On November 5, the founders of four hot Seattle-based startups gathered at the UW Foster School to discuss their experiences in leaving the corporate world and diving into startup life. John Gabbert (Pitchbook), Bryan Maletis (FatCork), Jane Park (Julep), and Tom Seery (RealSelf), spoke on making the decision to leave the security of a big company, the differences between corporate and startup work, and how important industry experience was before making the entrepreneurial leap. But some of the most fascinating advice of the evening applied not just to those making the corporate/startup switch, but to entrepreneurs in general. Here are some of our favorite answers to questions on matters of time, money, passion, and luck.
Q: What does a typical day look like for you? How many hours do you work, and when are you most productive?
“If you highlight 90 to 100 hours a week on a calendar, it looks pretty ridiculous, but that’s how much I worked in the early days, on specs, plans, and financials. But the key thing to know isn’t how many hours you work. It’s the fact that [the company] is always on your mind. When you wake up in the morning, when you’re in the shower . . . it’s an all-consuming thing. “
“I do a lot of work from about 8pm to midnight—that’s when I’m in power mode. My days are spent recruiting and networking. Networking is so important. I will always take a coffee meeting with someone who contacts me to say they are interested in founding a startup. I never say no, because I’ve been there, and I want to encourage people to network. If you can’t shamelessly reach out to and keep up with people who are important in this community, you might not be the right person to have your own startup.”
Q: Had you done any financial planning when you decided to quit your job?
“I bootstrapped everything. I was fortunate to have savings to do so. I kept having to put more and more of my savings into the company, and it got worrisome, but when I was putting in my money, I knew that failure was just not an option. I had to say, ‘this is going to work, because we’re putting all of our savings into it.’”
“My parents owned a 7-Eleven when I was growing up, and we lived above it. I wasn’t use to a life of luxury, so I’ve always felt that money is something you can make, but it’s not what defines a life. There is definitely some freedom in that. I did have some savings from my former jobs, but I went through that pretty quickly. Once we reached a point where we were so big that I could not personally cover our burn rate, it was actually a relief. It was finally beyond my reach to help.”
Q: How passionate do you have to be to start your own company?
“I think passion may be the most important thing. I’d put it up there with grit and determination, but I think passion is really the driving force. Thousands of people will tell you no, whether you’re raising money, trying to get people to buy your product, or convincing people your idea will work. If you’re not passionate, it’ll suck.”
For a founder of a company, passion is the most important thing. If I didn’t love champagne and love sharing the product with people, my job would be very hard and dull, and I wouldn’t have stuck it out during the first two years when I was making no money.
“I’m actually not passionate about the cosmetic surgery market. But I am extraordinarily passionate about elements of it—what we’re doing for consumers, and the feedback we’re getting. And I am super passionate about my ‘hidden agenda,’ which is to change things about the world through reconstructive surgery. We support surgeons who travel around the world to perform surgery on children and adults who have eminently correctable problems. After surgery, these people can return to life as normal or begin to have a life. So I founded RealSelf thinking I was doing one thing, and discovered my purpose along the way. I’m passionate about making this world a better place.”
“It doesn’t matter if your passion is for any particular market or product, but being an entrepreneur means you have to have passion for innovation and a belief that your company is doing something good for the world. That has to be at the core of what keeps you moving forward.”
Q: (from moderator Connie Bourassa-Shaw)
“College students have been taught their entire life that it pays off to be smart. You get in the University of Washington because you’re smart. Life goes your way because you’re smart. But entrepreneurs should never underestimate the power of luck. So, would you rather be lucky or smart?”
“I’d rather be lucky than smart. I believe I am lucky. When I met my wife, she pushed me into doing this. I still don’t have the smarts for it, but I believe that you should surround yourself with people that are smarter than you and better than you at different things, and I’ve been lucky to be able to do that.”
“Lucky, and just smart enough.”
“I adopted two children from orphanages in china, so I appreciate what it means to be born in a country where we have privilege and access to amazing resources. Three years ago I would have answered smart, but now I’m in the lucky category.”
“I think I would have said smart, you can’t control luck, but I think what I hear everyone else expressing is a sense of gratitude, and I definitely have that. People laugh at me because I’ll say to employees as they arrive at work, ‘Thank you for coming back to work!’”