Every year or so, I’ll informally poll veteran entrepreneurs I know. The questions I ask have evolved over time, but a few remain pretty consistent. One that I find elicits some of the more insightful comments is this question:
“What is the single best piece of advice you received — or wish you’d received — when you were just starting out as an entrepreneur?”
Let me share just a few of my favorite responses with you: “The best advice I ever received.”
Planning & Strategy
"Paraphrasing Thomas Edison: Focus on how the end-user customers perceive the impact of your innovation – rather than on how you, the innovators, perceive it."
—Taylor, San Diego, CA
"Startup success is not about the product, or the technology, or even the management. It is about picking the right market at the right time – and then having the product, technology and management to ride the market wave. Time is everything in life, and in entrepreneurship."
—Allen, Portland, OR
"Getting your business launched and your first product onto the market will take you twice as long, and cost you twice as much, as you think it will."
—Dave, Toronto, ON
"Eisenhower’s observation about preparing for battle applies remarkably well for us as entrepreneurs: “'I have always found plans are useless, but planning is indispensable.'”
—Alejandra, San Juan, PR
Management & Decision-Making
"Never confuse activity with progress."
—Ty, Boston, MA
"If you don’t like the rules, change them."
—Michelle, Ann Arbor, MI
"Focus. It’s so easy to say, 'With our fantastic new approach or technology, we can solve problems everywhere.' But if you do that, your efforts will be diluted. Instead, by first focusing on a market niche you can become truly great at addressing, your startup has the best shot at success."
—Jan, Durham, NC
"Cash is more important than your mother."
—Grace, Shanghai, China
"The customer is always right—even when they’re wrong. As entrepreneurs, we’re agents of change. And we inevitably learn more about a particular market space than many of our customers, and feel that it’s appropriate for us to explain to our target customers what’s best for them and how they should behave. But what we think doesn’t matter. The only thing that matters is what customers say – even if we, as entrepreneurs, think they’re dead wrong."
—Kurt, San Francisco, CA
"A company defines itself by what it says 'no' to. Translation: A startup’s success, and its very character, are defined by the clarity and focus of its mission, and then by how well the business’s leaders stay true to that focus and steer clear of distractions. Corollary: The devil always arrives carrying cash. Translation: The things that can distract startups away from their originally-intended mission are often business deals that tempt the management team with short-term cash."
—Miguel, Albuquerque, NM
Mentorship, Coaching & Support
"The best advice I received when I bought my first company was: Get lots of advice. Surround yourself with great advisors, and a great network. Don’t be afraid to ask lots of questions, and be willing to pay for good advice."
—Rick, Seattle, WA
"Wear your ignorance on your sleeve. It’s the easiest place from which to brush it off."
—Cristina, Miami, FL
"Hire a great attorney from the beginning – someone who knows how to set up your company correctly. Also engage a startup-savvy accountant, and team up with a banker who understands early-stage businesses. Early on, these are the three people you need to rely on and trust the most."
—Ben, Rochester, NY
"The most telling coaching I received while trying to finance my first restaurant was from my spouse, who repeatedly reassured me, 'It is not a question of if [you achieve your goal], it is simply a question of when.'”
—Ed, San Rafael, CA
"As a first-time CEO, I was advised by a seasoned entrepreneur, 'Never ask your Board of Directors to help you solve a problem. Instead, always articulate your plan to solve a pending issue, and then listen to their reactions and advice.” This advice has worked well over the years, and helped avoid tons of distracting conversations, while at the same time helping me demonstrate leadership.
—Charlotte, New York, NY
Building a Winning Team
"Always look for people smarter than you, and surround yourself with people who can challenge and inspire you."
—Doug, Redwood City, CA
"When you’re hiring key outside contractors for your support team – a lawyer, an accountant, a marketing agency, a PR agency, and so on – look for individuals and firms for whom your business will be extremely important. Don’t go for the big-name firms, because your little startup won’t represent big billings to them and once they’ve landed your account, the partner will disappear and you’ll be assigned to a junior associate who’s under pressure to maximize billings. "
—Steve, Boston, MA
"Do you trust – really trust – your prospective business partners and cofounders?"
—Rafael, Sacramento, CA
"Hire slowly. Fire quickly."
—Jenny, Seattle
"You’re better off having a great team with a lousy idea than a mediocre team with a great idea."
—Sunil, Washington, D.C.
Jim Price is a serial entrepreneur and Adjunct Lecturer of Entrepreneurial Studies at the Zell Lurie Institute at The University of Michigan Ross School of Business.
NOW READ: 6 Reasons Why So Many Acquisitions Fail
