3. Founders can get fired – by VC’s.
It’s a mind-numbing scenario but it happens, more than you may suspect. Founders get the boot. Rob Kalin, the CEO of Etsy, a handmade goods retail website he founded in 2005, was ousted by VC’s. Steve Jobs was forced out of Apple and Sean Parker was unceremoniously kicked out of Plaxo, an online address book and social networking service he launched in 2002.
“For startup/small business founders, performance is a double edged sword that cuts both ways, and hurts too,” according to Inquid. “The paradox is costly for startups … when (they) perform exemplarily well, the chances that their founders will be replaced by well skilled individuals to manage the growth increase. When startup founders perform poorly, well, they are kicked out still!”
4. Take what you’ve learned and pay it forward.
Sean Parker was one of the first people to see Facebook’s potential. He soon met up with Mark Zuckerberg and became president, bringing on their first investor. He also negotiated favorable terms for Zuckerberg to retain a majority of Facebook’s board seats – giving “Zuck” control and freedom to remain a private company (for the, then, foreseeable future).
Undoubtedly Parker’s previous experiences with Napster and Plaxo made him much wiser – wisdom that set up another Founder for success. It’s easy to forget this simple principle, but in business you exist to fulfill a need – everything else is derived from this fact.
5. Reach out and connect … with complete strangers.
Years later, Parker’s Napster experience led him to pursue his mission to share music — legally. In 2009, he learned about Spotify, a Swedish streaming music service, and sent an email to Daniel Ek, Spotify’s founder. Sean later invested in the company and now sits on the board.
One of the quickest ways to take your company to the next level is to partner up and connect with others. It’s not often taught, yet it’s one of the most important factors of business growth. Who have you been meaning to connect with? Don’t be afraid – do it now. You never know what the future holds.
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Photo Credit: Sean Parker
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