Where are you on your journey?
What problem are you facing?
Idea
Team
Product
Market Fit
Growth
Investment
Expansion
Action Creates Effect: "Action is the Cause that creates Effect". You miss 100% of the shots you don't take.
Persistence is Omnipotent: Nothing in the world can take the place of persistence. Talent, genius, and education alone are not enough. The most certain way to succeed is always to try just one more time.
Sustained Intensity: Entrepreneurs that can sustain intensity and focus over long periods are the ones that achieve breakthrough success.
Long term survival is key to being successful. Most startups do not have customers for one to three years, and most are not profitable for ten or more years unless they are service-based.
It takes about a decade to turn a solution into a highly repeatable and scalable business.
Yes, some companies have done it faster—for example, BeforePay went public on the ASX in four years—but there are many reasons for that, including multiple founders working well together, a clear plan and customer profile that reduced time spent in discovery and pivoting, and a strategy from the start to be ASX listed as soon as possible. They worked long days and weekends on the basis it was short-term pain for a long-term benefit.
Through those ten years, it is likely there will be economic ups and downs, including a recession, meaning there will be months with no new sales. It will not move as fast or scale as easily as you may hope or think.
However, the advantage is to those who persist, as many people give up or run out of cash. Finding a way to survive can mean the difference between being successful or not.
A founder must be prepared to:
An idea originates from a problem or a pain point. If you lack personal experiences to draw from, you'll need to actively seek them out.
Since mind-reading isn't an option, consider these methods to identify others' problems:
For further insights, these idea generation discussions may be helpful:
An idea is not a business until it solves a real, painful problem for a customer who is willing to pay for the solution. Validation is the process of testing this assumption before you invest significant time and money.
The most critical first step is to get out of the building and speak to people you believe are your target customers. Your goal is not to sell your idea, but to listen and understand their problems.
Avoid spending lots of time or money building first without talking to customers like Mobilyser - https://youtu.be/5FH6F7uB4bo?si=RISuUylvu0WgkJE6
Turning an idea into a successful business is a long-term game. Before you even write a line of code or sketch a design, you need to be brutally honest with yourself about the path ahead.
The average startup takes 2-6 years to become profitable and 6-10 years to have a successful exit (like a sale or IPO).
The single most important question you must ask yourself is: "Am I willing to dedicate the next 10 years of my life to this idea?"
You will face immense stress, emotional ups and downs, and countless problems. If you can't wholeheartedly commit a decade to this journey, it’s probably wise to find an idea you are passionate enough about to see it through.
While stories of quick, multi-million-pound exits exist, they are the exception, not the rule. Plan for the marathon.
Choosing how to finance your business is one of the most critical decisions a founder can make. Both bootstrapping (self-funding) and seeking investment are proven paths to success, but they involve vastly different risks, rewards, and experiences. The right choice depends entirely on your business, your market, and your personal goals.
The example table below perfectly illustrates the fundamental financial difference. The bootstrapped path begins with a founder's initial personal investment and relies on profits for slower, steadier growth, but the founder retains 100% ownership. The funded path uses external capital to fuel explosive growth, leading to a much higher valuation but also significant equity dilution for the founder.
