Wondering if your business will be successful? Despite the changing landscape and new influx of people launching side hustles and creating their own YouEconomy business in pursuit of financial freedom, many still hear the sobering phrase, “90% of startups fail.” Cambridge Associates researched over 27,000 venture-backed startups and found the adage to be inaccurate; the average is only 60%. So what is your chance of succeeding, really?
I sat down with Eva Chan and Jane Lee, creators of the startup launch lab, Launch Pop, to dive into this topic. Launch Pop is a launch lab that helps high potential entrepreneurs with funding to launch their startup within three months. Whether it’s launching a blockchain technology, a health tech product or even a new lifestyle brand, the launch lab is designed to test, pivot, scale and move fast.
After helping over 25 entrepreneurs launch their companies in 2017 alone (accumulating over $700,000 in revenue in the first 30 days), these bosses know the ins and outs of what it takes to be a successful founder. According to Chen and Lee, “we often feel like co-founders with the founders we launch. We observe their ups, downs, and vulnerabilities. After working with 25 different founders, we noticed patterns amongst them and distilled them into 5 founder archetypes.” Turns out, where you fall in the spectrum could dramatically influence your chances of business success and your experience as an entrepreneur.
Want to evaluate whether your company will survive or fail (and take a cold hard look at yourself)? These are the most common founder personality archetypes:
Chan and Lee:
The Detail Master: This type of founder is super focused on details and will most likely fall into the trap of launching too slowly and being picky about almost everything. The Detail Master must be very conscious of how they prioritize and remember that done is better than perfect. They often focus on the wrong things. This affects the team’s productivity and focus on growth-generating activities. They specialize in creating a sophisticated brand, staying product focused, and offering great customer experiences. They also realize that beautiful things require a financial investment.
The Hulk: This type of founder is very intense and fierce. They will do anything and everything to achieve their goal. When things are going their way, they seem to be calm and happy. But watch out! When things are not, the Hulk appears. They struggle with people management skills and have difficulty maintaining good relationships with partners and agencies. On the other hand, investors are drawn to their vision and work ethic. The Hulk founder needs to be self-aware of how they create the culture within the company. Hiring will be a piece of cake for the hulk but retaining talent may be difficult.
The Wantrepreneur: This founder wants the status but doesn’t really understand what it means to be an entrepreneur. Most realize how hard it is and give up. Being an entrepreneur is more than a title. It requires problem solving, perseverance, and pivoting. That means that when things aren’t going your way, you still try to problem solve and stick it through. Money and revenue are important but being able to problem solve and pivot when things aren’t working or converting is key. These types of entrepreneurs will usually give up after going through one “failure”. They need to learn that this is part of the journey.
The Romantic: This founder type is mission-driven, empathetic, and passionate. They use their intuition and emotions to guide them through their journey. Sometimes emotions get to the better of them, either by loneliness or taking things personally. To excel, they need to create a system that will help them keep their emotions in check during the fluctuations of they entrepreneur journey, especially in front of their team.
The Pivot Master: This founder type sees opportunity, moves quickly, problem solves, and pivots. This can be great but also can be detrimental to success if not enough time is allowed to test and see results. They create an environment of endless possibilities and may seem to lack focus. Be wary of becoming too inconsistent, which could potentially give the founder a poor reputation. Patience is key to make sure something is working before making another shift.