Today marks the end of my sixtieth week of working from home (mostly). Here are my takeaways from week sixty:

• Perspectives – I got some great feedback from people who have a different perspective than I do. I always learn a ton when I listen to others who see things differently. I don’t always agree, but I always get value from the exercise.
• Teamwork – Outlander’s pitch competition was this week. It took a lot of planning and hard work by the team to make the event happen. It was a testament to what can be accomplished when people work together.    
• Idea session – I participated in a great session this week that was helpful to everyone involved. Lots of good things can happen when good people get together and focus on a single goal.  

Week sixty was a busy week. Lots of long Zooms and other events, but a good week nonetheless.

Founders usually start off doing everything. They’re the glue that holds the company together in the beginning. They’re in the weeds executing to move the company forward. As the company grows, that’s not scalable, and founders begin delegating (or they should). This usually means they’re managing the executors or managing the managers. If done correctly, this allows founders to look at things from 50,000 feet, metaphorically speaking, and think more strategically about the business.

Having to think only high-level about the business is a great thing. I remember when I was able to do this. It felt like I was lifting my head above the clouds and seeing the horizon clearly. Once you’re above the clouds, it can be hard to go back.

Today I spoke with a founder who has removed himself from the weeds of his business, but it isn’t going well. The business isn’t performing as it should, and he knows he needs to replace the people who are executing (or failing to execute). The problem is that he doesn’t want to go back to executing. He can’t wrap his mind around doing that type of work again.

I lived this situation myself in the early days of CCAW, so I can relate. I delayed making changes because I didn’t want to get back in the weeds of a specific area of the company. That delay proved costly and the business suffered. The business lost so much traction that I was ultimately forced to go deep into the weeds to identify the issue and reverse the damage. I had waited so long that we had a razor-thin margin of error. With the support of others team members, I dug in and figured things out. We reversed the trajectory, and I was ultimately able to get back out of the weeds. With the problem solved, the team thanked me for jumping in alongside them. They hadn’t expected it (neither had I!), and they appreciated it.

My lesson from this was that I should’ve always been ready to jump in and do what was needed. I was the founder and it was my company, but I wasn’t above getting into the weeds. Founders do what needs to be done, even when they don’t want to.

I connected with an early-stage founder who spent a few years building some amazing technology. He released the beta version of his product within the last seven months. To his surprise, he’s received two unsolicited acquisition offers. He’s now deciding whether he should raise capital to grow or be acquired (he’d become an employee of the acquiring company).

This founder is in a great position. Users are signing up and paying for the early version of his product. Two larger companies want to acquire the technology. These are signs that the solution he built is creating value. He has a difficult choice to make. I have no idea which way he’ll go, but I’m sure his decision will be well thought-out and he’ll do well.

I think this founder’s situation is one other founders should take note of. Why is he in a position to choose his destiny? Because he hyper-focused on solving a single problem extremely well. His solution is creating massive value that others are happy to pay for!

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Outlander Labs held a virtual pitch competition today. It was an opportunity for innovative startups in the Southeast to compete for a $100K investment. Lots of great applicants were whittled down to these six finalists:

• All Access Advance – Nashville, TN – A platform for managing touring artists, venues, and events in real time from a single dashboard
• City Shoppe – Austin, TX – A two-sided marketplace and software platform that helps consumers “shop their values” and helps local brands and retailers get discovered and reach a larger audience
• Linguix – Miami, FL – An AI-based writing assistant and language learning engine
• OrderNerd – Atlanta, GA – A platform for restaurants that consolidates third-party online ordering platforms onto one pane of glass
• Prospectus.ai – Charlotte, NC – A sales intelligence tool designed to create an internal relationship graph that companies can leverage by making introduction requests that will generate warm leads
• SportAI – Birmingham, AL – A mobile app integrated with AI that optimizes your fantasy sports lineups and, more importantly, helps anyone understand fantasy sports

The founders did an outstanding job pitching, and I enjoyed hearing about their companies. Can’t wait to track these companies—I’m sure they’ll all do amazing things.

It was a tough decision, but I’m happy to announce that City Shoppe was the winner! Congrats to City Shoppe and to the other founders for building interesting companies.

I had a very interesting conversation with a successful founder. He accomplished what a lot of founders aspire to: he sold his company for a significant amount. He’s had time to reflect on the journey, and I was curious to pick his brain. When I asked him about the most pivotal decision he made, he replied, “Putting my ego aside and stepping aside.”

This founder built the company over a number of years. Eventually, he noticed he wasn’t as effective as he’d once been, and over time he realized the company might be better served with someone else as CEO. The decision wasn’t easy, and he struggled with it for some time. Ultimately, he replaced himself with another CEO (with the board’s approval). He took another leadership role in the company that was product-focused. Fast forward a few years: the company was acquired, and everyone was happy.

Hearing this founder describe his decision was engrossing. He clearly had a strong desire to be the leader. He also wanted what was best for the company, though, and that attitude won out. He put his pride aside. The end result confirms that his difficult decision was the right one.

