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Raising VC dollars is too often misunderstood by founders. Five fallacies to dispel before you start looking for funding: -> Growth at All Costs Fallacy: The belief that rapid growth is paramount and should be pursued at all costs. Leads to unsustainable business practices, burnout, and sometimes neglecting the fundamental aspects of building a solid, profitable business -> More Funding Equals Success Fallacy: Securing more funding from VCs is NOT ann indicator of a company’s success and future potential. It’s not a validation, but a chance to validate. While funding can help with resources, it also comes with higher expectations, pressure and a loss of control for the founders. -> Innovation Equals Disruption Fallacy: You DON’T have to be disruptive to be successful. While innovation is crucial, not every successful company needs to disrupt an entire industry. Many successful startups achieve success by incrementally improving existing solutions or finding niche markets. -> Exit Strategy Over Business Fundamentals Fallacy: Exits are an outcome, not a goal. Overly focusing on an exit can lead companies to prioritize decisions that enhance short-term valuations or appeal to potential acquirers, sometimes at the expense of solidifying their business for long-term sustainability. -> One-Size-Fits-All Approach Fallacy: There is no one size fits all playbook. Some VC’s put the notion. It’s wrong. A good VC will bring a tailored approach, acknowledging the specific context and stage of the company, is often more effective. What fallacies would you add? Would love to hear your thoughts. 🔥 Enjoy this post? You’ll love my FREE Founder’s Collective Newsletter and Founder’s Journey Podcast. Join thousands of global founders and leaders between the newsletter and the podcast! Links in comments and Profile.

Want to sound like an insider? Just ask an entrepreneur: “what keeps you up at night?” Guaranteed, they’ve heard The Question before and have an answer at the ready. But that won’t prevent a feigned moment of reflection before they launch into it. You’ll realize that it’s not just entrepreneurs who play the game, if you’re lucky enough to watch a fund-raising pitch to an investor group. The Question will invariably be posed by one of them at the end of Q&A, and the others will nod knowingly as the collective’s secret weapon is unleashed. The entrepreneur’s perfectly timed pause, then, answer (the latter, offered with the gravity of a Churchill wartime address) only add to the excitement. Sadly, theatrics and reality merge, with entrepreneur and investors alike convinced of the truth of the seemingly revelatory moment. A rarefied and distorted example of truth speaking to power. So what is the answer? A nothing-burger tailored to context no better than fast food. Have it your way.  The entrepreneur need merely choose from a small menu of common business concerns: supply chain, staffing, distribution. Done right, it’s an answer with which none would quibble and that’s guaranteed to be true, other than in the event of global nuclear war. It’s also one that subliminally drives home a key point: this business will succeed, unlike 95% of the other startups begging for the investors’ backing. Here’s a classic answer: “That’s a good question…. I’ve thought a lot about it, and I think we’ll have to work hard to keep ahead of the hiring curve. Demand is going to ramp quickly, and we’lll need trained employees to meet it.“ This is best delivered in the pose of Rodin’s The Thinker. There probably was a time when The Question was less trite. A few moments of old-school search on Google suggests that ended in the late 1990’s. Indeed, by the early 2000’s, prolific self-help author Andy Staley was touting The Question as leading to the discovery of “personal vision” and the Wharton School’s business journal was posing it in published interviews of industry greats. Here, at the Innovation Blab, we don’t see it letting up. The Question is as popular as ever. Will George Jetson’s boss, Cosmo G. Spacely, of the fictional Spacely Sprockets still be asking The Question in 2060. We wouldn’t be surprised. Ok, back to today’s episode. Join the Innovation Blab in a discussion with Jamie Magrill and Anna Frumkin of DECAP Research and Development, Inc., a Canadian startup that aims to change the way hospital and healthcare workers dispose of syringes. Don’t worry, we don’t pose The Question to Jamie and Anna. We do get close, however, and some may find the discussion that ensues amusing. Have a listen …

Startups are for the brave. 🚀 They’re built on risks, speed, and insane drive to create something new. As a founder, I prioritize speed over experience. Why? Because startups thrive when bold ideas are tested quickly, when failing fast means learning even faster. When I’m hiring, I look for people who are willing to take risks. Experience is great, but bravery and adaptability? Those are non-negotiable. I encourage my team to dive headfirst into the market, experiment, and learn on the go. Startups are not like established companies. We move differently. We build a culture of bravery, self-development, and speed. If something in my business isn’t moving fast enough, I jump in and get things done. Iterating quickly is what transforms an idea into rapid growth, and, eventually, into something extraordinary.😎 As Eric Schmidt said in the The Diary Of A CEO podcast: “Hire the divas, the ones who push for success, even if they challenge you. They’re the ones who will drive innovation.” This is what I love about being a founder. The bravery, the speed, the constant creativity. Are you a risk-taker? How do you prioritize speed in your own work? Let’s share ideas!

