October StartWest

Last Wednesday StartWest had its October meeting.  If you could not make it, you missed a good one!  We had approximately 40 people networking and listening to the evening’s speaker, Mike Thomas.  Mike is currently CEO of the Blue Sky Group.  His background includes several successful business ventures including co-founding a company that sold for over $100 million.

Mike’s presentation was entitled “Top ten things to know to stay in business (how to not screw-up your startup)”.  Many of the things he mentioned are the type of suggestions most of us have heard before but need to be reminded about.  Mike’s casual, confident style kept the presentation from seeming like a lecture and made it feel more like advice from a trusted mentor.  He mixed his thoughts in with real world examples that stimulated lots of questions and discussion.

Here’s Mike’s Top Ten:

1. Your original idea will not work.  Business must be flexible and ready to change when this happens.
2. It will cost 300% more than your best estimate.  Be overly conservative with cash.  Be optimistic with customers and pessimistic with cash flow.
3. It’s the people, stupid. Hire quality people and only quality people.  One “great” person is better than a dozen “good” people.  Always hire people smarter than yourself.
4. Not all money is the same.  Be careful where you raise money and know that there will always be conditions you did not expect.
5. Generate enough cash to pay your bills.  Become really good at managing cash flow and set up your entire business around cash needs.
6. Make a profit.  Profit allows you to stay in business, grow and invest, and keeps peace in your relationships.
7. Either grow or die.  If you are not growing you are dying.  Change and adaptation are critical to growing a business.
8. Most businesses fail from ego or greed.
9. Do it yourself.  No pretty offices and staff.  Learn to do everything you possibly can yourself so that you know everything.
10. Don’t believe the hype.  Your own hype or anyone else’s can be detrimental, look at the facts.

Mike summarized with the point that building a business can be the best time of your life, enjoy it!

Top Ten Things reprinted with permission from Mike Thomas, CEO the Blue Sky Group