| Year | Bootstrapped Revenue | Bootstrapper Growth Rate | Bootstrapped Valuation | Bootstrapper Founder Valuation | Bootstrapper Founder Equity | Funded Startup Revenue | Funded Growth Rate | Funded Startup Valuation | Funded Founder Valuation | Funded Founder Equity | Notes |
|---|---|---|---|---|---|---|---|---|---|---|---|
| 0 | "100,000" | 50.00% | "500,000" | "$500,000.00" | 100.00% | "100,000" | 120% | "1,000,000" | "$1,000,000.00" | 100.00% | Initial State |
| 1 | "150,000" | 50.00% | "750,000" | "$750,000.00" | 100.00% | "220,000" | 120% | "2,200,000" | "$1,870,000.00" | 85.00% | Seed Round |
| 2 | "225,000" | 50.00% | "1,125,000" | "$1,125,000.00" | 100.00% | "484,000" | 120% | "4,840,000" | "$4,114,000.00" | 85.00% | |
| 3 | "337,500" | 50.00% | "1,687,500" | "$1,687,500.00" | 100.00% | "1,064,800" | 120% | "10,648,000" | "$7,453,600.00" | 70.00% | Series A |
| 4 | "506,250" | 50.00% | "2,531,250" | "$2,531,250.00" | 100.00% | "2,342,560" | 120% | "23,425,600" | "$16,397,920.00" | 70.00% | |
| 5 | "759,375" | 50.00% | "3,796,875" | "$3,796,875.00" | 100.00% | "5,153,632" | 120% | "51,536,320" | "$28,344,976.00" | 55.00% | Series B |
| 6 | "1,139,063" | 50.00% | "5,695,313" | "$5,695,312.50" | 100.00% | "11,337,990" | 120% | "113,379,904" | "$62,358,947.20" | 55.00% | |
| 7 | "1,708,594" | 50.00% | "8,542,969" | "$8,542,968.75" | 100.00% | "24,943,579" | 120% | "249,435,789" | "$99,774,315.52" | 40.00% | Series C |
| 8 | "2,562,891" | 50.00% | "12,814,453" | "$12,814,453.13" | 100.00% | "54,875,874" | 120% | "548,758,735" | "$164,627,620.61" | 30.00% | Series C 2nd |
| 9 | "3,844,336" | 50.00% | "19,221,680" | "$19,221,679.69" | 100.00% | "120,726,922" | 120% | "1,207,269,218" | "$241,453,843.56" | 20.00% | Series C 3rd |
| 10 | "5,766,504" | 50.00% | "28,832,520" | "$28,832,519.53" | 100.00% | "265,599,228" | 120% | "2,655,992,279" | "$531,198,455.83" | 20.00% | Additional Funding |
As the table shows, the funded founder's potential gain is exponentially larger (over $531M vs. $28.8M), but their ownership is diluted to 20%. The bootstrapped founder "only" has a $28.8M valuation, but they own all of it.
Bootstrapping means building a company from the ground up, typically starting with an initial personal investment and then using only the revenue generated by the business to grow.
Advantages
Risks and Challenges
This model involves raising capital (e.g., from Angel Investors or Venture Capitalists) in exchange for equity (ownership). The goal is to use this capital to grow very quickly and capture a large market.
Advantages
Risks and Challenges
This is a clever alternative that lowers risk and provides invaluable market insight.
What it is: You offer services that are complementary to your product idea or target the same customer base (e.g., consultancy, setup, training, or custom development).
The Goal: To use the cash flow from paying clients to fund the development of your product on the side.
The Reality: This path dramatically reduces the risk of failure. You get paid to learn about your customers' biggest problems. The downside is a split focus; you're essentially running two businesses at once, so progress on the product will be slower. The biggest challenge is making the leap from a profitable service business to a product business, as it's very difficult to say no to guaranteed service income.
The good news is you have flexibility. You can start as a bootstrapped or service-based business and decide to seek equity funding later. Investors often like seeing a company that has already proven it can make money. However, the reverse is almost impossible.
Once you take on external funding, you are on the high-growth path. It's incredibly difficult to switch back to a slower, bootstrapped model because you have a responsibility to your investors to pursue rapid growth.
Choose your path wisely.
Co-founder disagreement is the number one reason for startup failure.
[ ] Attend networking events, “meet your co-founder” events, join co-working places and attend Startup events to meet potential co-founders:
Inexperienced Staff:
Experienced Staff:
Product-Market Fit is a continuous cycle:
Once you start getting feedback, you need a framework for deciding what to build next.
Prioritise features by asking three key questions:
Using a major cloud provider is essential for meeting the security requirements of banks and other enterprise clients.
