On Patrick Collison’s (the co-founder and CEO of Stripe) personal site, he has a page for “Advice.” It provides some life advice for readers aged 10-20, but under the 20-30 section, he puts, “If you're 20–30: I don't know yet. I plan to think about this when I'm 35-40.” I call this the Collison Principle of Advice:
Don't give advice until enough time has passed to gain proper perspective and understanding
So on the topic of “Reasons to Start a Startup,” I defer to the experts. I have my reasons, but I’ll have to wait a few years (at least) to dispense that advice. So here are Marc Andreessen, Paul Graham, and Elad Gil’s thoughts on the topic — startup veterans who have both started companies and met and evaluated thousands of startup founders.
Good reasons to do a startup (Marc Andreessen, Why not to do a startup)
- The opportunity to be in control of your own destiny
- The opportunity to create something new
- The chance to have an impact on the world
- The ability to create your ideal culture and work with a dream team of people you get to assemble yourself.
- Money
Reasons to not do a startup (Marc Andreessen, Why not to do a startup)
- Emotional rollercoaster
- Nothing happens unless you make it happen
- “Hiring is a huge pain in the ass.”
- Time commitment
- It’s really easy for a startup to go sideways
Forms of desperation that motivate founders to start companies (Elad Gil, Startups are an act of desperation):
- Career desperation — Allow people early or stuck in their careers to jump a few steps ahead
- Financial desperation — Condense decades of salary into a shorter period
- Product or mission desperation — Founders who want something to exist in the world
- Desperation to do something big or important and to avoid wasted time — “make a dent in the universe.”
- Revenge vs. the Arena — Founders who have something to prove
Bad reasons to avoid doing a startup (Paul Graham, Why To Not Not Start a Startup)
- Too young
- Too inexperienced
- Not smart enough
- Know nothing about business
- No idea
- No room for more startups
- Don’t realize what you’re avoiding
- Parents want you to be a doctor
- A job is the default
Good reasons not to avoid doing a startup (Paul Graham, Why To Not Not Start a Startup)
- Not determined enough
- No cofounder
- Family to support
- Independently wealthy
- Not ready for commitment (3-4 years minimum)
- Need for structure
- Fear of uncertainty