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Keep startup idea a secret?

5 points by gregw100 ↗ HN
So I've been working on my startup for the better part of the year. I recently decided to freeze it due to a lack of funds. Through the process of building it, I've hired programmers and explained my idea to probably 4 or 5 of them so that they have a better idea of what to do on the site. I'm no longer hiring them and I'm worried that because I've explained the premise of the site to them, they might take my idea and build it themselves, though I haven't given any single one of them the entire blueprint.

Today I decided to change servers to Network Solutions. They are offering a month of free site support and to even build my site for free. I spoke with a representative for over an hour today explaining my idea to him in order to get a month free of programming help. It seems like such a good opportunity that only a fool would pass it up. However, now I'm wondering if I should've explained my idea to him, even if he is with a professional outfit.

What are your experiences with disclosing your startup ideas and how open are you to people? Is it a mistake to involve anybody outside of my immediate circle in on the project?

13 comments

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_ud4a
personally i would think the "programming" that Network Solution would offer you is not what you are looking for in a startup! the most they would do is put a static html site and MAYBE do simple DB and php integration.

also why didn't you get all your programmers to sign an NDA?

dholowiski
I'm thinking this is what he has: http://www.networksolutions.com/web-design-services/index.js... They're not going to build a custom web app for you, it will just be static HTML or a basic CMS. Better to get a high end VPS and install Drupal or WordPress, considering this costs $94 a month.
gregw100
That's exactly what it is. They offered a free 30 day trial and I figured it couldn't hurt to try it out, but now I think that they're more for small businesses who don't need much more than a static HTML page.

Drupal and/or Wordpress wouldn't be able to do what I need. My site is relatively complicated and I already have a pretty substantial amount written in PHP.

gregw100
I'm starting to think that's not what I want. When I asked what language the programmers use, he said HTML and I was like, huh? I then explained to him how complicated my site is and he said they offer advanced services including PHP and interactive sites. As of now, all they're doing is taking the information I've given them and building a static HTML page.

Luckily I have a 30 day cancellation option, but I'm worried that if these programmers realize where I'm going with the site, they might try to build it themselves.

gregw100
And regarding the NDA's, I guess because I hadn't yet fully explained my ideas to the programmers, I felt like they weren't necessary.
tadfisher
Ideas are like assholes. What counts is getting a working product to market.

That said, if you are committed to your idea, do what you have to in order to get it off the ground, but don't give away the keys to someone you don't trust. If it were up to me, I would not trust Network Solutions to build my product.

You can build trust by giving those involved a stake in the idea. Make your gains into their gains, and your losses into their losses. The relationship between you and your team should be less "boss/employee" and more "founder/co-founder".

You can't do this with NS. What incentive do they have to build the best product you can build? What stake, beyond your tiny slice of their revenue, do they have? What guarantees do you have that NS will not hold your product hostage in return for lackluster support? These are the questions you should be asking.

I'm curious; are you a developer? I see this type of situation all the time in my field of work, and it's usually large companies taking advantage of entrepreneurs who aren't tech-savvy.

gregw100
Hi Tadfisher. That puts it in more perspective. NS really has no incentive to make my site shine and, even worse, if the site blows up they might, as you say, take it hostage. I think I'm going to cancel the service before they begin the website. Honestly what really sucked me in was this sales guy on the phone telling me that the best idea for me at my stage while seeking funds is to get the site up so that venture capitalists and angels can find it easier. He made it sound like if I used their service, they would help me find investors. After talking with the consultant, I think that sales guy was just full of shit (as most sales guys are) and was just telling me what he knew I wanted to hear in order to sell his service.

I myself am not a developer, though I'm not entirely ignorant of the technical side. I have developed my idea single-handedly through much trial and error and just want to steer my idea to fruition. I already have the entire blueprint for my site, but I just can't build it myself. What I really need is a service that will build the site, even if they take a stake in the company, like Y Combinator.

And no, I'm not the type of person Ashton Kutcher hates (Mark Zuckerberg wannabes). I seriously have a fully-baked idea that began with the question, what does the world really need. Is Y Combinator my only viable option in your opinion?

tadfisher
If your idea is good, you can find developers who will work for a stake. They may not be full-time, because everyone needs to pay the bills, but they are out there. By having this "keep my idea secret so no one can steal it" rule at the forefront, you'll never find those developers.

That doesn't mean you should make a HN post with your entire idea diagrammed and annotated. All you need is a gist; "a social bookmarking service" or "text-message notification system" is enough to start correspondence.

Any service that will develop your product for you is not going to be worth it, period. This needs to be a collaborative effort under your wing. The developers actually working on the idea need to have their own stake in the product, moreso than a paycheck from a service that might build 1,000 dynamic websites in a year.

gregw100
I've come to that conclusion that I can't keep my idea a total secret, otherwise it will never see the light of day. At first I was entirely vaulted. As for the site, it's a social network with a focus on businesses rather than people. I've spent countless hours drawing up the blueprint, so there are literally over fifty other services that I believe the site could incorporate which all have a huge potential upside. It's very frustrating to have all these ideas but not know how to implement them. I've already spent thousands of dollars on developers, but I don't want to go completely broke.
tadfisher
Try college students. Seriously, I knew so many CS/SE majors who needed projects to work on that would mean something on their resumes.

Many colleges have an undergrad "capstone" program where entrepreneurs can pitch their ideas to teams of students, who may spend 1 or 2 quarters building a product in lieu of a thesis. This might be a good place to start.

gregw100
I couldn't reply to your last post, so I'm replying directly above it.

That's a good idea. I've thought of that, but 1. I'm not a very outgoing person and don't know if I would be great at pitching an idea and 2. It seems that students wouldn't bring the quality that professional programmers do. That's definitely an option though. Thanks.

frankwong
NS's offer to build your site is just a gimmick. If you want a couple of html pages of about us, contact us, homepage, etc. it would be fine. But I can't see any startup that can use that type of service to build anything meaningful. I would definitely stop talking to NS immediately.

As for your programmers, NDA would have helped. But also don't lose sleep over it. I am a programmer and have worked with many other programmers. So far, I have not seen one person stealing an idea from a client due to the lack of a NDA. Maybe I just hang with those with moral integrity.

gregw100
Hi Frank, That gives me more piece of mind. I've only given three programmers FTP access, though I've since restricted them. I've also explained to them that I'll be willing to rehire them once I can afford it, so that should give them more of an incentive to wait, rather than try to build their own versions. Also, I interviewed the programmers first and felt that they were trustworthy (though you never know for sure). I'm glad to hear that you've never encountered programmers stealing ideas.

Being of high moral integrity myself (in my opinion), I wouldn't expect someone even closely like-minded to steal my idea, but I feel like my site has such high potential that it may be one of those things that even someone with moral integrity can't resist stealing.

By the way, is there anywhere that I can find developers to build my site who would accept a stake in the company rather than cash?