POSTS FROM
May 2020
Harness Conflict to Solve Problems
A new entrepreneur asked where ideas about critical features of CCAW’s system came from. These features allowed us to streamline our management of large amounts of data and set ourselves apart from competitors. They ultimately became the foundation for growing rapidly while keeping to the quality standards we were known for. My response? Conflict. The entrepreneur was surprised.
When a challenging problem needed to be solved, I’d have a whiteboard session with company leaders. We’d agree on what the problem was and then begin debating how to solve it. We often were of different minds. Sometimes our disagreements were intense and tempers would flair. Usually, everything worked out—we would come up with an amazing solution that borrowed from everyone’s perspective.
To make sure our conflict stayed healthy, we had to establish ground rules. Basically, we adhered to the golden rule: we had to treat each other as we wanted to be treated. When things got heated and we were about to break that rule, we suspended the meeting until everyone was calm. We reminded each other that everyone is entitled to their opinion and it’s OK to agree to disagree.
My big takeaway from those sessions was that healthy conflict can bring good outcomes. We didn’t see eye to eye, and we each thought we were right, but we respected each other. Genuinely listening with the intention of understanding allowed us to view the problem through a different lens. After hearing everyone out, we saw the problem completely differently. That helped us see a different path to a solution. I often noticed that when they understood a team member’s perspective, people would have a burst of ideas. We fed off each other’s ideas until we reached a solution that we all thought was ideal.
I don’t like to argue, but I have an appreciation for the value of someone else’s perspective. I may not agree with it, but I enjoy the process of trying to understand it. When you’re building a company, you’re often trying to solve problems that others can’t solve. Constructive conflict is a powerful tool that mature teams can use to solve problems in unique ways.
How has constructive conflict helped you solve a problem?
Say No Quickly
Today I had a great conversation with investors. They mentioned how important it is to say no quickly. Their thesis is simple: you want to have straightforward criteria that allow you to quickly recognize when you can’t move forward. One example: an entrepreneur either is or isn’t a solo founder. An investor who has decided not to invest in solo founders won’t waste time and energy considering a solo founder’s startup. Listening to this reminded me of my early days at CCAW and how I learned this lesson the hard way.
Before we had a steady vendor base, I had to make cold calls and sell vendors on doing business with us. Courting tons of vendors and getting them to agree to partner with a company they’d never heard of was time consuming. Sometimes, after agreeing to terms, I would learn it wasn’t feasible to do business with them. A couple of common issues were that they didn’t have electronic products or couldn’t provide pricing data. They’d say something like, “Just call us and we’ll give you whatever you need.” I’d spent valuable time and energy on a relationship that would never go anywhere. It was frustrating, to say the least.
I eventually created a checklist of questions to ask vendors early on. It focused heavily on their technical and operational capabilities. If their answer to any of the questions was no, it wasn’t a good fit and I walked away. Over time, I refined the checklist to the point that we spent time only on partnerships that were a perfect match.
Define your bottom line and quickly say no when someone can’t meet your standards. You’ll find a lot of value in this, personally and professionally. We all get the same 24 hours; how we use them is what separates us. Walk away sooner rather than later from relationships that can’t progress.
How do you manage your time more effectively?
What’s Missing for Atlanta Entrepreneurs
I’ve had thought-provoking conversations over the last few weeks about what’s needed for Atlanta’s entrepreneurial ecosystem to reach the next level. What’s the next level? A regular stream of companies transitioning from early stage (sub–$100 thousand in annual revenue) to $250 million-plus liquidation events (acquisitions, IPOs, etc.) within ten years. Atlanta has a robust entrepreneurial scene and a community that’s super supportive (local government, universities, corporations, accelerators, etc.). In my opinion, Atlanta is one of the, if not the, strongest areas in the southeast for building businesses. But there’s lots of room for improvement.
The folks that I’ve talked with and I came up with a bunch of things that we think would help. But here’s what I believe could be game changing: people who’ve helped build companies that have had liquidation events exceeding $250 million. Founders, executives, key early employees, no doubt others. People who’ve earned their credibility by experiencing the journey to liquidation. These folks have seen the movie and they know how it ends. By no means am I saying that Atlanta doesn’t have such people. But there aren’t enough of them. I think that once you increase their presence in the city (assuming they’re excited to give back), you can start changing the ecosystem.
