What Did You Expect? (Managing a Startup)

How does a founder go big while at the same time manage the myriad of expectations heaped on him or her?

We believe founders should dream big, iterate always, be tenacious, and change the world. It’s not flowing rhetoric — we mean it. We plastered it on the landing page of our website for goodness’ sake.

So how does a founder go big while at the same time manage the myriad of expectations heaped on him or her?

We are privileged to have in the Promus Ventures community some of the best entrepreneurs in the industry today. They build what they have a passion for, not what the market says is hot at the time. None are perfect (who is?), but we’ve watched the top ones manage important areas of their life and startup with focus and discipline.

This is no means an exhaustive list, but here are five data points under five key expectation buckets that we have personally learned (still learning) and observe from our best founders:

1. Family/Friends/Faith/Health:

• Figure out the best structure this time first, then fit the rest in accordingly.
• Obviously this required time commitment will change in various stages of life, but even early on you will fry yourself if you make this area the top priority.
• Remember your startup is not your life and you are to manage your home and personal life well.
• Startup life/coding is ridiculously sedentary — standing desks don’t increase your heart rate — get out there and sweat.
• Your family/spouse/kids/friends need you to be all there when you are with them. They don’t care about MRR — they want your time.

2. Employees:

• Be honest with your team about failures, but hopeful and focused about what lies ahead.
• Lead by doing the hard things well. Sometimes (many times) that means letting go early key employees that just aren’t a fit.
• Don’t be a martyr — you are part of a team and this startup thing is not designed as a solo sport.
• Be thoughtful about your culture and having fun. Celebrate victories and milestones together across the company.
• Don’t get entrenched with own ideas but be infatuated with KPIs, MRR and customer feedback.

3. Customers:

• Be maniacal about product, and let it sing in your customers’ hands.
• When problems arise (they will), own them, apologize and fix them (quickly).
• Don’t take big orders just because they will help your burn — make sure potential customers fit with your vision.
• Be clear about what level of customer support will be provided, and who will be helping them moving forward.
• Introduce other pertinent startup products you feel would be helpful to selected customers.

4. Investors:

• Do not sugarcoat updates but have real conversations about how the business is operating.
• Do not be afraid to call trusted investors/advisors (even late into the night) when feeling low or despondent.
• Realize results always win and send out bimonthly/monthly performance report detailing all relevant KPIs and financials.
• Quickly iterate into new areas if original model isn’t working — don’t worry about what investors bought into previously. It’s important to be nimble.
• Show realistic budgets/goals/product roadmaps.

5. Social Media/Press:

• Understand that whatever you share goes on the public record.
• Be discerning with your words.
• Completely underpromise and overdeliver.
• Know that the media doesn’t always get it right (neither do you).
• Understand the tight need for complete confidentiality, and hold onto this dearly.

You will have great times and trying times. The startup ship sets its course on the high seas, and expectations are high. Don’t lose control over the boat by not understanding what is required from you in all areas. Once you do, you will find yourself veering off course less and less and getting to each destination quicker than before.

Sail on.