Major highs and lows. There is no perfect business. There is no perfect deal. Exit strategies can appear out of nowhere and disappear in a flash.
A good idea to some, is a horrible idea to others.
The blogosphere – much like “crowds” is a dangerous place to trust consensus.
“Don’t Trust Whitey” – (Completely irrelevant – just a favorite line of mine from “The Jerk”, which I discussed all weekend with Chartreuse )
When all is said and done, your best chance at success comes from the management team and leadership.
Give me an average idea with a great management team and venture backers over a great idea with average management and “C” list VC’s.
This weekend, Pay Per Post announced that they raised $3 million . The blogosphere HATED this company when it was birthed just 3 months ago. That was a good sign. Management did not quit, they executed on their plan.
When you launch an idea and the blogoshere picks up on it these days, you better be prepared for a million opinions. The “wisdom of crowds” has never been louder than 2006 and this is just the beginning.
Unless you are willing to stay in “double secret stealth alpha” forever, you better be prepared for the noise, trust your instincts and focus on the plan.
So far, Pay Per Post is doing so. Now they have some more help and money to better execute their plan.
The NOISE just went up a level. I just sent the CEO some ear muffs :) .
nice post Howard and good advice!
Isn’t “conventional wisdom” an oxymoron? So what moron came up with the whole “wisdom of crowds” analogy?
Howard,
“Give me an average idea with a great management team and venture backers over a great idea with average management and ‘C’ list VC’s.”
This is _exactly_ what one of the angel investors told my business partner and I at the AAIC 2 years ago. We ended up folding up that company because we had a great idea, but no backing and no board.
Now I’m working for a startup that has both, what a difference!
Dan – thanks
Bill – guy made a fortune and is living on an island away from the retarded crowds he popularized :)
Ian – congrats
Sounds like Paul Graham wisdom: If enough people get upset by something, it’s probably a good idea.
That Paul Graham has covered everything – smart dude
My posts are shorter :)
And good point. Why are people upset. in the tech echo chamber – it just sounds like whining and hope for failure – which is such a shame. I deserve to paid per post based on some of my recommendations :)
great post Howard.
If you think that a start-up needs:
1) Idea
2) Leadership
3) Capital
I’d rank them (in order of importance)
1) Leadership
2) Idea
3) Capital
That order holds for a ranking of ‘scarcity’ as well.
Thanks Fraser – we missed you in new york.
Love the simplicity of that.
I am with you on leadership. I have chased way too many good, even fgreat ideas with shoddy leadership (mostly me :) )
As i hit 40, the capital is easier and the ideas plenty and picking the right leaders seems most challenging and important
I heard a rumour that someone was wearing a “Where’s Fraser?” t-shirt.
Beautiful and powerful in its simplicity :)
brand propecia .