Google Cloud Platform (GCP):
Amazon Web Services (AWS):
Microsoft Azure:
Digital Ocean:
Dedicated Servers:
| Language | Pros | Cons |
|---|---|---|
| Go (Golang) | Flexible but uses structures to encourage maintainable code. Code is compiled, making it very fast. Used by Google for their services. |
Code needs to be compiled, which adds a step to development. Smaller talent pool than older languages. |
| Node.js | Uses JavaScript, which is familiar to frontend developers. |
Can be less performant for CPU-intensive tasks compared to compiled languages. |
| Python | Simple and easy to learn. | Slower performance for heavy loads or lots of users compared to others. |
| .Net | Microsoft-owned and well-supported. | Less flexible than other frameworks. Needs to be compiled. |
| PHP | Very flexible. Easy to find developers, which can reduce costs. |
Flexibility can encourage poor code development, leading to tech debt. |
| Java/Springboot | Widely used in large enterprises, making it a robust and well-understood choice. |
Can be verbose and require more boilerplate code than other options. |
Your main choices for modern web applications are:
| Approach | Pros | Cons |
|---|---|---|
| Outsourcing | Can be cheaper when not using staff full-time. Good for one-off things you can throw away or use as an MVP/demonstration. | Initially more expensive to get them up to speed. Logic and understanding can be lost through "Chinese whispers," leading to lower quality. The code may not be built for future adaptability. |
| Insourcing | Can be faster with higher quality once the team is set up. Allows you to grow a team and retain knowledge. Good for a version one product that needs to be continually maintained and built upon. | Onshore availability of good talent can be a challenge. Higher initial setup cost. |
Product-Market Fit is a continuous cycle:
The AI Intern Analogy: Using an AI chatbot is like having interns available 24/7 across a full list of skills and topics. It is recommended to provide access to these tools for all your staff to boost productivity.
Think of an AI tool as a "words calculator" — just like a maths calculator, it's very useful for some things and not for others.
The business owner must create and control the master accounts for all critical services to ensure continuity if staff leave. This includes:
Never sign an agreement where someone else owns the IP. Make sure you have clear ownership of any produced IP, including code, from any outsourced party or employee.
Starting a company involves significant legal paperwork. Fortunately, there are excellent open-source resources available to help you get started without high initial legal fees.
Airtree provides a comprehensive suite of legal documents tailored for early-stage startups. These templates are designed to be founder-friendly and balanced. https://www.airtree.vc/open-source-vc-categories/startup-documents-legal-templates
Key Documents Available: Term Sheet, Shareholders Agreement, Convertible Note Template, SAFE Template, ESOP (Employee Stock Option Plan) Template, Advisor Agreement Template.
Cake Equity offers a rich collection of guides and templates focused on managing startup equity, from cap tables to employee option schemes. https://www.cakeequity.com/guides
Key Guides and Templates: Equity Explained, Cap Table Mastery, Capital Raising, and Agreement Templates (Subscription Agreements, Convertible Notes, SAFE Notes, etc.).
The Stark Reality: A cyber attack is an existential threat. 60% of growing businesses close within 6 months of a significant data breach.
Case Study - Levitas Capital: This hedge fund was forced to close permanently after a founder clicked on a phishing email disguised as a Zoom invitation. The attacker used the stolen password to access the founder's email and send fake invoices, resulting in over $15 million being stolen.
When Are You a Target? The risk of an attack increases significantly with public exposure. Common triggers include:
There are over 120 items to secure for cyber security, however cyber attacks are currently targeting the easy option of phishing or a vulnerability in your code. To protect against these attacks all startups should as early as possible perform the following steps:
After these Foundations are implemented, the next steps as you grow would include: Environment and Developer Security, Access Security, Device and Laptop Security, Supplier Security, Cyber Risks and Policies, ISO27001 Certification, and SOC2 Audit.
As you grow, investors and enterprise clients will demand formal proof of your security posture. Certifications like ISO27001 and SOC2 demonstrate a strong commitment to information security, increase enterprise deals, and provide a competitive advantage.
The Vertex platform is the startup friendly platform for ISO27001 and SOC2 - https://www.vertexcybersecurity.com.au/iso27001-3/
Checklist:
The Core Principle: For early-stage startups, the sales process should be performed by the founder/s. Do not hire a sales team until you have proven the model yourself.
