Co-founder won't move to the valley if accepted by YC. What do I do?
This is not the first symptom of lack of dedication from my others on my team. I quit my job last November (wow, 10 months already) to work on the startup full time. I've done 85% of the code, server admin, graphics, everything. I'm pretty much running the operations by myself
Co-founder is not a technical person, but does a good job with idea generation, responding to our alpha users, legal documents and creating bug tickets for me to fix ... but that's about it. He doesn't do much in the way of progressing the product to be ready for market (which is what we need most right now). I've urged him many times to join me full-time, I'll teach him basic web design and testing, I'll of course still handle the complicated stuff. He has a very good job (he's MUCH younger than anyone in his industry) at a private equity firm, and won't leave that without some guarantee of funding his relatively high cost of living for at least 6 months or so.
#3 guy is a talented developer, but also has a full-time job, new wife, and other projects. We work great together. The hard part is getting together. I don't think he's got the "startup drive" that must of us have, though. I didn't really expect him to say yes.
My predicament is pretty clear. I need help getting our product market-ready (public beta is supposed to be this month, but it won't be everything that I wanted it to be) and I'm hitting a wall from my team. I can do a lot by myself, but I'm still only one person.
I want so badly to be in the YC environment, working with smart people all around. It's been 10 months now of me hacking away alone in my condo ... getting very antsy. If I got accepted, I'd pack up right away and plan on a permanent move out west (It's always been a dream of mine to live out there).
Part of me is thinking that I need a new team. Or maybe just another technical founder. Will YC even consider me with a non-committed team as baggage? Should I apply just by myself? Please share your advice.
43 comments
[ 3.1 ms ] story [ 132 ms ] threadHowever the tone of your post doesn't surprise me - you probably wouldn't understand the difficult position he's in unless you've been there before.
I think the level of commitment from the other two co-founders is much less according to your description, I am not even sure you should give them co-founder status. Remember you're working full time on the project that means you're investing $x (your full time job's salary) every month as opposed to the other guys. From your description the other two guys seems to be playing safe, not risk takers (very much required ingredient for startups)
I think you really need to find new team members who are committed, dedicated, and risk takers.
As far as finding new team members, I think it would be nice to work with people who you know already to reduce time consumed building a new relationship. Otherwise, you got to work with people for some time to find workable team members.
Best of luck
"The number one thing not to do is other things. If you find yourself saying a sentence that ends with "but we're going to keep working on the startup," you are in big trouble. Bob's going to grad school, but we're going to keep working on the startup. We're moving back to Minnesota, but we're going to keep working on the startup. We're taking on some consulting projects, but we're going to keep working on the startup. You may as well just translate these to "we're giving up on the startup, but we're not willing to admit that to ourselves," because that's what it means most of the time."
I've run into similar situations before. This is a serious problem and one you should deal with immediately, because it will only get worse. Have an honest, tough talk with your team. It sounds like you won't convince them to put it all on the line like you have, but at least you'll know and you can make an arrangement so that you're moving forward with the company and not having this looming over your head. If worse comes to worst, tell them you are going to move on because its sounds like you are pretty talented and there are many opportunities for someone like you.
Good luck.
I have talked with the team, and we seem to all understand that this is not going the way we want. I have made it clear that I will be looking for others to join in a "co-founder" capacity if I get the opportunity to go to YC this winter. They are reasonable people and good friends, so I don't think it will be a big problem to do a little equity restructuring if its in the best interest of the startup.
My real question is not "am I screwed?" because I already know that. I'm asking "how can I fix this now?" or, in other words "please help me find a new co-founder and a chance to get into YC (or another good startuppy environment)."
I can't really help find a new cofounder (other than reiterate what others have said: ask around here, check cofoundr.com, etc.), but I can tell you what we did. We (my surviving cofounder and I) bought out the other 3 founders for $1000 apiece. In retrospect this was probably too high, given how quickly they accepted. But it was done mostly to preserve good relations and make sure nobody felt they were being cheated, and I think it succeeded in that. When our incorporation papers come through there will be a few agreements for them to sign to make sure we own the stuff they did before we bought them out.
Teams are made up of people, not ideas alone. They may have families and other responsibilities which might be more important to them. So if you think that they do not share your vision, then try and talk to each one of them individually and understand what's holding them back. And if its really not going to work out, then be polite and express them clearly that you care about the future of this startup a great deal, and you will have to find a team member who shares your vision. But be humble, and stay humble. Nobody likes a cranky selfish boss. Good luck!
Hmmm communicating. Sounds like your making a statement there. Why?
"... Each person should just do what they need to without anyone telling them ... If that sounds like a recipe for chaos, think about a soccer team ... David Beckham if there were any language problems at Real Madrid, since the players were from about eight different countries. He said it was never an issue, because everyone was so good they never had to talk. They all just did the right thing. ..."
It's "bleedin obvious" that at some stage you might have to move. So the requirement for communication bit could be an indication of co-founders (3) "Not determined enough" or (9) "Family to support" or (11) "Not ready for commitment".
