Question
Hello everyone,
I would like to bring to your attention the many doubts and questions that we have on our mind concerning the foundation of a new web startup.
Since September 2015 I’ve been working with my business partner on a web product on which we believe a lot. Conscious about the possible success of our idea we decided to launch a new company and make tangible what is for now just a bunch of ideas on our mind and notes on our desks.
We are already facing the reality that neither me nor my partner have the technical competences needed in this field although we have economics and business expertise.
Initially we thought about outsourcing the whole development of the product, by assigning it to a third party. However after a short time we understood that this wasn’t the right path to follow. We then decided to create an in-house team that will fill in for the holes in our knowledge.
This is where the majority of our problems come from.
Since we only have a fledgling of the product, our idea was to set up a company, rent an office and start to hire the professionals that we need to develop the business. Initially the idea was to hire 2 programmers and 1 web designer. We were not conscious about the job market for these kind of positions so we were not interested about the age or the experience of the candidates, especially because we didn’t want to invest too many financial resources in such an uncertain environment. However after researching this particular field we learnt that the development team was very important to reduce the risk of failure in the early stage. We have decided that the best move is to hire a senior programmer with proven expertise on web development and coding languages. We want him to help us select the right candidates to hire for the development of the product.
• Where can we find this kind of expereinced programmer?
• The main concern about the idea of hiring professionals for our entrepreneurial project is the risk of exposing our business model to professional figures who could steal the idea and develop it by themselves. How can we reduce this kind of risk?
We thank you all for your time and really appreciate your help. Feel free to give us your advice on whatever seems wrong or incorrect.
Best regards.
Jacopo
Answer
First, understand that "an employee stealing your idea" is not in the top ten things to worry about for a startup. Ideas are everywhere. It is the execution that makes all the difference.
Second, your challenge is a common one. I have been on both sides of the challenge. About ten years ago I answered an advertisement for a "web and database developer in the Bay area" — the only problem was that I was in South Carolina! It was a two man startup with tons of SME (subject matter expertise) in a neat industry, What they really needed was a CTO, DBA and programmer. So that is the role I served. Regardless of what they called my role. I had to show them I could deliver and within the timeline. We knock it out of the park!
Your answer lies in great part in your network of connections. Your first level (or personal) connections may not be your answer, but it is a fact that one of their connections will be, at least in 80% of the cases. Be open to various scenarios of "employee" vs. 1099 employee or hired gun. You need to solve this problem yesterday! Does the nature of the status of employment really matter?
Finally, consider the burn rate for staffing your company with even just two programmers. Senior or otherwise. Remember this: "Go with the A team in every hire." The odds are against your success, why further handicap your dream by hiring B or C players? With this economy there are amazing people available.
Pair your pitch down to ten slides, I love Guy Kawasaki's 10/20/30 model (http://jmpurl.info/BJ), and schedule a call with me.