There are 7 types of founders. Which one are you? The seven types of startup founders: → Solo Founder Traits: Fiercely independent, self-assured, resilient Benefits: Freedom, complete control, learns a lot Pitfalls: Higher failure rate, harder to raise money, potential for burnout → Visionary Traits: Driven by a big idea, persistent, collaborative Benefits: Passionate, resilient, inspired leadership Pitfalls: May overlook details, can be disconnected from reality → Serial Disruptor Traits: Varied interests, optimistic, extremely innovative Benefits: Variety of experiences, flexibility, attracts talent Pitfalls: High risk, difficulties finding trustworthy partners, ego-driven pursuits → Engineer Traits: Technically savvy, problem-solver, focused on execution Benefits: Pragmatic, quick problem-solving, can employ technology effectively Pitfalls: May lack skills in non-technical areas, lower emotional intelligence → Personality Founder Traits: Charismatic, influential, excellent storytellers Benefits: Built-in audience, potential pre-existing wealth Pitfalls: Needs to develop real business skills, dependency on the founder's presence → Accidental Founder Traits: Independent, resourceful, necessity-driven Benefits: Solves real-world problems, turns passion into profit Pitfalls: May lack business knowledge, overwhelmed by business management → Intentional Founder Traits: Purpose-driven, passionate about impacts, socially conscious Benefits: Empathetic approach, educates and motivates others Pitfalls: Challenging to align team values, dependent on founder’s presence Embrace this knowledge to shape the future of business. Dive deep into the personalities that drive innovation and success. Follow Pete Sena for more posts about startup growth. Which one are you? (Comment below and let us know)

A great post on the 7 Types of Startup Founders by Pete Sena! Here is how all archetypes can all benefit from a better understanding their customer's JTBD: 1️⃣ SOLO Founders (Focus on Impactful Areas) Solo founders often have limited resources and must wear many hats. By understanding JTBD, they can prioritize their efforts on the most critical aspects of their business that directly address customer needs. This focus ensures they are not spreading themselves too thin and are making the most significant impact with their limited time and resources. 2️⃣ VISIONARIES (Grounding Big Ideas) Visionaries are driven by big, often disruptive ideas. However, these ideas need to be grounded in reality to succeed. JTBD insights help visionaries ensure that their innovations are not just visionary but also practical and aligned with what customers truly need and want. This alignment can bridge the gap between a lofty vision and market success. 3️⃣ SERIAL DISRUPTORS (Identifying Genuine Needs) Serial disruptors thrive on change and innovation. Understanding JTBD allows them to identify real, unmet customer needs that are ripe for disruption. This focus ensures that their disruptive efforts are not just novel but also meaningful and valuable to customers, increasing the likelihood of creating lasting impact and business success. 4️⃣ ENGINEERS (Aligning Technical Innovations) Engineers often excel at creating technical solutions but may struggle to ensure these solutions meet market demands. JTBD helps engineers align their technical prowess with customer desires, ensuring that their innovations are not only technically sound but also user-friendly, practical, and marketable. 5️⃣ PERSONALITY Founders (Leveraging Influence Effectively) Personality founders have the advantage of a built-in audience and significant influence. Understanding JTBD allows them to promote products and services that resonate deeply with their audience’s needs and desires. This alignment increases the effectiveness of their influence and helps ensure that their audience finds genuine value in what they endorse. 6️⃣ ACCIDENTAL Founders (Gaining Business Direction) Accidental founders often start businesses out of necessity or passion without formal business training. JTBD provides a framework for these founders to validate their solutions against real customer needs, giving them confidence in their business direction and helping them make informed decisions that enhance their chances of success. 7️⃣ INTENTIONAL Founders (Enhancing Mission Impact) Intentional founders are driven by strong ideals and values. Understanding JTBD ensures that their purpose-driven missions also practically solve real customer problems. This dual focus on mission and customer needs enhances both the social impact and profitability of their business, ensuring that their ideals translate into tangible benefits for their customers and business growth. #jtbd #startup #innovation

A quick Friday tip: I mentioned in the Startups.com podcast this week with Ed Kang (RODC), “Decision fatigue is where founders break down. The assumptions and projections get so complex, they just freeze up.” Ed added, "I really appreciate you bringing up decision fatigue—founders get exhausted trying to plug in numbers and do research. The key is learning how not to run out of money. That means staying on top of projections and cash flow, which most founders don’t master until it’s too late, or they’re paying heavily to fix things later." Startup founders often struggle with financial modeling, not because they don’t understand their business, but because decision fatigue kicks in. When you're building a model, there are so many assumptions to make - how many sales will you get? What marketing channels will work? Over time, all these decisions can become overwhelming, leading to paralysis or rushed choices. Focusing on key assumptions first helps, but it’s crucial to keep refining. The more granular you get, the better your unit economics and forecasting will be. Each pass through the model sharpens the clarity of where cash flow is headed and highlights potential red flags. This isn’t just for early-stage startups - scale-ups need it, too. Forecasting growth accurately becomes vital as businesses mature, and refining those numbers can mean the difference between sustainable scaling and cash burn. Keeping the model evolving ensures your business stays on track. If decision fatigue is slowing you down, Verte Consulting can help. We guide founders through financial modeling and forecasting so they can stay focused and make informed decisions. Reach out and let’s take the complexity off your plate.

