Tim Bauer’s Running Thoughts

Here is a sign when you need to watch a webcast. You briefly scan the comments … and then, for some reason, one image … one phrase … sticks in your head.

Such was my experience w/ Paul Graham’s reference to why we all (but especially startups) need to be more like cockroaches. I was impressed since:

1. What better visual could a new businesses have for its stakeholders and themselves on the attitude they wanted to take on how time and money should be spent?
   
2. The cockroach as a role model was an interesting one. On one hand you have the eventual masters of planet earth. On the other hand they are ugly.
   

I needed some grounding, so I fired it up to see the context that Paul positioned our six legged friend in.

I am now a Paul Graham fan. Great insights and style of presentation. If you are still reading I would be curious on your views on:

1. How do the businesses we work for (or own, our ourselves personally) do to avoid the temptation of leaving Sherwood Forest (embracing a simple life and giving the rest back)?
   
2. Is that viable? Or just idealism talking?
3. And how about that Cockroach. Is that inspiring or just a gross visual?
   

Deep stuff … for me anyway.

** START OF RAW SCRIBBLE TAKEN WHILE RUNNING **

• Make Something People Want - Paul Graham founder of Ycombinator
• http://omnisio.com/startupschool08/paul-graham-at-startup-school-08
• 5/5/2008, 6:34 AM
…………….○ 280slides is being used for his presentation (some hiccups prior to his pitch)
…………….○ Make something people want
…………………………..§ Not 3 words
…………….○ Don’t worry about money
…………….○ Add together = Non profit
…………………………..§ Weird result … bug or new discovery?
…………….○ For example, Craigslist … is the above
…………………………..§ # of employees @ Craigslist … $/employee is HUGE
…………….○ Get ‘weather gauge’ … to decide when / where to engage
…………………………..§ Low op size gives you weather gauge
…………….○ Focus this thought
…………….○ Focus just on your 1st stage of your company
…………….○ Google was like that … low size
…………….○ There are ideas that have to be profit making companies to be done right (not non-profit)
…………….○ Successful startups … look like non-profits?
…………….○ Would all non-profits make good companies?
…………………………..§ Users have to have money
…………….○ To test idea … ask how far you would go to bet against it
…………………………..§ Benevolent models are hard to beat
…………….○ Just internet startups?
…………………………..§ Look at MSFT
…………………………..§ They were robin hood early on … IBM was the sheriff of nottingham trying to chare high $ for PCs
…………………………..§ They changed to the sheriff later
…………………………………………□ Stock has been flat since they went to sheriff role (due to size)
…………………………..§ Small you can’t bully users … you have to be nice … but once big … you can be mean …
…………….○ Don’t be evil might be the most important point of Paul B. to Google
…………………………..§ Catch is people will hold you to it
…………….○ A lot of evidence is benevolence works
…………….○ 5/5/2008, 6:44 AM
…………….○ 3 ways it helps (benevolence)
…………………………..§ Morale
…………………………………………□ Roller coaster of emotion … downside is your people stop working on downside
…………………………………………□ SO less times of feeling failures … if you feel like you have a greater mission … someone needs your help
…………………………..§ Others want to help
…………………………..§ You are decisive
…………….○ 5/5/2008, 6:46 AM
…………….○ Blogger … low lows … and survived
…………………………..§ One point ran out of money
…………………………..§ Evan Williams came back and he was the only one there … users needing him kept him going
…………………………..§ Users to take care of you are forced to take care of what they want
…………….○ Founder of Chatterous
…………………………..§ They realized they didn’t care if they had to move into their house ..
…………………………..§ Cared less about $
…………………………..§ Investors became more interested … their lack of need … the passion
…………….○ 5/5/2008, 6:48 AM
…………….○ Cockroach image
…………………………..§ This is the model for early phase business
…………………………..§ All come close to death … multiple times
…………………………..§ One attribute … doing good for the world … makes you get off the mat like rocky (my comment)
…………….○ Octapart
…………………………..§ Search site for industrial components
…………………………..§ Right way to search
…………………………..§ Bauer comment - edging in on manufacturers as well of parts
…………………………..§ Digikey … another competitor … trying to force them to stop … they operate on little information on price
…………………………..§ Nice founders
…………………………..§ Dropped out of Berkeley to do this
…………………………..§ He wanted to help them … because people are trying to stop them
…………………………..§ Because they are robin hood (benevolence)
…………………………..§ People will rally …employees, investors, customers
…………….○ A good plan, violently executed now, is better than a perfect plan next week
…………………………..§ Picture of a general
…………………………..§ Translation get out there and start the battle … get engaged w/ the customers … will they tell their friends?
…………….○ 5/5/2008, 6:53 AM
…………….○ Being good … good in situation where things change fast
…………………………..§ Lying you have to remember a lot
…………………………..§ Truth you have to remember little
…………………………..§ Example … 80 startups … 57 are alive … invested in
…………………………………………□ When advising 57 … have to have a stateless (not specific to startups) due to they can’t remember
…………….○ Talk about being good … people assume you are beating the drum that you are good
…………………………..§ He isn’t not good
…………………………..§ He was loud … as a kid
…………………………..§ People don’t say he is a great guy … just say ‘he means well’
…………………………………………□ So he is average
…………….○ Don’t just be evil … be good
…………….○ 5/5/2008, 6:56 AM
…………….○ Q&A
…………………………..§ How many startups company’s have motto’s / mission statements / creedo’s?
…………………………………………□ He talked in general
…………………………………………□ Then pointed out the ‘good plan, execute’ concept
…………………………..§ Should people finish college grad degree or go start a company after undergrad
…………………………………………□ Not excited about leaving college
…………………………………………□ Making $ and startups isn’t the only thing in life … have fun … learn stuff …. Your idea might be that great … ideas come along quite often
…………………………..§ Most college graduates work for dropouts
…………………………………………□ Maybe
…………………………………………□ (guy sterotypes that everyone that runs /advises companies … )
……………………………………………………….® Follow your passion
……………………………………………………….® Guy gets loud
…………………………………………□ Maybe (nice counter … must be a Jim Fay fan
…………………………..§ Ideas that are already out there … what material to you read to get ideas
…………………………………………□ Look for problems … find good problems … stuff that seems broken
…………………………..§ What emphasis on web2.0 … all your companies you have funded are web2.0 … versus fundamental problem like search or security
…………………………………………□ Searching for components is fundamental
…………………………………………□ They have funded some infra players … like 2 DBMS players
…………………………………………□ They fund what is applied
…………………………………………□ It’s really driven by what the entrepreneurs are offering to do
…………………………..§ What factors used to determine what you fund
…………………………………………□ What they like …people that do stuff they like
…………………………………………□ No evil
…………………………………………□ Look for people that looks like they are going to exceed
…………………………………………□ Fund founders they like and think they are going succeed … and it turns out their bio is one of benevolence

** END RAW SCRIBBLE TAKEN WHILE RUNNING **