All reasons to 'not (not) start a startup' with them ~ http://www.paulgraham.com/notnot.html
Imo, a startup is a relationship, where you need communication - with your team, as with your customers.
I like that.
Sure it's a relationship. But the type of relationship bw co-founders, team and customers is very different. If your co-founders, fellow hackers, the ones that should understand the implications of startups the most, balk at such a simple hurdle to start a startup. Communication is not the problem, commitment (or insert N other reasons is).
A very different relationship (more communicative) exists bw staff who are not the core of the team at the start. It goes unsaid that the on-going relationship with the customers is paramount.
But to misunderstand the idea that founders & co-founders should explicitly have to communicate such fundamental concepts as "we might have to move sometime to achieve 'Foo'" or "we might have to actually do 'bar' to get to the next hurdle is fundamentally different from communicating to hires or customers.
BTW can you point http://www.feedity.com to news.ycombinator?
I didn't get what you mean by that.
can I run feedity over news.yc? or turn the news.yc site to rss. I gave it a go but couldn't get a result. It would be useful to try because it's a pain scraping lots of different nyc pages.
... try again. Ahh now I got it. The first time I didn't select a category. Is it possible to get an rss result back without selecting a category? (like select your own?) as the categories restrict (reduce the returns). I want everything back.
... now I understand. I've tried to do something that's only found in the "Advanced Refine" menu. Would it be a good idea to add an "Advanced" link at the front page?
... aggh the Advanced Refine cr@ps out on my blocks. I'm trying this bit because I've been hacking with BeautifulSoup pretty much doing exactly what the refine is doing. Its an absolute pain. One idea to make selection of the blocks easier is to parse the html doc, then render the structure as an outline visually (like HTML Validator or below) .... table tag
When I was trying to parse pages the ability to see the page + markup overlayed with the structure HTML Validator ( https://addons.mozilla.org/firefox/addon/249 ) made it 10 times easier for me to select exactly "what" I wanted to parse.Now, if you have already shared the equity, then you are in a big bind.
number2 -- that's fine that you have those priorities (family, steady job), but it seems like you're in denial about the situation. absentee (or remote + part-time, whatever) cofounders are not what early stage startups need. and even if you disagree, your potential investors (e.g. yc) won't. if being remote and working 2hrs a day was a viable strategy for a startup founder, don't you think there would be more success stories that fit that profile? :P
that said, you can still come on board later after #1 gets things going.
YC is not the only path to success, nor should you think that you absolutely need these two other people (especially if they won't go with you).
If you really feel that way, you should just take the plunge and head out there, even if YC rejects you.
I know this is a YC forum and all, but the cargo culting here is creepy, which is too bad because if you weed through it there are obviously some smart people posting.
Here's a tip: if you can solo jump start a fundable product, your consulting bill rate will "fund" you, YC style, in less than a month. Then, you can ignore what YC says, keep the talented developer (finding talent in this market is like finding weaponizable plutonium on the shelves at a Des Moines Wal-Mart), chuck the dead wood, and take yourself to market on your own terms.
I saw more VCs at the last YC demo day than I have in my entire life. And, from talking to the YC founders, I'm not alone. I'm not claiming that high VC interest predicts success. However the number of VCs interested in your startup is a good proxy for the overall interest in your startup, since VCs want to invest in what's popular.
The real victory is winning the prize, and the attention of VC you get.
It's always a judgement call whether one's cofounders' inability to move is a sign of general lameness, or whether they're so good that they're worth having anyway. But it's that deeper question you need to answer. If your cofounders are lame, you should ditch them regardless; and if they're not, don't worry about YC, because good cofounders are worth more to a startup than we are.
What is frustrating that maybe you didn't understand before is that we're not working together now as it is (in two different cities ... at least a 2hr plane away). For my own saneness, team energy, and for the sake of teamwork, I thought that moving to YC would be a great opportunity for us to actually work in the same room together, and have support all around. I know that if that happens, we will do great things.
btw ... I'm gonna apply anyway. So, you'll hear from me again soon.
I wouldn't describe them as "lame", but they can still be especially risky. They will likely be apt to entertain working on the startup which will be enticing, but you really don't want to get strung along. The sooner you can assess the likelihood they are capable of committing the better.
My guess is that the best tactic in this case is to figure out way to convince them the startup is happening with or without them. Just like investors the best motivator is probably fear of missing out.
