Even in horrible weather, business goes on.
That was one of the key takeaways from a panel of female entrepreneurs last night during a session that happened to coincide with the worst Sydney storms in years.
The four panelists managed to get there, as did eighty or so of the 250 people who’d signed up to attend. The no-shows could be forgiven: the Premier and NSW Police did urge Sydney-siders to get home if they could.
Many in the audience had either started businesses or were planning to do so in the future, and were keen to learn some tips from successful female-founders.
By navigating the terrible weather to get to the GA event, they were offered a good lesson on what female entrepreneurs often have to deal with when building and running a business. It’s not all sunshine and great photos on Instagram. There are plenty of wet and soggy days when you’d much rather stay in bed.
The panel, which I had the pleasure of moderating on behalf of Women’s Agenda, included Job Capital and Rare Birds founder Jo Burston, Openagent.com.au co-founder Zoe Pointon, 4Cabling and The Content Folk founder Nicole Kersh, and SHOWPO founder Jane Lu.
They covered everything from knowing when you have a great idea to pitching, funding, exiting and marketing.
Below are some of the key tips shared.
People buy ideas. It’s one thing to have a good idea, another to be able to sell it. As Jo Burston said, consumers and investors don’t buy the business model but rather the way you can articulate what you want to do. “When you buy an Apple product, you don’t buy Steve Jobs, you buy the idea he created and what the brand stands for. I think there’s a misconception that a good idea is it. It’s not, it’s just the beginning.”
Start testing – through conversations. Get talking, added Burston, as validation of a great idea can require hundreds of conversations. And as Zoe Pointon noted, such conversations may see plenty of ideas thrown out before you get to something that sticks.
And keep testing, through leaner versions of what you have planned. Pointon added that she started Openagent.com.au with “the world’s ugliest website” – something she was able to whip up herself in half a day. “The test was that if people were willing to give us their details on that website, then we were on to something good. We started to serve these people.” Jane Lu added that testing is especially important for those who don’t have a whole lot of funding. “It’s important not to get too fixated on the idea you have right at the start because you need to test it and it will definitely change.”
But don’t forget instinct. Nicole Kersh conceded she’s not good at testing an idea, but believes relying on her instinct works. “When I have ideas or am thinking about where I want to go it just feels right, and you then end up learning a lot along the way. As entrepreneurs that’s what we do. We take risks. We throw caution to the wind.”
Be ready to pitch, today. You never know who you could end up sitting next to on a bus, or meet at a networking event, so always be ready to pitch your idea. “You should be ready to pitch today,” said Burston. “You don’t know when the person who is standing in front of you is a potential investor.”
…So always know your numbers. Given that pitch could occur any time, it’s essential to also know your financial story – the money you have, money you need, money coming in, and exactly how you’d spend an investor’s money. “I had a mentor who said two things to me every morning: what are your sales; and how much cash do you have in the bank?” said Burston. “Once you know your financial story, the rest is just your passion, your persona and your authenticity.”
But be selective with investment. Kersh warned those seeking investment to consider what strings could be attached. “It’s important to know what your non-negotiables are for investment,” she said. “Remember, not all money is equal money.”
You don’t have to quit your day job. The corporate world is not always the enemy, added Burston. While it’s tempting to quit to go and start up a new business, there may be options to communicate with your employer just what you want to do and potentially run it on the side, or even work with your employer’s existing resources. “You need to talk to the people who are going to empower you to do what you want to do,” she said. Indeed, added Pointon, you should be able to test the high level assumptions of your business idea without quitting your job. “I built our first website in half a day. I didn’t know much about Google Adwords, but I could learn enough to get fifty people signed up … Six months later we built our first proper website and we were well on the path of generating revenue.”
Done is better than perfect. “The thing with perfection is that it’s a really high benchmark to set,” said Kersh when asked how to get around working with potential customers when you’re not 100% ready. “People appreciate honesty. In a start up environment your idea will twist and turn. Your idea that grows in the future will be nothing like it is today … If you’re constantly waiting for it to be perfect, you won’t be able to adapt to where it needs to go.”
You don’t always have to read, just get the right app. When asked what books those on the panel have found particularly helpful, titles like like Delivering Happiness and The Lean Start-Up were mentioned. But Jane Lu offered something much simpler for time-poor women: “I have a hack. An app called Blinkist. It gives you a summary of books … I’ve read heaps of great books now!” she said.
Create success and be part of the change. As Nicole Kersh said, the environment is still tough for female entrepreneurs, but every bit of support available for women in business sees the situation improve. “The more women that start businesses and become successful, the less men we have to rely on for funding. So please. Go out there. Start something. Become successful and be a part of the change.”