Meet The Man Behind NY Dress Startup BlueGala

Josh Weiss is the Founder and President of Bluegala, an online retailer of prom dresses, evening, party, and cocktail dresses. Previously, he worked for Lehman Brothers as a High Yield Credit Research Analyst. Josh graduated from the University of Virginia with a B.S. in Commerce with a concentration in Finance. Follow him @bluegala.

Who is your hero?

Steve Jobs.

What’s the single best piece of business advice that helped shape who you are as an entrepreneur today, and why?

Match and exceed. Always keep a close watch on your competitors and make sure to match and exceed them in everything they do.

What’s the biggest mistake you ever made in your business, and what did you learn from it that others can learn from too?

When we first launched Bluegala, we placed a large order for lower-priced dresses before doing any research to see if we could actually compete in the market selling them. In hindsight, we should have placed a smaller order and tested the waters with a small PPC campaign. The lesson learned is to walk before you run and test everything.

What do you do during the first hour of your business day and why?

Check orders from overnight and go through the previous day in Google Analytics. I do this to keep a handle on what’s selling and if there are any issues. Google Analytics helps me to constantly get a sense of where our traffic/sales are coming from and if there are any red flags causing consumers to bounce off the site.

What’s your best financial/cash-flow related tip for entrepreneurs just getting started?

Bootstrap your business for as long as you can and try to scale it from there. If you eventually need money, you want the business to be as profitable as possible to get the best valuation, and you want to hold onto the most equity you can.

Quick: What’s ONE thing you recommend ALL aspiring or current entrepreneurs do right now to take their biz to the next level?

Dive into your analytics. If you don’t know what to look for, there are tons of books and blogs that can point you in the right direction.

What’s your definition of success? How will you know when you’ve finally “succeeded” in your business?

I define success as being one of the dominant players (if not the most dominant) within a certain industry or niche. Success is accomplishing what others were unable to accomplish and thriving where others have failed.

I will know my business has succeeded when Bluegala is the go-to resource for social occasion gowns. We have had a lot of growth since our founding in 2009, but there is still a long way to go before we establish dominance in the sector. Each year that passes allows us to learn more and more about what it will take to establish dominance and I am confident we will get there eventually.

The Young Entrepreneur Council (YEC) is an invite-only organization comprised of the world’s most promising young entrepreneurs. In partnership with Citi, the YEC recently launched #StartupLab, a free virtual mentorship program that helps millions of entrepreneurs start and grow businesses via live video chats, an expert content library and email lessons.

How To Measure The Potential Of Your Startup Idea

You have a business idea that you feel has tremendous potential. You probably got the insight by solving a problem that you had. Brilliant. Most successful companies today were created because of this very insight.

To give you an example, YouTube was founded by Chad Hurley, Steve Chen, and Jawed Karim, who were all early employees of PayPal. According to an oft-cited story, Hurley and Chen developed the idea for YouTube during the early months of 2005, after they had experienced difficulty sharing videos that had been shot at a dinner party.

When you’re solving your own problem or one that you feel is the pain point of a certain target audience, how do you know whether there is a large enough pool of people that face the same problems or challenges that you are trying to solve? If you’re just selling a product, you’re better off creating it and getting it to the market. But if you want to build a business out of it, you need to have a sizeable market for scalability.

So the question is, how do you determine the market demand for your startup idea? Read on for several ways to get the answers you need.

Google

Yes, it can be as simple as looking it up on Google. Haven’t you heard that Google is God? It has most of the answers that you are looking for. So how do you get Google to help you? Use the Google Adwords keyword tool to look for the number of people seeking out what you’re trying to do.

Put the keyword(s) in the search box, select the target country or countries and Google will show you the number of average local and global monthly searches. This is a good indicator of demand.

Minimum Viable Product

“Market research and business planning are overrated. The best market research is putting a product out and seeing if people will buy it. The best business plan is to create something great and sell it fast,” says Guy Kawasaki.

Writing a business plan with projections through market research is a sure-shot way to a startup doomsday. Nothing beats an actual customer using your product or service. So how do you get to the customer when you’re at the idea stage and don’t want to spend a huge sum building something they might not want?

Build a minimum viable product or a prototype. The idea is to put out something that offers the core value or your startup or that solves the core problem of your customers.

