Comments on: What’s an Entrepreneur To Do? Amidst Mixed Signals for Economic Recovery, Four Experts Share Strategies for Startup and Business Success

By: Jules Pieri

Jules Pieri — Fri, 24 Jul 2009 12:34:53 +0000

Well I already knew Noubar was a smart guy. Now I know he is also wise. Thanks for sharing that Bob.

By: Robert Buderi

Robert Buderi — Fri, 24 Jul 2009 02:09:31 +0000

Thanks, Jules. You make a great point about the disparity in expectations that many investors seem to have: cut, save, be efficient, etc, but somehow also grow like in the original plan. Noubar Afeyan of Flagship Ventures made the same observation at XSITE and then advised that you can’t ask entrepreneurs to cut expenses in a big way without a commensurate cut in goals.

By: Jules

Jules — Fri, 24 Jul 2009 00:38:43 +0000

Good article and nice balance of ideas. One thing that I rarely see mentioned is that, as John Stack says, so many entrepreneurs are managing leanly with very skinny capital, and they DO get a little credit for it in the investor market…”Great, you don’t spend much. I’m looking for capital efficient businesses.”

But those same investors expect disproportionate results, for the capital expended. It’s like expecting a skinny person who runs 10 miles a day and eats 1,500 calories to gain weight. Just running hard and long every day on so little fuel is a huge accomplishment.

By: The SmallBusiness.com Blog » links for 2009-07-23

The SmallBusiness.com Blog » links for 2009-07-23 — Fri, 24 Jul 2009 00:36:27 +0000

[...] In this Economy, What’s an Entrepreneur To Do? | Xconomy Amidst mixed signals for economic recovery, four experts share strategies for startup and business success. (tags: economy management) [...]

By: John Stack

John Stack — Thu, 23 Jul 2009 18:52:23 +0000

If I read this correctly, the net net from the xperts is for existing startups to be extra careful when choosing a VC (and it might cost more now) and if you’re a startup who is just bootstrapping or getting started, go micro on expenses, possibly features and staff until things warm up – ala Angel funding.

I think they’re right; although most of the entrepreneur (with one or two public exceptions), are just doing everything they can to do what they can with bootstrap (personal resources) or angel funding. Specifically, three that I know of are in the awkward stage of needing a bit more VC, one that will likely get it, and the other two, their impact and growth rates are blunted until things get a bit better.

Angels 1, VCs 0.5