Learn how to open a business with practical tips for your first startup. Aaron White, cofounder and former CTO of Boundless, offers some expert advice that he's gathered from his own startup journey. Learn more from the experts by visiting http://intelligent.ly/learn

1. Practical Tips for
Your First Startup
AARON WHITE
@aaronwhite

2. Practical Tips
for your first startup
@aaronwhite

3. It starts with an Idea

4. You need passion

5. and a CLEAR
articulation

6. EvaluatingYour Idea
you do vet them don’t you??

7. Demand
PositioningDistribution
Construction
First Experience
Value Capture

8. Demand
Risks
PositioningDistribution
Construction
First Experience
Value Capture

9. Common Mistakes
I’ve made all of these once, twice, three, four times...

10. People want it
Mistake #1

11. Lots of people want it
Mistake #2

12. It’s easy to explain
Mistake #3

13. I built it, they will come
Mistake #4

14. It’s obvious how to use it
Mistake #5

15. They’ll remember to use it
Mistake #6

16. Oh god, I’m doomed.
well, not quite..

17. As with most things,
start w/ a framework!
Just so happens I’ve got a few for you!

18. #1 Business Hypothesis
Specify your dream

19. What are the most important costs inherent in our business model?
Which Key Resources are most expensive?
Which Key Activities are most expensive?
Through which Channels do our Customer Segments
want to be reached?
How are we reaching them now?
How are our Channels integrated?
Which ones work best?
Which ones are most cost-efficient?
How are we integrating them with customer routines?
For what value are our customers really willing to pay?
For what do they currently pay?
How are they currently paying?
How would they prefer to pay?
How much does each Revenue Stream contribute to overall revenues?
For whom are we creating value?
Who are our most important customers?
What type of relationship does each of our Customer
Segments expect us to establish and maintain with them?
Which ones have we established?
How are they integrated with the rest of our business model?
How costly are they?
What value do we deliver to the customer?
Which one of our customer’s problems are we helping to solve?
What bundles of products and services are we offering to each Customer Segment?
Which customer needs are we satisfying?
What Key Activities do our Value Propositions require?
Our Distribution Channels?
Customer Relationships?
Revenue streams?
Who are our Key Partners?
Who are our key suppliers?
Which Key Resources are we acquiring from partners?
Which Key Activities do partners perform?
What Key Resources do our Value Propositions require?
Our Distribution Channels? Customer Relationships?
Revenue Streams?
Day Month Year
No.
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20. #2 Enumerate Risks
What should you be worried about... in order!

21. © 2012 Lean Startup Machine. You are free to use it and earn money with it as an entrepreneur, consultant, or executive, as long as you are not a software company (the latter need to license it from us).www.ValidationBoard.com
Validation Board
Track Pivots
1st Pivot 2nd Pivot 3rd Pivot 4th PivotStart
Riskiest
Assumption
Method
Core Assumptions
Any assumption that, if invalidated, will break the business
Which Core Assumption has the
highest level of uncertainty?
Solas Bar
232 E. 9th Street
What is the lowest cost way to
test the Riskiest Assumption?
Choose: Exploration,
Pitch, or Concierge
Only put the Riskiest
Assumption from an
experiment in these boxes
Record data &
learnings separately
If Invalidated, pivot at least
one Core Hypothesis
If Validated, brainstorm and
test the next Riskiet Assumption
What is the weakest outcome
we will accept as validation?
Minimum
Success
Criterion
1
3
5
2
4
6
1
3
5
2
4
6
Project Name: Team Leader Name:
Customer
Hypothesis
Problem
Hypothesis
Solution
Hypothesis
Design Experiment
Track Pivots
Tip: For two-sided markets,
always validate the riskier side first
Tip: Clear all post-its from this area after each experiment is completed
Invalidated Validated
GET
OUT
OF THE
BLDG
Results
Tip: Do NOT define a solution
until you’ve validated the problem
Remember:
Limit one sticky-note per box
Write in ALL CAPS
Do not write more than 5 words on any sticky-note

22. Where will
people find
me?
Typically, worry and
build outside-in
What ad will
pique their
interest?
What value
do I need to
sell them on?
Can they get
that value fast
as possible?
Do I maintain
a good
relationship?
Have I earned
their dollar?

23. Founding a Company

24. Long-haul Mindset
(this could take a while)

25. PEOPLE MATTER

26. You need a lawyer
and want a good one

27. Co-Founders
It’s like a performance-driven marriage

28. Employees
They’re going to the front-line with you

29. Investors
Capital access, keep you honest, make connections

30. Hiring

31. What’s your
Superpower?

32. Have a process

33. Trust your gut

34. Make a mistake?
Fix it fast

35. Financing

36. Bootstrap?

37. VC?

38. If you goVC...

39. Invest in relationships
way too early

40. You need a good story
(remember that clear articulation thing?)

41. Outline of a (good) pitch
Cover
Hook
Team
Problem
Opportunity
Solution
Proof
Unfair advantage
Market size
Roadmap withVCMs
THE ASK tie toVCMs
Appendix
PDF copy should speak for itself but not too much

42. Fundraise quickly

43. Create scarcity

44. Building it

45. Value Creation
Milestones

46. Lean methodology

47. Measure everything

48. Brutal honesty

49. Celebrate the victories
(even the small)

50. Keep Learning

51. Join a startup!
Wait, you get paid to learn??

52. Follow the conversation.

53. Course Title
Course Title
INSTRUCTOR NAME