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More often than not, an entrepreneur with a great idea looking for funding will pitch his or her startup dozens, if not hundreds of times to potential investors. There is an endless amount of resources out there for entrepreneurs looking to learn the best practices for their pitch, including what to include in their decks, how long to speak, and what pitfalls to avoid. By the time an entrepreneur actually gets funding, they've probably mastered their pitch to a point where they could recite it in their sleep and provide advice of their own to newcomers. The problem with this is they can get stuck in their pitch mentality and it can creep into areas of their business that need the ole straight talk express.
It's human nature - we are wired to be averse to change. When something new comes into our lives, we inherently approach it with caution, and at times, with negativity and hostility; but if that change is fundamentally good and right, it will gradually become widely accepted. For startups, especially those in the early stages of existence, changes come frequently and now and then in large chunks, which can be jarring for users who may have just become accustomed to the previous version of a product.
In a recent conversation here at ReadWriteStart we were talking about what readers want most. Beyond stories about where the latest funding opportunities are found, and beyond wanting to know what startups are doing that works, we know that sometimes our startup readers just want some simple practical advice.
Towards that end we've posted many a list. And now it's time for a review. Here are six of our best lists in abbreviated form. From how not to kill your startup, to public speaking, to funders to follow, we at ReadWriteStart want to help. If you have ideas for future lists, please post 'em as comments below.
The Web has hit a point where tracking pageviews is useless for startups.
There was a time when all you needed to succeed on the Internet were lots and lots of eyeballs, and the best way of measuring those eyeballs was by tracking pageviews (measuring exactly which pages on a website are viewed by individual visitors). The dot-com crash showed us that the eyeball-based business model was a failure.
In the wake of the financial meltdown, a new set of financial regulations proposed by Senator Christopher Dodd aimed at plugging the "too big to fail" loopholes could have some negative side effects for the angel investment community. According to a report from the Seattle-based site TechFlash, Dodd's bill would require that angel investments be approved by the SEC, a process that could take as many as 120 days to complete.
Back in early February, while aboard a red-eye to New York, Dave McClure wrote a long, humorous, rambling, profanity-laden rant of a blog post that focused on startup business models. While it makes for an entertaining read, McClure's post is also very insightful and makes a solid case for why startups should shift from advertising models and instead build their new businesses on subscriptions and micropayments. Earlier this month I had the chance to visit the headquarters of ZooLoo, a startup that witnessed this very shift first-hand with their own business model.
As much as startups want to launch their applications across all mobile platforms, it's often more realistic to focus on just one. But which one? The iPhone has the biggest numbers in terms of both apps and app buyers, whereas Android usage stats are rocketing.
Earlier today we wrote about a new mobile analytics report that showed that Google is no Apple. We explained the difference between these two as relates to phone sales and usage. Now we'd like to highlight the difference for startups that are deciding which one to do business with. It's tempting to go with Apple because of their current sales figures, but in the long run Google is going to be a far less limiting business partner.
As the month of March trudges on, we are getting closer each day to spring and eventually summer when numerous startup incubators hold their camps for early-stage companies. Many incubators are still taking submissions, including TechStars Boulder, but in case of Y Combinator, the deadline has since come and gone. Theoryville is a startup that has already been asked to interview for a spot with Y Combinator, so if you are still looking to apply for one of this summer's incubators, you may want to heed its founder's advice.
A decade ago, entrepreneurs saw seed funds as a means to an end. There was little effort to brand the separate groups, there were few celebrity angels and the entire VC community seemed shrouded in mystery. Enter the seed incubator model.
Between Paul Graham of YCombinator, David Cohen of TechStars, Naval Ravikant of Venture Hacks and Josh Baer of Capital Factory, yesterday afternoon's Seed Combinator SXSW panel showcased some of the pioneers of the seed fund model.
We hear a lot about how starting a company takes some serious entrepreneurial DNA with traits like ambition, drive, relentlessness, and above all, passion. But some might argue that these are just the good sounding attributes that can lead to success; what about the other characteristics that may not sound so great? According to WePay co-founder Rich Aberman, starting a company also requires some arrogance and naïveté, so here's his advice on founding a startup straight from the entrepreneurial front-lines.