DISQUS

micah · 2 years ago

Its the easiest thing to squander; and as you know, it can be the hardest thing to attract.

micah · 2 years ago

Thanks Kath - ServiceMagic is awesome. You just have to be ready for the calls! And, please keep sending your friends to my blog ;)

micah · 2 years ago

A point of clarification: Current Wisdom wasnt deteriorating, our margins were, top line we were continuing to grow, albeit slower. It was simply that I felt I could take it no further--that the excess spending had crippled our ability to grow at an appropriate rate and potentially could be life threatening given the current market climate. While, my ability to get out while still making a few bucks is certainly a testament to my ability as a businessman; the need to explore liquidity events was clearly a failure of mine as the CEO of Current Wisdom. If I had been more fiscally responsible, I probably would still be running Current Wisdom, and if not, certainly not because of cash flow issues. Failure doesnt have to come from going down in flames -- Failure can be from falling short of goals or from drowning from your own real (self-funded) or perceived (venture-backed) success. The post wasnt a woe is me, post, rather it was a learn from me post. Sorry you got something else out of it.

Bill Kocik · 2 years ago

This is very sound advice. I will be absolutely sure my startup is well managed for cost.

Merredith · 2 years ago

Nice points -- applicable past the CEO job to all levels.

Kath · 2 years ago

I truly admire you for being so honest and upfront about your experience. You need to blog on a regular basis. Just my 2 cents, of course. Btw, ServiceMagic rocks...have used them several times since moving to Denver and not knowing who to call when home repairs are needed.

APL · 2 years ago

I don't know that you really failed, Micah. One big mistake you did NOT make was to hold onto your dream even as it disintegrated. You admitted it was time to bail and you made the best deal you could. I know hundreds of people who have gone down in flames -- and bankruptcy -- because they failed to accept that reality. Is it really so bad to build a decent company and make some decent coin selling it? Give me a break! Only 1 in 10,000 business owners get to the place you did. The other 9,999 just limp along endlessly until there families force them back to taking a salaried job. Kwitcherbitchin!

Todd Vernon · 2 years ago

Another great post Micah. Like everything in the realm of starting and growing companies, there is a fine balance of being frugal and buying the office a Wii (i just did that last week :-) Generally speaking (which is dangerous) I 'notice' startups that fail on the two ends of the spectrum the most... Starved startups (either culturally or through operations) and PHAT startups that spend way ahead of any success.. I don't think it a predictor, but rather a flare after the fact that everyone notices.

Brett Borders · 2 years ago

I have to admit I'm addicted to nice computer... and I am willing to spend on it. It's difference between digital slummin' it and digital paradise. Seeing that I spend a majority of my waking life in front of a computer... my environment got to be shiny and comfy. Bright, glossy high-res screen. Audiophile headphones. Top-of-the-line Logitech mouse (that doesn't ache my index finger to scroll). Ergonomic chair. Wrist pads and gel mouse pads. Enuff RAM. Fast processors. Beryl or Spaces, Quicksliver and OmniFocus. Hell = XP, single 1024x768, F key doesn't hit every time, jumpy mouse, Norton Anti Virus has expired would you like to update? Other stuff I'm more frugal about. Like my Ford Escort Wagon with 110k miles, blown speakers and no door handles.

IPA-IBA · 2 years ago

A nice cathartic blog post - makes you stop and think! Nice that you can share your experiences as a CEO so openly. Every dollar that didnt create 3, was a wasted dollar. this really struck a chord with me!

Anonymous · 2 years ago

I live on $10,000 a year as a writer. Talk about slummin it! Am I one of those people who held on to the dream long after it disintegrated? Everything I read in business says that you're supposed to perservere, persist no matter what. I went bankrupt 3 years ago. I kept going with this anyway.

Janni · 1 year ago

Fallen chief executives like Bernard J. Ebbers and L. Dennis Kozlowski made headlines recently with their hefty severance packages. Mr. Ebbers, who resigned under pressure from WorldCom last spring, will receive $1.5 million a year for life; Mr. Kozlowski, formerly of Tyco International, had negotiated a package worth more than $100 million.