Why the Founder Must Sell First: Founders are the best first salespeople because they have the unique ability to listen and learn from the market, be flexible with terms, and sell the vision with unparalleled passion.
Critical Warning: Hiring salespeople without a simple and repeatable sales process usually ends in failure.
Your Marketing Approach: A Process of Discovery: It is critical to understand that there is no single magic formula for marketing. The general approach must be one of trial, error, and continuous improvement.
Your Starting Point: Use an AI tool (like Gemini or ChatGPT) to suggest the top marketing channels and strategies to try first for your specific industry and target audience.
Instead of trying to sell to absolutely everyone, the smartest thing you can do is have a proper look at who's already bought from you and been a great customer.
Analyse your best sales. Who are these people or businesses? Look for patterns:
The people who have the biggest problem, are easiest to sell to, and pay you the most are your Ideal Customer Profile (ICP).
Think of them as your "low-hanging fruit".
Once you have a clear picture of this ideal customer, you can stop wasting time and money marketing to people who aren't a good fit. Focus all your energy – your advertising, your social media, your sales efforts – on finding and talking to more people just like them.
It’s a much faster and more profitable way to grow your business.
To handle growth, your technology must be built to scale:
Warning: Manual steps or bad code become much bigger problems when you scale.
The Core Principle: For early-stage startups, the sales process should be performed by the founder/s. Do not hire a sales team until you have proven the model yourself.
Why the Founder Must Sell First: Founders are the best first salespeople because they have the unique ability to listen and learn from the market, be flexible with terms, and sell the vision with unparalleled passion.
Critical Warning: Hiring salespeople without a simple and repeatable sales process usually ends in failure.
International Expansion is commonly requested by investors to maximise growth in large markets so understanding your investors expectations on this matter is important.
Expanding internationally is one of the most significant steps a startup can take, presenting enormous opportunities but also substantial risks and costs. It requires a distinct strategy, significant capital, and a deep understanding of new markets.
The "5 Logo" Rule: One proven method is to focus on acquiring your first 5 sales and customer logos in the new country before committing to any major investment (like opening an office or hiring a large team). This validates the market need and your ability to sell there.
This is not a journey to take alone. Companies like “Think and Grow” specialise in International Expansion, providing essential services like Market Research, Go-to-Market Strategy, and International Hiring.
Running out of money is one of the biggest risks for any startup. When you see your runway shortening, you have two primary levers to pull: increase your capital or reduce your expenses.
The fastest way to extend your runway is to cut costs. Conduct a thorough financial review of every expense.
The Challenge: As an early-stage founder, your environment significantly impacts your productivity. Working from home can be isolating and full of distractions.
When starting, a co-working space is often the best option (e.g., Stone and Chalk, ACS Labs, Tank Stream Labs).
Benefits:
The Challenge: The founder's journey is a marathon, not a sprint. It's filled with challenges that can drain your energy. It's normal to feel this way, and the key is to find ways to reignite your drive.
“Action is the Cause that creates Effect.” – Martin Boyd
“You miss 100% of the shots you don't take.” – Wayne Gretzky
“Our greatest weakness lies in giving up. The most certain way to succeed is always to try just one more time.” – Thomas Edison
“I’ve seen the impact that people who are ambitious and back themselves can have... Often the entrepreneurs that are able to sustain intensity and focus over long periods are the ones that achieve that breakthrough success.” – Chris Kirk (CEO of Stone and Chalk)
Press On: "Nothing in the world can take the place of persistence. Talent will not... Genius will not... Education will not... Persistence and determination alone are omnipotent." – Calvin Coolidge.
The Core Problem: You have too many tasks and don't know where to start. This leads to doing smaller, easier tasks for a quick "dopamine hit" of accomplishment, while the big, important tasks that actually move the startup forward are ignored.
The Core Problem: You are unable to get new customers, or you are losing existing ones. This is almost always a symptom of a deeper issue, and the cause is a lack of information.
You need more information to identify the cause of the problem, and the only place to get that information is directly from your customers and the market.
Alright, let's talk about one of the most crucial, and often overlooked, parts of building a startup: having a proper chat with your clients.