What Type of Founder are you? There are 7 Types of #StartupFounders

🚀 Attention Founders: Is founder narcissism a super power or a super burden? Let's focus on what narcissism means for you as a founder when building up your new venture: 💡Why Understanding Narcissism Matters As a founder, your personality traits can significantly influence your startup's trajectory. Understanding how narcissism plays into your leadership style and decision-making can help you leverage your strengths and address potential challenges. 💡Utilizing Charisma and Confidence Narcissistic traits like charisma and confidence can be powerful tools in building your startup. These qualities can help you inspire your team, attract investors, and create a compelling vision for your company. However, it's crucial to balance confidence with humility to ensure long-term success. 💡Risk-Taking and Innovation Narcissistic founders often exhibit a higher tolerance for risk and a drive for bold, innovative initiatives. Embrace this entrepreneurial spirit, but be mindful of the potential downsides. Ensure your risk-taking is strategic and supported by thorough research and planning. 💡Fostering Healthy Team Dynamics A key challenge for narcissistic leaders can be fostering a collaborative and positive team environment. Prioritize emotional intelligence and empathy in your interactions. Encourage open communication and create a culture where all team members feel valued and heard. 💡Self-Awareness and Growth Self-awareness is critical for personal and professional growth. Regularly reflect on your leadership style and seek feedback from trusted mentors and colleagues. Identify areas for improvement and actively work on developing a balanced approach to leadership. 🤝🏼Let's Discuss Further Curious to learn more about how narcissism impacts entrepreneurship? Eager to explore strategies for utilizing your personality traits for startup success? Reach out to me to schedule a conversation for in-depth analysis and actionable recommendations. Your journey as a founder is unique, and understanding your personality can unlock new levels of potential for you and your startup. By embracing both the strengths and challenges of narcissism, you can lead your venture with confidence, resilience, and impact. 🏅Here's to your continued growth and success!

Top quotes from my conversation with Mike Maples, Jr from Floodgate. 1. "Floodgate is my vehicle to have an excuse to study startups at a level of fanatical depth that doesn't make sense in any other way." 2. "Breakthrough startups are wild. They don't fit into neat buckets. It's almost like seeing some kind of new beaked finch in the Galapagos Islands." 3. "An inflection is a new thing that allows the startup founder to fight unfairly and wage asymmetric warfare on the present. Something gets introduced that has a set of new empowerments that can radically alter how people think, feel, and act." 4. "Good companies quite often harness inflections. It provides the force multiplier that allows the startup to show up out of left field and not compete by being better, but by changing the subject." 5. "Startups never win by being better - better isn't enough. Only by being radically different can a startup make a radical difference." 6. "The metaphor of pivot comes from basketball. In startups, your insight is your pivot foot. That's what you want to hold fixed. When you have an insight, you can vary your implementation or your audience to achieve product–market fit." 7. "The best startup ideas come from living in the future and building what's missing in the future." 8. "A breakthrough startup forces a choice and not a comparison." 9. "Founders create these movements where they enlist early true believers to move with them, co-create the future with those early believers, and turn it into a movement." 10. "Most of the great startup ideas come from being surprised by your interactions with customers. They find something the customer was desperate for unexpectedly." 11. "The main reason startups fail is that people don't build something that real people are desperate for." With thanks to Intelligo and SRS Acquiom.

7 Founder Types that will shape your startup journey. Some people study science. I study founders. Specifically billionaire founders. Here are the 7 types of founders: 1. The Solo Founder ↳ Fiercely independent, self-assured, and resilient. ↳ Enjoys complete control and learns a lot. 2. The Visionary ↳ Driven by a big idea, persistent, and collaborative. ↳ Leads with passion and resilience. 3. The Serial Disruptor ↳ Varied interests, optimistic, and extremely innovative. ↳ Attracts talent and offers flexibility. 4. The Engineer ↳ Technically savvy, problem-solver, focused on execution. ↳ Pragmatic and quick at solving problems. 5. The Personality Founder ↳ Charismatic, influential, excellent storytellers. ↳ Built-in audience and potential pre-existing wealth. 6. The Accidental Founder ↳ Independent, resourceful, necessity-driven. ↳ Turns passion into profit and solves real-world problems. 7. The Intentional Founder ↳ Purpose-driven, passionate about impacts, socially conscious. ↳ Empathetic approach and educates others. Which one are you? Follow Pete Sena for more posts on Startup Growth.