The MVP could be a PowerPoint slide, a dialogue box or just a landing page. This is something that you can often build it in a day or a week. A prototype can be an actual functioning product with the core features offered.

Share this with your network and see the response. Are people excited to use it? Do they actually feel their needs or problems are resolved by using your product? Is it easy to use?

Landing Page

You don’t have a product yet but still want to get customer buy-ins? Then landing pages are your best friend. Create a teaser or promotional landing page, which highlights the core proposition of your startup.

Ask for their email addresses in return for an offer or simply to be updated about when the startup is launched. Here’s a great example of a landing page that does just that. The number of email subscribers will determine how many people are interested in your startup. Try using Launchrock to create your landing page. Or use KickoffLabs.

To increase traffic, one method is to create a Google Adwords and a Facebook marketing campaign. Point the adverts to this landing page to drive traffic. Use Google Search and Network Partners to spread the campaign among a huge number of people.

You would much rather spend a little money to be sure than spend fortunes building a product that customers don’t want.

Crowdfunding

Crowdfunding is an excellent means to get actual buy-in for your product. This concept has increasingly becoming popular with the likes of Kickstarter, RocketHub, Indiegogo launching their platforms on the Internet that bring together startups looking for funding and individuals who are interested in contributing towards an idea or a product.

Apart from securing funding for your startup, you also get to know how many people are actually interested in your product or service. Interested enough to pledge their money. Here’s a list that showcases the most funded projects.

Whatever be your path, make sure you build on something that your customers want. As Kawasaki puts it, “This isn’t rocket science. It’s mostly hard work and luck.”

This post originally appeared on the author’s blog.

Rahul Varshneya is a startup coach and the co-founder of Arkenea, an enterprise mobility and cloud solutions provider. He writes on starting up and mobile strategy at http://rahulvarshneya.com/blog.

When it comes to communications, startups need the whole package.

idea image: earlmcadoo.com

Founder Spotlight: Brittany Hodak CoFounder ‘ZinePak

Brittany Hodak, alongside Kim Kaupe, is co-founder of ‘ZinePak, a company that creates custom publications for entertainers, brands, and celebrities. The ‘ZinePak configuration combines a small-format magazine with one or more CDs and exclusive merchandise items together into one engaging, exclusive package. Follow her @zinepak.

Who is your hero?

My heroes are all the men and women who enlist in the Armed Forces. People tell me all the time that it takes courage to start a business; while that is probably true on some level, it doesn’t even begin to compare to the courage it takes to fight for one’s country.

What’s the single best piece of business advice that helped shape who you are as an entrepreneur today?

“It’s easier to get forgiveness than permission.” This is something my dad said to me for the first time when I was about 13. I remember thinking how profound it was, and how it could work as a “free pass” for just about anything. More than 15 years later, I still live by this mantra every day.

When you’re an entrepreneur, it often means writing your own rules and getting creative in the ways you go about getting things done. Sometimes this means ignoring a chain of command, moving forward on a project without formal sign-off, or any number of other “violations” of the training of otherwise well-meaning soldiers of Corporate America. When given the choice between trying to get something approved the “right” way (e.g. submitting a formal proposal and spending six weeks pitching the same idea to successively senior team members) or the “wrong” way (e.g. happening to bump into the CEO at Starbucks and pitching her the idea over a latte), we always choose the latter.

There is very little that can’t be smoothed over with a heartfelt “oops” email or a nice Edible Arrangement when someone’s corporate feathers have been ruffled!

What’s the biggest mistake you ever made in your business? What did you learn from it that others can learn from too?

One of the biggest mistakes Kim and I made with ‘ZinePak was not hiring enough staff quickly enough to support the company’s growth. In a startup where there isn’t a huge amount of funding, founders are often faced with “the chicken or the egg” scenario of when to expand the full-time employee count. Is it better to hire help in anticipation of new work materializing, or secure the business first and then worry about the man (or woman!) power?

For our first big experience with growth, we chose the latter. The decision led us to experience several weeks in a row where everyone was working 18-hour days just to keep our heads above the water.

Luckily, we were able to learn from the experience. We made the strategic decision to take about eight weeks off from actively working on projects and hire two more full-time team members. This break gave us plenty of time to find amazing support staff and get them totally up to speed before the next wave of projects began.

What do you do during the first hour of your business day?

