it's impossible without a time machine.

[2] In practice it's more like a ragged comb

[3] Joe thinks one of the founders of Hewlett Packard said it first, but he doesn't remember which.

[4] They'd be interchangeable if markets stood still. Since they don't, working twice as fast is better than having twice as much time.