Why is that true? Easy . . . proximity to success. Going back to my post about this, it’s game changing for early-stage entrepreneurs to have access to successful people. If more people who know how to create companies that can liquidate for $250 million-plus are available to connect early-stage entrepreneurs with the right people and otherwise mentor them, the newcomers have a huge advantage. They are much more likely to succeed. Larger liquidation events happen more frequently, which attracts more investors, which attracts more high caliper entrepreneurs to the city. It creates a flywheel.
Now that we know what’s missing, how do we get more of these credible people in Atlanta?
Changing Consumer Needs: Fitness
I had a good conversation with someone in the fitness industry. As you can imagine, fitness, like other industries, is navigating the pandemic. He shared some great insights. Here are few takeaways:
- Gyms reopen – Where they’re open, usage is nowhere near pre–COVID-19 levels. Cancellations have accelerated. Personal training sessions are way down. So is class attendance.
- Spacing – Gym floor plans were designed to pack in as many machines as possible. That’s not safe now because it makes social distancing impossible. Equipment must be removed. More space could be leased, when feasible.
- Air quality – Hourly changes of air from outdoors, UV lighting, and air filtration aren’t things many gyms have thought about, but they may consider them to make customers feel safe.
- Virtual – Virtual exercise offerings by boutique gyms are surging. Clients have embraced them and these options will probably still be around later.
- Outdoors – With the quarantine, more people are exercising outside (e.g., running) and in groups (e.g., at “boot camps”). People love getting out of the house. Habits are forming and many will stick.
- Trainers – Many trainers have adapted their business models away from revenue sharing with gyms to outdoor boot camps and personal training. More of them are learning to build personal brands and market to attract clients.
- Peleton – Affluent consumers are embracing things like Tonal, Peleton, and other home options.
My biggest takeaway is that there is still a strong consumer desire to work out, but gyms currently can’t meet that need for the masses. This void has upended the industry and created an opportunity to provide new workout options that feel safer. Gyms will be forced to adapt and make investments they otherwise might not have ever considered. Exercise rooms may become more commonplace for home builders. Many people may continue to spend more time outdoors, playing sports or otherwise working out in the fresh air.
It will be interesting to see how this all plays out. I predict that gyms will still be around but their business model will change. I think the home workout category will be the biggest beneficiary, closely followed by more biking, running, etc. and use of public recreational areas. I see scrappy entrepreneurs taking advantage of this opportunity and building the next generation of fitness businesses.
Credible Mentors Are Key to Your Success
One of the most consequential decisions I made as an entrepreneur was to seek out mentors. Over time I had a few as CCAW transitioned. It took me several years to find my first really good mentor, but when I did it made a world of difference. At the time, CCAW was doing around $500,000 in annual revenue. The company was just me and one team member. My mentor was in a different industry, was doing around $60 million in annual revenue, and had more than a hundred employees.
I recently reflected on what made the relationship so impactful. There are lots of things, but one especially stands out: credibility.
When I described a challenge, my mentor could relate to it because years earlier his company had been at the stage where CCAW was. He drew on the specific experiences that helped him resolve the same challenge or one that was similar. His credibility came from having already achieved what I was trying to achieve. He shared his blueprint for success, which comprised knowledge amassed over many years. He essentially laid the path to success at my feet. I still had to walk the path, but I didn’t have to figure out where it was or what it looked like.
I believe that everyone could benefit from this type of wisdom and should consider establishing a relationship with a credible mentor. To increase the likelihood of a fruitful mentorship, I encourage people to first decide on the answers to two simple but powerful questions: What am I trying to accomplish? Has my prospective mentor successfully done the same sort of thing? If you can’t answer the first, you’re not ready to be mentored. If you can’t say “yes” to the second, you haven’t found the right mentor.
When seeking knowledge from another person, always consider whether he or she is credible. On my business journey, the wisdom of credible people has been a game changer many times.
