Introduction 7
The spark to start a new company
if an idea for a technology/product/service company exists
and frustration is greater than reward in current job pain
and greed is greater than fear of start-up's failure pain
and financial and emotional support for start-up exist then begin
I. Concept stage:
exit (job); find (team);
get (spreadsheet tools) ; write (plan) ; find (investors);
if plan has low risk then
go to product development stage;
II. Seed stage:
exchange (stock in company for cash from friends and venture
capitalists);
recruit (superstar start-up team);
while company is on plan and money is in bank do
begin verify (technology, product, market, business);
refine (plan);
if seed stage is done and plan is still good then
go to product development stage;
end;
the following occurs if out of money or the plan is missed
if company is still viable and investors are willing then
continue seed stage else
sell (company) or close (company);
III. Product development stage:
exchange (stock in company for cash from investors);
recruit (superstar development team);
get (space, development tools, software licenses) ;
while company is on plan and money is in bank do
begin sell (product idea) ; specify (product);
develop (product) ; a market-driven product
build (first product prototypes) ; via manufacturing
test (product, internally) ; alpha testing
manufacture (first products) ; manufacturing begins
test (product, externally) ; beta testing
announce (product);
go to market development stage;
end;
if company is still viable and investors are willing then ____
continue product development stage else
sell (company) or close (company);
(continued)