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Best Strategy Is Speed (Startup2Startup May 2008)

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Dave McClure
Dave McClure

"SPEED: The Ultimate Startup Weapon", presented by Mike Cassidy to Startup2Startup entrepreneur dinner (May 2008)

Economia e finançasTecnologia
1 de 28
Speed As THE Primary Business Strategy Mike Cassidy
Speed Brings Great Advantages ,[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary
Typical Start-up Timeline? June 3, 2009 Confidential and Proprietary Explore ideas 3 months? Raise money 3 months? Hire core team & open office 2-3 months? Build product 12 months? Initial marketing / awareness-building / early customers 3-6 months? “ Launched” = 23-27 months?
Lightning Speed Start-up Timeline June 3, 2009 Confidential and Proprietary Explore ideas 2 wks Raise money 1 day Hire core team & open office 2 wks Build product 3 months “ Launched” = 4 months
Example 1: Stylus Innovation ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary Sold 2 years after launch for $13M (10,000x founders investment)
Example 2: Direct Hit ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary Sold 500 days after launch for $500 million
Example 3: Xfire ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary Sold just over 2 years after launch for $110 million
Speeding Up All Parts of Startup ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary
[object Object],June 3, 2009 Confidential and Proprietary
Speed and Capital ,[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary Biz school: Single, consistent strategy; not “ lowest cost and best customer service,” etc.
Raising VC Money Quickly ,[object Object],June 3, 2009 Confidential and Proprietary
Four Keys to Raising VC Money Quickly ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary
[object Object],June 3, 2009 Confidential and Proprietary
Every Day, Every Hour, Every Minute Counts June 3, 2009 Confidential and Proprietary 4/21 8:15am pitch DFJ; 4:30pm get term sheet; dev team gives notice at current jobs 4/22 Fly back to Boston 4/23 Negotiate lease on office space; order Dell computers 4/24 Order network software, phone system, office alarm system, DSL, office LAN/phone wiring 4/27 Incorporate, set up bank account, Paychex, desks/chairs 4/28 Source control software, property insurance 4/29 Hardware arrives, set it up 4/30 Set up LAN, phones, desks 5/4 Open office, first day team has been hired, have C++, email, PC, LAN, payroll, etc. (13 days after term sheet received)
[object Object],June 3, 2009 Confidential and Proprietary
Think Speed in Everything You Do ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary
[object Object],June 3, 2009 Confidential and Proprietary
Speed Starts the First Day a New Hire Arrives ,[object Object],June 3, 2009 Confidential and Proprietary
Speed Starts the First Day a New Hire Arrives ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary Set tone for speed
[object Object],June 3, 2009 Confidential and Proprietary
Which Is Faster? ,[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary
Journey of a Thousand Miles Begins with a Single Step ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary
[object Object],June 3, 2009 Confidential and Proprietary
Biz Dev Deals – Fast or Never ,[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary
[object Object],June 3, 2009 Confidential and Proprietary
Fastest Way To Get the Word Out? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary
[object Object],June 3, 2009 Confidential and Proprietary
If Something Is Broken, Fix It - Immediately ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],June 3, 2009 Confidential and Proprietary

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Best Strategy Is Speed (Startup2Startup May 2008)

  • 1. Speed As THE Primary Business Strategy Mike Cassidy
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  • 3. Typical Start-up Timeline? June 3, 2009 Confidential and Proprietary Explore ideas 3 months? Raise money 3 months? Hire core team & open office 2-3 months? Build product 12 months? Initial marketing / awareness-building / early customers 3-6 months? “ Launched” = 23-27 months?
  • 4. Lightning Speed Start-up Timeline June 3, 2009 Confidential and Proprietary Explore ideas 2 wks Raise money 1 day Hire core team & open office 2 wks Build product 3 months “ Launched” = 4 months
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  • 14. Every Day, Every Hour, Every Minute Counts June 3, 2009 Confidential and Proprietary 4/21 8:15am pitch DFJ; 4:30pm get term sheet; dev team gives notice at current jobs 4/22 Fly back to Boston 4/23 Negotiate lease on office space; order Dell computers 4/24 Order network software, phone system, office alarm system, DSL, office LAN/phone wiring 4/27 Incorporate, set up bank account, Paychex, desks/chairs 4/28 Source control software, property insurance 4/29 Hardware arrives, set it up 4/30 Set up LAN, phones, desks 5/4 Open office, first day team has been hired, have C++, email, PC, LAN, payroll, etc. (13 days after term sheet received)
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