No-Code Entrepreneurship
I’ve begun testing a website builder. Webflow allows you to build beautiful websites without knowing how to code. Historically, creating a website required at least two skills: designing its look and feel and making it functional. For both, coding was a must. Now, though, user-friendly tools can help you create a great website without knowing the first thing about code. Webflow, Weebly, and Squarespace are just a few of them.
Here are my takeaways:
- Power – Webflow is extremely powerful. The possibilities feel endless.
- Learning curve – The product is dense because of all its capabilities. It’s intuitive once you understand the building blocks of the system, but it’s no iPhone. You can’t just start using it with no training or study. There is a learning curve.
- Webflow University – This resource is well thought out and user friendly. There’s lots of easy-to-digest content with great videos. An engaged user community helps you get answers to your situation-specific questions.
- Comparison – I played with WordPress and Webflow simultaneously. I liked Webflow better. Its educational resources were higher quality and more concise. I got the impression that Webflow has more native functionality, whereas WordPress requires plugins to accomplish some of the same tasks.
- Migrating – It appears that it could be challenging to migrate from Webflow to another platform, depending on the specifics of your site.
- Templates – The library of templates is impressive and a great starting point. Webflow doesn’t have as many as WordPress, but they are higher quality (in my opinion).
- Design – The platform isn’t a silver bullet and won’t save you if design isn’t your forte.
I’ll continue to play with Webflow and come up with a final verdict on it, but so far so good.
I remember, when I started CCAW, having conversations with teams of people to create simple brochure websites. The sums I paid back then for those simple projects are laughable now. With Webflow, the same things can be done by an entrepreneur in a weekend or, even if you want to use a good designer, for a fraction of their former cost.
I love how the no-code movement is allowing entrepreneurs to do more with fewer skills and resources. Reducing startup costs lowers barriers to entry and makes entrepreneurship a reality for more people.
If you want to start a company but are discouraged by limited resources or skills, see if a no-code solution is available. You probably aren’t the only person facing your challenge. Worst-case scenario, someone has documented their journey to the solution of the problem and you can follow their lead. Best-case scenario, there’s a no-code solution that can solve your problem quickly and inexpensively.
Working from Home: Week Nine
Today marked the end of my eighth week of working exclusively from home. Here are my takeaways from week eight:
- Virtual learning – I took advantage of a few virtual learning opportunities, which I enjoyed. I’ll be doing this again.
- Change of scene? – Eight weeks of the same environment is getting a bit old. I miss the variety that coming and going entails. I’ve been debating whether to go somewhere else for the next month or so, and I’ll get some feedback and continue to mull this over.
- Relationships – Maintaining professional relationships may be harder in the medium term, so I started using a new tool that should help. I’m excited to play with my new toy and see how it helps my relationships.
- No meetings – For the first time in a long time, I had two days without meetings. With no interruption looming, I was focused and productive. However, I did miss the professional interaction.
Week eight was a good one. I was productive and in a good rhythm. No epiphanies this week—just an awareness that it’s been two months.
I’ll continue to learn from this unique situation, adjust as necessary, and share my experience.
Digital Deep Dive: Social Media Strategy
Today I had the pleasure of being taken on a digital deep dive by a mentor. The content—social media marketing strategy—was prepared by VaynerMedia, so its quality was extremely high. Here are some of my takeaways:
- Platforms – Each should be viewed as serving a different purpose and targeting a different audience (usually). Knowing how to use the features of each platform is critical.
- Amazon – Marketers now see Amazon as a marketing platform. I hadn’t thought of it in that light.
- Strategy – Without a defined strategy, your efforts probably won’t be effective. It should be tied to the organization’s larger objective. Having a strategic leader with social media experience is important.
- Team – Proper staffing and budgeting is a requirement. Treat digital marketing on social media like any other critical function.
- Outsourcing –It’s difficult for agencies to know what resonates with your customer. In-house is more effective—hire an internal team.
- GaryVee – There’s a serious machine behind his personal brand. It’s well thought-out and well funded. What the public sees is the result of a ton of behind-the-scenes effort.
