A lot of the advice we give startups is tactical; meant to be helpful on a day to day or week to week basis. But some advice is more fundamental. We’ve collected here what we at YC consider the most important, most transformative advice for startups. Whether common sense or counter-intuitive, the guidance below will help most startups find their path to success.
The first thing we always tell founders is to launch their product right away; for the simple reason that this is the only way to fully understand customers’ problems and whether the product meets their needs. Surprisingly, launching a mediocre product as soon as possible, and then talking to customers and iterating, is much better than waiting to build the “perfect” product. This is true as long as the product contains a “quantum of utility” for customers whose value overwhelms problems any warts might present.
Once launched, we suggest founders do things that don’t scale (Do Things That Don’t Scale by Paul Graham1). Many startup advisors persuade startups to scale way too early. This will require the building of technology and processes to support that scaling, which, if premature, will be a waste of time and effort. This strategy often leads to failure and even startup death. Rather, we tell startups to get their first customer by any means necessary, even by manual work that couldn’t be managed for more than ten, much less 100 or 1000 customers. At this stage, founders are still trying to figure out what needs to be built and the best way to do that is talk directly to customers. For example, the Airbnb founders originally offered to “professionally” photograph the homes and apartments of their earliest customers in order to make their listings more attractive to renters. Then, they went and took the photographs themselves. The listings on their site improved, conversions improved, and they had amazing conversations with their customers. This was entirely unscalable, yet proved essential in learning how to build a vibrant marketplace.