How to Start a Startup

What makes Silicon Valley special?• Relentless belief in the future • There are people who take wild ideas

seriously, instead of mocking you • No ‘Tall Poppy’ syndrome • High density of talented people working on

startups • A culture of paying it forward

What makes founders special?• “I always figure it out” and “I never give up” • Focus, self-belief, personal connections • Clear vision, thought, and communication • Ability to attract people to work on the

company • Ability to get a huge amount of work done

themselves

Idea• Idea first; startup second • Original thought • Notice problems in your own life • Great Wave • Easier to start a hard company than an easy

company

Co-founders• Co-founders are really good, but a bad

cofounder is worse than no co-founder • Shared history • Select for determination • Values first, aptitude second, specific skills

third • Humble, not entitled

Product• Small number of users that love you • Retention; frequency of use • Nothing but a great product will save you;

you can get everything else right and it still won’t work

Getting your first 100 users• What does “talk to users” actually mean? • Expect to do this manually. Some ways:

- You email people you already know and ask them to be customers. Call in your favors and actually charge for your product.

- You research to find people you think might be customers and contact them via email, phone or in person. Conversion rates are low.

Getting your first 100 users• Some more ways:

- Social media outreach, posting to HN, forums, PR, etc. Look for sustainability.

- Buy ads and point them at your website. This is the “laziest” technique and usually a bad idea.

- Get over your fear of asking people to buy your product—sales!

Company• Get to know your users really well • Short cycle time • Make a long-term commitment • Stay lean until everything is working really

well • The team you build is the company you

build

Company• Relentless execution • Startups are about not giving up; one of

the companies from the last YC batch got in on their 7th time applying

• Fiduciary duty to take care of yourself • Clear mission