- Perception – It’s everything, even if it isn’t reality.
Full disclosure: I’m awful at marketing. I’m just not wired to think that way.
I was extremely impressed by the thoroughness of the content. The way the strategy component was explained connected the dots for me. It’s like a light bulb clicked on. I now look at social media differently and have immense respect for its marketing value. Social media and marketing are rapidly changing and I’ll be excited to see how technical evolution affects their trajectories.
Posting for 60 Straight Days: Lessons Learned
I recently explained that I completed a 60-day challenge to share my story via daily posts. Today I’m reflecting on what it’s meant to me.
My three big takeaways:
- Giving back – I still struggle with the notion that my experiences are valuable to others. I think of myself and my experiences as average. But telling the world about them has shown me otherwise. People have expressed how a post was helpful to them. It feels good to know that I’m adding value to others’ lives.
- Thinking – Writing forces me to synthesize scattered thoughts so other people can understand what I’m getting at. This was by far the biggest benefit. My brain is in a different state when I’m reflecting and looking for connections. It’s like I’m exercising my brain. I found myself bringing up my newly coherent thoughts in ordinary conversation.
- Top of mind – People I know but with whom I haven’t been in contact have reached out or commented. I’ve reconnected with some of them.
Lessons learned:
- Conditioning – Creating quality posts day after day is a big, difficult commitment. But it got much easier over time. I’m now conditioned to think of a topic and what I want to say about it and then write, every day.
- Consistency – Daily posts are perfect for me. Fridays and weekends are the hardest, but I still prefer doing them daily to taking days off.
- Timing – There’s no perfect time to start posting because it will be hard regardless.
- Perfection – Don’t aim for a Pulitzer every day. That’s not the point. It’s OK to miss the mark from time to time. Everyone has off days.
- Conciseness – Write simply. Leave the fluff out. I’ve noticed my emails and other writings are more concise now.
- Simplicity – I started with LinkedIn because an audience existed and the functionality was there. I focused on establishing my habit and thinking about my content. I was glad not to have to deal with marketing or technical challenges. LinkedIn isn’t perfect (for example, searching for articles isn’t great), but it’s good enough to start with.
What would I do differently?
- Start earlier – I’ve gotten so much from this that I wish I’d started years ago.
- Write succinctly – My first posts were more in depth but they took too long to write. A post should be short and communicate a single point. It needs to be created in a reasonable amount of time and be quick to read.
- Enhance visibility – There are ways to make posts more visible on and off LinkedIn. I wish I’d experimented more. After all, the goal was to help others. I can’t help them if they don’t see it.
- Add pics – At first, I was just focused on getting the content out. A reader suggested that I add photos to enhance visibility. Toward the end of the challenge I did, and it helped. I wish I’d done it earlier.
I’m appreciative of this challenge and look forward to maintaining this new habit. I hope others continue to see value in my posts.
Can We Help Logistics Keep Pace with a Changing World?
Today I had a great conversation with a friend who owns a logistics company. His fleet of trucks delivers goods to individual consumers and businesses in Georgia. He shared his pandemic experiences with me. As others were hunkering down, his team was steadily making deliveries. He hasn’t felt the pain other entrepreneurs have. In fact, he’s thinking about expanding his business into more offerings and has a long-term vision for a large logistics firm.
As I listened, I thought about the big impact logistics has on our everyday lives. How is the food we eat delivered to restaurants and grocers? How do our medicines make their way to pharmacies? How does fuel get delivered to gas stations?
Because of the pandemic, I now receive a steady stream of deliveries. I asked my friend about consumer deliveries. He said this is an area that has changed and will continue to change. Consumers are having more things delivered, and he and his team are still learning how to grow that part of his business efficiently. He wishes there were more tools to help a smaller operator like himself better manage consumer deliveries.
Logistics isn’t sexy and it can be complex. But it’s an essential component of serving many large markets. Consumer deliveries will continue to expand rapidly. For people with knowledge and experience in this space, I foresee opportunities to build large businesses that provide tools to support the ability of smaller logistics companies to operate efficiently or help smaller companies whose core business isn’t logistics manage their logistics.