I’ve spent most of my career working for other people. Before I started WallFly, I had the everyday ritual of most Joe Workers: smack the alarm clock, drive to an office with other dutiful Joe Workers and then go home for a few hours before starting the process all over again.
I still smack the alarm clock but, depending on the previous night, it could be a 7 a.m. start time or maybe 10. How awesome is that? The freedom is the best perk. The solitariness, however, can make you feel really small. I wanted to find out who else was swimming about in the solo entrepreneur underbelly so I wrote Mavericks, an article for CT Slant. In my research, I talked with some really cool folks that ended up on the cutting room floor (1,000 words gets eaten up fast) so here are the Mavericks that didn’t make it into the piece:
The Bright Idea: Smart websites for budget-smart professionals
How It Works: Brightegg has built an online platform for businesses who want to self-create, manage and market a website that is not cookie cutter and doesn’t break their bank. Their approach is unique. Designers from all over the world create themes for Brightegg and post them for purchase. Users can buy exclusive rights to a design (you’ll pay more) or choose a design that’s open to anyone (on the cheap). You can also hire Brightegg for a custom website. I know their work – you will not be disappointed. If you’ve ever tried to use free blogging software or set up a website yourself, you know the limitations with templates. Blech.
Start-up Life: Brightegg received funding for their gig and two of its partners are still juggling day jobs. Newly launched and in Beta, Brightegg has survived the funding and initial build phase and, according to co-partner Jim Kieffer, the next hurdle is traffic.
“The biggest challenge is getting the word out,” said Jim. “We offer companies something they can’t easily get anywhere else: a high-end, feature rich website, plus hosting and email, at an inexpensive price. We’ve got a great position in the marketplace but if the marketplace doesn’t know we exist, what’s the point?”
As a first venture, along with co-partners Leo Pellerin and Ryan Rose, Kieffer said one thing they’ve learned is that the money “goes much quicker than you think.” More than figuring out how to get funding, Brightegg has had to learn the nuances of working with investors.
“You need to think big. We thought big and still could have asked for more in our first round of funding. Ask yourself if you truly believe in your idea, product and business plan. Investors want a confident management team more than a good idea or product,” said Kieffer.
Kieffer advises other start-ups that a good idea is only the beginning.
“Think simple and targeted. People need to instantly connect with your brand without having to think about it. Also, take advantage of the new world of social networking and outsourcing. If done right, it can be tremendously helpful and rewarding.”
Designs on Dorm Dwellars: Gaming meets happy hour
How It Works: GoCrossCampus, or “GXC,” creates online games that mimic real locations. Gamers play on custom maps of their campus or surrounding area while interacting socially with other gamers. The first game was done by the Yale College council and had over 50% of the undergrads participating. Each game is custom-created to last 4-6 weeks.
Start-up Life: Unlike Brightegg, GXC is taking on the give-it-away-now-sell-later model. The games are free and, according to co-founder and Yale student Brad Hargreaves, the social networking-casual gaming platform is hoping to build a community that will attract a big player buy.
“You have Facebook versus games that were surrounded by a stigma – think of the fat kid in his basement. We want to break down that stigma. We think GXC is a great way for people to interact.”
Hargreaves, with his Yale crew, found resistance with their YouTube-like philosophy of building a following and then monetizing later on. The group had to go out of the state for funding. Connecticut investors wanted to see a strong revenue model that wasn’t part of GXC’s philosophy.
According to Hargreaves, Yale has “really taken care of us” with space, connections to advisors and people who shared theGXC philosophy and asked for nothing in return. Next on the horizon for GXC is getting more developers on board, partnering up with schools to play the game in Beta form and building a Facebook app so gamers can put stats on their profile.
For the initial games, GXC spent nothing on marketing and spent their Angel and VC funding on the product build. Hargreaves said that his biggest challenge was not getting funding but finding talent.
“The West coast is competitive. It’s tough to get the people you need because you are pulling them away from Google and Yahoo. Here it’s finding the people you need from a limited pool because they’re headed to the West coast.”
Hargreaves’ advice? “Get your idea out there. You’re not working on the Manhattan Project. If you have the opportunity to speak to Yahoo, go do it. If you’re huddling around your idea, you won’t get very far.”
Good Sheet: Accounting software for non-accountants
How It Works: BudgetPak is a “budgeting agent,” similar to Turbo Tax for accounting. Xlerant found that the industry is limited by targeting only the people willing to invest time to learn financial software. According to XLerant, the people driving business don’t want to be involved in the budgeting and planning process, the core of a business, because every accounting software looks like Excel, a product bought by accountants.
Start-up Life: When President Larry Serven and XLerant’s Stamford-based co-founders first developed an idea for easy-to-use accounting software, they looked to Excel. Not as a model but as everything they didn’t want to be.
“Our vision is to redefine the industry. The standard for ease of use is not Excel. The standard is Apple, Amazon, and Expedia. When someone thinks of easy, they think of ordering a book on Amazon, but they reject a spreadsheet as being ‘easy,’” said Serven.
In 2005, XLerant began developing their application with their first customer and psuedo-investor. In exchange for funding the costs of development, XLerant’s first client received unlimited user license and perpetuity. The alternative would be to grab VC cash, build and then launch.
“As an entrepreneur, you’re not always looking for the money, you’re looking to build a solid working relationship with an investor. You’re looking for them to add value,” said Serven.
XLerant headed down this partner-investor path on the advice of CTInnovations. According to Serven, CTI has helped in revealing the product, map out marketing and positioning and determine the most effective way to spend their cash.
Next step for XLerant is building the sales and marketing force. The company plans to continue building BudgetPak and looking for new ways to fill a market need.
“Every entrepreneur has to evaluate each potential exit strategy or offer when the given time comes. For us, we’re focused on keeping our head down and doing the best in the industry and good things will follow.”