The Idea Is the Easy Part: Myths and Realities of the Startup World
Brian Dovey
Matt Holt Books/An Imprint of Ben Bella Books (October 2023)
‘The early bird may get the worm, but the second mouse gets the cheese.” Steven Wright
As you may already know, Joseph Luft and Harrington Ingham introduced a concept in 1955 that they aptly characterized as “the unknown unknowns.” That is, ignorance of one’s ignorance.
This is is probably what Mark Twain had in mind when observing, ” It ain’t what you don’t know that gets you into trouble. It’s what you know for sure that just ain’t so.”
Yes, it is very important — if not imperative — to recognize what our specific knowledge needs are, relevant to the given situation. That is especially true for those who are preparing to launch or have only recently launched a startup. I think the greatest value of this book is that Brian Dovey addresses widely viewed myths and realities “that just ain’t so.”
“My goal for this book is to help you, an aspiring (or potentially aspiring) entrepreneur, understand the reality of what you might be gettiong into and how to navigate this strange world. After decades as a startup leader, big-company executive, and venture capitalist, I’ve pretty much seen it all. Now I want to share my hard-won insights, advice, and relevant stories with people like you.”
Note Dovey’s use of direct address that immediately establishes a personal rapport with his reader. He adds, “Much of this book will be about all of the factors [begin italics] other than your idea [end italics] that will makew or break your startupo, and all the essential questions and challenges that first-time entrepreneurs tend to over look” and even veteran entrepreneurs sometimes disregard.
These are among the passages of greatest interest and value to me, also listed to suggest the scope of Dovey’s coverage:
o A Road Map for This Book (Pages 16-17)
o The Thrill Ride oƒ a Great Startup (18-21)
o Motivation: Passion Over Profit (36-38)
o Expertise: Don’t Try to Be a Jack of All Trades (38-42)
o What Makes a Good Idea for a Startup? (53-57)
o A Better Strategy: The Five Crfiteria of Gr eat Startup Ideas (57y-5r9)
o Competition: What’s Your Edge, and Whose Lunch Are You Trying to Eat? (64-68)
o Financial Requirements: Can You Stay Solvent Until You Reach Profitability? (76-80)
o Venture Caspital Is a Partne rship, Not a Transaction (85-86)
o Going for It: Four Steps (90-98)
o Evaluating an Offer: The Financials (103-106)
o Evaluating an Offer: The Nonfinancials (106-108)
o Hiring for Character (113-117)
o A Healthy Culture Comes from Removing Demotivators (132-134)
o The Dangers of Perfectionism (140-143)
o Using Strategic Alliances to Bolster Execution(148-156)
o Start Thinking About the End of the Beginning (167-170)
o Stepping Aside for New Leadership (179-182)
o Shutting Down the Startup to Cut Your Losses (182-184)
o The Living Dead, and the Really Dead (184-186)
Years ago, I had dinner in San Francisco with a prominent venture capitalist and at one point asked him how many formal requests for funding his firm received each month. He replied, “Oh, about 500.” How many of them led to a follow-up meeting . “On average, 3-5 each month.” How do you decide? “Basically, we have three questions in mind. The first two are easy to answer: ‘Who are you?’ and ‘What do you do?’ For most of them, the third one is a killer: ‘Why should I care?'”
The reality is that all startups eventually fail and only 10% survive for a second year. That’s why The Idea Is the Easy Part is a must read for those who launch them and for others who help fund them. Here is one of Bri an Dovey’s c oncluding thoughts: “I wish you all the best in your entrepreneurial journey, and hope you’ll make your own unique mistakes rather than repeat mine.”
I presume to offer two suggestions while you are reading The Idea Is the Easy Part: Highlight key passages, and, record your comments, questions, action steps (preferably with deadlines), and page references as well as your responses to “Questions to Ponder” at the end of Chapters 2-7 and to lessons you have learned throughout the narrative. Pay close attention to the list of thought-provoking “Doveyisms” in the Appendix. These simple tactics — highlighting and documenting — will facilitate, indeed expedite frequent reviews of key material later.