I feel like I have to defend myself a bit about all of the negative comments. We are clearly in the product development stage and I'm not a developer, so my efforts are focused on enabling #1 to spend 100% of his time on product development. I have 2 years VC experience and 3 years LBO experience (where I am now), so I do all the legal agreements (options, LLC filings, prop rights agreements, Trademark filings, contribution/consulting agreements, etc.) and I'm the one that negotiates and drafts terms for all of our other developers (they tend to come and go due to the lack of cash to pay). I file taxes, pay the bills, and track financials to report to investors on a quarterly basis. I prepare executive summaries to send to prospective investors and submit to conferences. I am the one that plays "bad cop" with the developers when things aren't going well or they are underferforming so #1 can maintain a good working relationship. I help with design, layout, and other ideas related to the site, mainly with UI, new features, and catching bugs/fixes. I interact often with our Alpha users to stay in touch with what they need and what they want. Soon I will start helping with writing tests since I asked #1 what I could do to help more directly with Beta short of learning Ruby. Some of the toughest decisions that we face having so much to do with so few resources to do it with is WHAT to work on, and I try to have open conversations with the team to make sure we're prioritizing everything right and agree as a group, because startups tend to start to ramble along unless we discuss what we absolutely need to get out the door every week. So, I wouldn't say that I don't do anything, but rather I don't do anything to ease the bottleneck, which is currently product development. #1 and I came up with the idea on a phone call a while back and it has become what it is today, so I truly am an original co-founder. It's also important to note that #1 and I started another internet company in college which worked out well considering it was a one semester project. We are also best friends.
I just got married 2 weeks ago and have a job that I can't just bounce back into ever again. My entire family is in the Midwest and there are few good PE shops there. Getting a job in PE is really hard. I believe one in 50 Harvard MBAs can get one, and I was fortunate enought to get one at a good firm in the midwest near my family. So quitting my job is not something I take lightly, but I am open to it. #1 was previously an independent consultant that can easily get a job as good or better within months. He is a tremendously talented developer and I'm proud to call him my co-founder. When you say "risk", I'm not sure you can compare one man's risk of quitting with anothers. Different industry, different pay, different location, different circumstances. #1 and I had the discussion of what it would take for me to quit on day 1. I said a significant capital raise (I tossed out $500k-$1mm+) or a really strong user ramp. I spend nearly all my free time (I work a LOT, so there's not much) on this startup. For me to dedictate my only 2 free hours a day to this is a lot, especially considering my recent marriage, but I do it anyway. I would not call this a lack of dedication at all. I've taken 1 C++ class in my life, so convincing me to quit my job to learn to code is a bit far-fetched. We know what we need, we just need the developers to create it, but using me as a developer does not seem like the right decision.
I really don't think the issue here is that I suck, I think it's that I'm not a developer. Things took longer than expected to get off the ground as far as product developement and #1 is getting antsy, and understandably so. We've gone through several equity-only developers that, in the end, may have taken up more of #1's tim...
It's obvious where your priorities are (family/wife, career/money) and at this early stage where product development is driven by coders that need to go full steam ahead, you're not in a position to help.
When your product gains more traction and more attention, you should step back in and help. Your experience in terms of financing and business development will be of better use then.
The timing, unfortunately, just isn't right. Number 1 should move to the West Coast, live for a few months, mingle with people, latch on with a couple of more developers and then give you a call a couple months down the road.
I don't think what I mentioned above or what you mention in your post means that I have to "step back" or "step down". I do everything but code, enabling those that code to be as efficient as possible. You said yourself that the product is currently "driven by coders that need to go full steam ahead" and I'm not in a position to help. If #1 had to figure out all the legal documentation, pay taxes, manage cash, put together marketing materials, respond to users, find and log bugs, put together investor reports, file trademarks, etc. would our development would be going "full steam ahead"? Also, do you think the quality of that stuff would be the same coming from a developer? I'm also guessing it would cost a considerable amount of money. I'm not sure how I'm not in a position to help and what good "stepping back" would do. If #1 wants to move, network, and take greater risks, I'm open to talking about re-working equity, but saying that I'm just going to drop off the earth for 2 months until I get a call is just rediculous.
Now with the 1% of information I have, I would say: #1, I think you have to head to the Valley and find another hacker. #2, maybe you could pay for two months rent for #1 and travel costs? Hopefully by then you could have another hacker and get this thing out. It seems that YC would help but it sounds like you need to do this with or w/o YC.
Have you launched the beta yet? IMHO, 10 months is way too long to still be developing the initial version. Once you get the thing out there, if it's good, it will be easier to find people.
dude, I know. Actually, we have had a private alpha up for 6 months. Changed lots of things, added lots of things, and getting ready for our public launch. Actually, we're calling it "beta" but I'm probably not going to use the "beta" label publicly.
And while I'm dishing out arbitrary advice, it sounds like #1 is not trying to hire people as good or better than he is. Specific Ruby experience probably isn't as important as the brains and attitude of the hacker. You're going to have to bring anyone up to speed, just make sure they are worth the effort.
I'm 35, I've built and sold two web businesses, and I think the YC program is a freakin' steal for the 2-10% that they want.
If anyone wants to chat about partnering up on a YC app, drop me a line. My background is design, UX, light coding (rails, etc), SEO, SMM, etc. I'd happily chat about any ideas (I've got a few of my own), as long as the proposed revenue model isn't "targetted advertising". :-) I bet we could have a prototype ready for review-time.
So I say, go straight to the root of the problem. See if you can make a plan that allows them to destroy neither their personal lives nor the company.