When I read about a new indoor entertainment venue that recently opened in Atlanta, I called a friend who lives in the area. He said the venue is doing well—he often sees a line of customers waiting to enter. I drove by this weekend and saw the line for myself. Opening this venue was no small feat. It required tons of construction. It must have been preceded by years of planning. And given that it just opened, I assume the owners decided to push forward during the uncertainty of 2020.

Last year was a once-in-a-lifetime circumstance (hopefully) and one of the scariest situations a lot of entrepreneurs will face. But on a smaller scale, short-term changes in the market and unexpected hurdles are common. If founders focus on what’s happening right now, they’ll constantly be changing their plans.

The successful founders I know have taken a longer-term view. They decided where they thought the world was going and developed a vision for how their company fit into this future. They were heads-down focused on turning that vision into reality. They powered through short-term ripples in the market, always believing in their longer-term vision. Not over-focusing on the short term was the right call and these founders built great companies that went on to do great things. Often, others couldn’t see it and thought they were crazy for bucking current trends. They didn’t care, stayed the course, and were proven right.

I don’t know the owners of this new venue, but I imagine this describes them. After all, they chose to continue building an indoor venue in the midst of a pandemic!

If you’re an early founder or considering becoming one, be mindful that success will come from taking a long-term view of where the world is going, not reacting to daily changes.

This past week I spoke with a founder about his company. When I asked him about his why, he said he wants flexibility for himself and his family. He’s excited about what he’s doing with his company, but he’s passionate about changing his family’s circumstances. He wants to be able to make decisions without factoring in money and have control over his time so he can spend more of it with his family.

He isn’t the only founder I’ve heard this from. I spoke with another founder who raised nine figures in venture capital. He’s passionate about the problem his company is solving and equally passionate about the financial freedom it’s afforded him. He now wants to invest in early founders who are motivated to build companies because they too desire freedom.

It’s interesting to hear about founders’ motivations. The desire for a better lifestyle for yourself or your family can be strong and lead you to build a large company. I think the trick is identifying the right problem to solve. There are lots of possibilities and picking one you’ll stick with through the ups and downs is important.

Whatever your motivation, make sure you’re clear about it going into your entrepreneurial journey. If you don’t know why you’re doing something, it can be difficult to do it to the best of your ability.

Today marks the end of my fifty-ninth week of working from home (mostly). Here are my takeaways from week fifty-nine:

• Negotiations – Two parties advocating for their own interests: always interesting to watch it play out. Usually, the party with the most leverage gets more of what they want. But sometimes what you expected and what happens are different.
• Communication – This is the key to any healthy relationship. When people are proactive communicators, working with them is much easier. It won’t guarantee a good working relationship, but it’s necessary to one.  
• Summer – I’m hearing lots of friends talk about their summer plans. This may be a very active summer with lots of people away from work. Makes sense, given the last year. I’m curious about business activity levels relative to past summers.  

Week fifty-nine was a good week. No highs or lows. Just evenly paced and productive, which I liked.

I connected with an early founder I’ve known for a few years. He recently completed raising a round of venture capital and is excited to get back to building his company. We talked about all the things that are top of mind. Naturally, recruiting headed his list. He finally has the capital to hire the people he needs to support growth. Unfortunately, he’s facing something he hadn’t planned on. “Recruiting in this work-from-home environment is hard. I can’t afford anyone.”

This founder is in a second-tier city where salaries are historically lower. His fundraising assumed that he’d pay market rate for new, local hires. But the work-from-home movement hasn’t eased, and it’s hindering his recruiting efforts. He finds himself in a situation where he’s competing not just with other local companies but also companies nationwide. Some larger companies are offering salaries and benefit packages he can’t come close to. This wouldn’t have mattered before, because these companies used to want their people to live near the mother ship. People who didn’t want to relocate often took jobs that paid less. Now, larger organizations are allowing employees to work from home, which has expanded the reach of their recruiting efforts.

We’re in a very early phase of determining what work will look like going forward. It was interesting to hear a firsthand account of how it’s affecting one founder’s efforts to build his team. I’m not sure how this will play out, and I’m very interested and will be watching it closely.

I’ve known a few founders who’ve built interesting products because of consulting. A consulting engagement usually includes a discovery process that will help the consultant understand the business or process before they make recommendations. This can lead to the consultant seeing that there’s a big opportunity they’d like to be part of. These savvy founders then build a solution to solve the problem and then productize the solution, by arrangement with their consulting client.

I recently connected with a founder who’s taken this path. The pitch began with an intro to the problem and the solution he’s built. Over the course of our conversations, I learned about his consultancy and decided to dive in more there. I realized that the product he’s pitching addresses a small part of the larger problem he’s solving with his consultancy. I suggested that he lead with the larger problem and how his consultancy has positioned him to be uniquely qualified to solve it. He has an understanding of the space that’s much deeper than most people’s.

I can’t say if this company is a good candidate for venture funding, but I think the founder has found a large market that’s likely to continue rapidly expanding. He’s in a unique position and has an opportunity to build a big business. Can’t wait to see what the future holds for him.