As an entrepreneur, every day is different and often unpredictable. I try to spend the first hour of each day catching up on entertainment trades and news and sending quick notes to anyone whose names come up during that reading. For example, I’ve found that early mornings are a great time to send someone a quick note congratulating them on a recent promotion or campaign that’s been covered in the press. I also try to drink at least 16 ounces of water in the first hour of the day, because if I don’t set the pace early I won’t stay hydrated throughout the day.

What’s your best financial/cash-flow related tip for entrepreneurs just getting started?

Hire an accountant right away! We tried to manage our own books online when we started ‘ZinePak, and we quickly got in over our heads. There are so many things to worry about when starting a business, from product development to lead generation to sales to marking to contracts, etc. — the list goes on and on. Time is a very precious commodity, and it is wise to spend your time on things can’t be easily outsourced to someone else.

Even if you have an accounting background, take the time to find a great CPA or bookkeeper to help you keep tabs on your business. He or she can offer strategic advice about cash flow, growth, and spending, and, most importantly, free up your time to work on closing deals instead of itemizing credit card statements.

Quick: What’s ONE thing you recommend ALL aspiring or current entrepreneurs do right now to take their biz to the next level?

Email three interesting people from your past who you haven’t seen in at least two years and ask them to get together for lunch or coffee dates. Some of the best business connections can come from the sources you least expect. Plus, reconnecting with old acquaintances is almost always a good time.

What’s your definition of success? How will you know when you’ve finally “succeeded” in your business?

My definition of success is being happy, confident, and secure in my own venture. When Kim and I started ‘ZinePak, our paramount goal was to not have to report in to bosses who treated us poorly. We set a definition of success as, “let’s quit our jobs, start a company, and try not to make significantly less money this year than we would if we kept our jobs.”

Two years later, we’ve passed the $3 million revenue mark and sold almost $15 million of product in the United States and 17 other countries. The feeling of success comes from knowing that we’ve built an awesome company and no longer have to answer to anyone other than ourselves.

The Young Entrepreneur Council (YEC) is an invite-only organization comprised of the world’s most promising young entrepreneurs. In partnership with Citi, the YEC recently launched #StartupLab, a free virtual mentorship program that helps millions of entrepreneurs start and grow businesses via live video chats, an expert content library and email lessons.

Bad ass startup chick Denver Hutt reminds us we’re entrepreneurs not super heroes.

Startups: How Youth Can Be Your Biggest Asset Of All

Being a young entrepreneur in business today is exciting. Youth is your biggest asset; you should rock it to your advantage. But how do you overcome the preconceived notions that come with being a younger contender — like assumptions that you’re inexperienced, naive and in for a rude awakening by the industry?

The answer is simple — you turn them into strengths. Everyone always talks about how retaining youthful characteristics like curiosity and optimism is a great way to succeed. Why can’t those who truly embody those characteristics also reap the rewards?

Why Your Age Is Actually an Asset

As a twenty-something Canadian entrepreneur with a funded startup and past experience at a well-known social news company — who was literally thrown into a pit of extremely successful American entrepreneurs — I’ve had my share of challenges and benefits as the new (and incredibly young-looking) kid on the block. People sometimes view the fact that I’m “too young” or “don’t know enough about life” as a flaw, but I actually believe it’s helped me succeed. When you have no knowledge of the boundaries that exist, you’re able to think bigger; you’re able to be truly and genuinely audacious. That kind of bold, optimistic creativity doesn’t come from being jaded or experienced; it comes from being completely unaware of what lies ahead of you.

Even more so, young people have the fresh ability to learn new skills quickly and retain a ton of information at a time. You can learn a language in a month while you’re younger, but when you’re older, it’s much harder to pick these things up. I try to take full advantage of that, and I’ve seen it happen right in front of me in the tech space. Young people are changing the world through their combination of youth and entrepreneurship. They’re able to establish multi-billion dollar companies because they just don’t see any boundaries, and they can adapt to an evolving landscape quickly.

