Kevin Hale — A Workshop
How will I know if an investor will like my idea?
That’s the question eating away at most of us looking for funding. Fortunately Kevin Hale has a strategy for those of us who are engineering inclined.
Quite simply, he broke the entire process of starting a company down to an equation. Let the brain dump begin:
Let’s dig a little deeper into this equation. (And no it’s not commutative)
Here are some key traits of a problem:
- Popularity — How many people have this problem?
- Urgency — Is this a priority 1?
- Frequency — How many times a day, week, month, year do people have this problem
- Expensive — How much are people willing to pay for it?
TIP: Also describe the problem really tightly, don’t be too broad
TIP: Don’t start here
This is the product, service, experience that answers the user, ideally many users problems.
What are the unfair advantages you have when starting this company?
- Founders — You need to by 1 in 10 in the world, 99% don’t have this!
- Market — Natural boost when the market you’re growing in is growing super fast; 20% a year
- Product — 10x compared to the competition
- How do you get to $100 million a year?
- Acquisition — Grow with zero money, find users really quickly
- Monopoly — As you grow build a moat.
What makes your product 10X better?
- Makes me more money
- Does task for me
You should be really great at customer support!!
(I second this hard!!!)
Definitely a rough collection of notes, but the formula is simple. Rinse and Repeat.
Thanks Kevin for the workshop!