This isn't just about being polite; it's about survival. Your first clients are your compass. They'll tell you where the treasure is buried and where the dragons lie, but only if you ask the right questions and, more importantly, truly listen to the answers.
Forget anonymous surveys for a moment. A real, honest conversation is worth its weight in gold. Here’s a simple framework for making these catch-ups brilliant.
A good meeting happens long before you walk into the room (or join the video call). Don't go in cold.
Your list of questions is a fantastic starting point. The trick is to group them to create a natural flow, moving from the broad and positive to the specific and critical.
Phase A: The Easy Start (Building Rapport)
Start light. Make them feel comfortable and valued. The goal here is to understand what they love so you can protect it.
Phase B: The Digging Deeper (Finding Opportunities)
Now you can start probing for unmet needs. This is where you find inspiration for your product roadmap.
Phase C: The Nitty-Gritty (Finding the Problems)
This can be the toughest part, so listen carefully and don't get defensive. This is where you learn how to stop clients from leaving.
Phase D: The Reality Check (Context and Comparison)
Understanding how you fit into their world helps you position yourself in the market.
Phase E: The Wrap-Up (Prioritising and Action)
You'll leave with a long list of ideas. You need to know what to tackle first. Your last three questions are perfect for this.
The meeting is only half the job. What you do next is what separates a good startup from a great one.
Work-Life Balance: Founders face a paradox: they are driven by passion, but this exists in a high-pressure environment. Sustainable success is only possible by prioritising your well-being and actively managing stress.
For any founder, stress isn't a possibility; it's a certainty. The trick isn't to avoid it, but to understand it.
Think of stress as your body's early warning system. It’s a biological signal telling you that something needs your attention and you need to take action.
The crucial thing to remember is this: the longer you delay taking action, the worse the stress becomes, and the more severe the consequences of inaction will be.
When this signal is ignored for weeks or months, it turns into a constant, deafening alarm. That's burnout. Burnout is simply chronic, prolonged stress with no foreseeable end.
The good news is that by identifying the cause of the stress and taking direct action, you can resolve it. Most founder stress stems from one or more of these four common causes:
This is the classic startup squeeze. You have a mountain to move but only a teaspoon to do it with. The stress signal is telling you the current plan is unsustainable.
Your Action:
This is the "what if" stress. What if that big client leaves? What if the new regulations kill our model? Your mind is filling a vacuum of information with fear.
Your Action: Replace fear with facts.
As a founder, you often absorb the stress of your team, co-founders, or even difficult clients. You feel their anxiety, and it layers on top of your own.
Your Action: Create boundaries. This doesn't mean becoming cold or uncaring. It means recognising that you cannot carry everyone's emotional load. If a particular person is consistently draining your energy, you need to manage that interaction. This could mean scheduling specific times to discuss challenging topics or simply learning to listen without absorbing their stress as your own. Sometimes, it may mean creating distance.
The founder's curse is trying to be the CEO, Head of Sales, Marketing Manager, and IT support all at once. Switching between these roles constantly fragments your focus and skyrockets your stress levels.
Your Action: Do one thing at a time. Be intentional. Block out your calendar for a single, focused task. Close all other tabs. Put your phone in another room. The peace that comes from monotasking is remarkable. You'll achieve more, to a higher standard, and with significantly less stress.
Dealing with a major stressor is like a strenuous mountain climb. You're full of adrenaline and focused on getting to the top (solving the problem). Once you've done it, you can't just instantly be back at the calm, sea-level state.
You need to manage the descent. After you've taken action on a stressor, you must give your mind and body time to come down from that heightened state. This isn't optional; it's a necessary part of the cycle.
Your "climb down" activities can include:
Consider attending founder events like:
Consider attending founder groups like:
By seeing stress as a signal, identifying its root cause, and taking decisive action, you turn it from a threat into a powerful tool for building a more resilient and successful business.
Embrace the "Try-Fail-Learn" Cycle. Fear of failure can be paralysing. Successful people see failure as a stepping stone, not a roadblock. The key is to "fail forward" by learning from every mistake.
Effective Date: 15 September 2025
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