5 Lessons for Entrepreneurs

Scott Rafer’s 5 lessons for Entrepreneurs:

  1. Make the first startup simple and small. Make a million or two and get some leverage.

  2. Sexy sucks. boring is always better. If anyone thinks that they can get laid competing with you, it will screw up your economics.

  3. VC deals are mortgages not partnerships. Stick with angels as long as humanly possible.

  4. Demand chain integration is cheap. Supply chain integration is expensive. You’re the founder. You want cheap. See # 3.

  5. Employees 11-20 don’t normally raise enterprise output. Small teams create the most value per person.