Startups Need to Give you More than Money

by Jon on December 6, 2009

The other day I read a blog post by Derek Sivers, the founder of CD Baby, the largest online distributor of independent music.  Derek sold CD Baby several years back.  What you might not know is that prior to the sale, Derek placed his stake in CD Baby—valued at $22 million at the time he sold the company—into a charitable foundation for the purpose of music education.  Derek has found fulfillment in life, and he tells his story on his blog.  You need to read this.

Coincidentally, I ran into a TED talk given by Tony Robbins the other day; again, on the subject of fulfillment.  You can watch it below.  I’m not usually a fan of the “motivational speaker” crowd in general, but I have to admit that I found Tony’s talk to be engaging and thought-provoking.  I like his theme about real fulfilment, “give to live,” “we not me,” and exploring the web inside your mind that helps you answer why you really do what you do.

How about you? Why do you do what you do? If you’re in an entrepreneur or working in a startup, what’s the real reason for it? No, not the money…the real reason. Money is a form of creative energy, and as such is just a means to an end. Where will you find fulfillment? These are important things to ask yourself if you’re going to endure the long, hard and uncertain life of creating new companies. The fact is, startups aren’t for everyone and they’re hard to stay focused on for the years it will take you—you need to have something important to you—something fulfilling—if you’re going to stay the course.

Please post your thoughts here, or share them with me on twitter.

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{ 2 comments… read them below or add one }

DamianNo Gravatar December 8, 2009 at 7:25 am

The thing is, for start-ups, when you are looking for money or looking for support – the only thing most people are interested in is the return – most still don’t care about the idea or the real reason for doing something.

When that changes and hopefully it will, then things might change/get better/easier.

JonNo Gravatar December 8, 2009 at 10:49 am

Naturally, an investor only cares about their IRR. And a customer is only going to care what the product/service does for them. Those things aren’t going to change.

You and your employees are going to need more than that, though. And money won’t be enough; you have to have a powerful vision of how the startup is going to enable you to do things with your life that you wouldn’t otherwise be able to. For many people, that’s finding ways to give back. The employees of the business may also find it to be a powerful motivator and attractor (and if done well, investors may even perceive the cultural attributes of your startup as contributing to IRR).

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