Young entrepreneurs sometimes tell themselves, “I’m young. No one is going to take me seriously. I don’t have enough money. No one is going to let me do this. I don’t have enough knowledge.” You can solve all those things yourself, without doing anything absurd or fake, like growing facial hair, putting on more makeup or trying to “sound older.” No one ever gets very far by pretending to be something or someone they’re not. The older folks in the room will see right through that, and that’s far worse than being young. Here are three ways to get others to take you seriously — despite your age — while still staying true to yourself:

1. Trust your instincts

Entrepreneurship is inherently instinctual – you’re devoting your life to something unknown and ambiguous. Your decisions and “strategy” are most often a culmination of your basic instincts and parallel, but not directly relevant, data. It’s a very subtle feeling that can be mistaken for many other things – but once you can focus on it, you’ll find your decisions not only for the best, but consistent and wired to your thinking. That intuition, in turn, shapes the vision and culture of the organization you are trying to build. Deviating from your instincts brings unrest not only for you, but among your stakeholders as well.

2. Use your youth

Being young isn’t all about age. It’s about curiosity, capacity, and ultimately, your limits. Test them. There might never be a time in your life where you can stretch your mind and your physical capabilities to their maximum without consequence. As a result, you can leapfrog your success, build amazing products, and live life to its fullest while bringing others along with you.

People often ask me, “How has your youth prevented you from achieving certain things?” I almost always view my youth as an enabler rather than a barrier. Many will assume the latter simply because business/experience/age has gone hand in hand in the last decade. But with the Internet, we are no longer operating on a linear curve of growth of knowledge and numerical age. We are now living in the era of exponential knowledge.

In fact, the younger you are, the more likely you will be viewed as innovative. Don’t conceal or hide your ideas – let them flow and mingle with others, especially during the conception stage. Being young is finally a good thing in the consumer web space. Let’s all make sure that we continue to honor the stage that has been set for us, and continue to innovate incessantly.

3. Generate serendipity

If you create your own luck, there is no sense of reliance. I really, truly, believe in people who understand how to build the right relationships, thrive in the right environments, and believe in their own capacity and propensity to create. The last few years of my life contain a string of events that came from taking a few extra forks along the path of my life — forks where I could have chosen to simply stay still. The doors that open for you may be just the serendipity you need.

For me, being a young entrepreneur is all about asking how I can make things happen by actually executing on my word. Many young entrepreneurs like to talk. I like talking too, but I’d rather show and prove my abilities. The challenges really aren’t challenges at all unless you view them as such. It’s all about perspective.

Brian Wong is the CEO and co-founder of kiip (pronounced “keep”), a category-creating mobile rewards network backed by Relay Ventures, Interpublic Group, Hummer Winblad and others. Kiip has raised over $15.4 million in funding to date and was named one of the world’s 50 Most Innovative Companies by Fast Company in 2013.

The Young Entrepreneur Council (YEC) is an invite-only organization comprised of the world’s most promising young entrepreneurs. In partnership with Citi, the YEC recently launched #StartupLab, a free virtual mentorship program that helps millions of entrepreneurs start and grow businesses via live video chats, an expert content library and email lessons.

5 Tips For Succeeding In An Emerging Industry

Wouldn’t it be great if someone would hand you a road map when you decide to launch your own business in an emerging or unproven industry? Of course, that doesn’t happen, but I have found, as many entrepreneurs have, that with a lot of hard work and determination, an emerging industry can become a profitable one. Here are five keys to success I’ve learned along the way while building my digital agency, The1stMovement, in the emerging digital marketing/advertising industry and having the honor of leading it to become one of Inc. 500 “fastest growing companies in America”:

“Fish where the fish are.” Focus on meeting an existing demand instead of creating one. This is one of the most important lessons I learned from going through the dot-com bust while working in Silicon Valley in the early 2000s. It’s far better to address an existing need in the marketplace than it is to create a product or service that you think people need and then try to generate demand for it. I started at a time when I felt like the advertising industry was “craving” technology excellence. So my decision to move from Silicon Valley, with my “geeky” technical background, to Los Angeles, known for its creativity but not so much for technical execution, proved to be a perfect springboard for me to start my business.
Improvise and innovate. Find new ways of doing the same old things. Instead of trying to reinvent our competitors’ products and services, we believe in observing their successes and mistakes, then come up with innovative new ways do it better and more efficiently. In a time when Los Angeles advertising agencies were competing for the attention of big Hollywood Studios by pitching their best “ideas,” we focused our efforts on getting the attention of well-funded Fortune 50 clients like Adobe and Cisco with our technical expertise and track record for getting things done. That “sales pitch” proved to work and we continue to lead with technology, but complement it with ROI-driven strategies and sexy creative for all of our clients.
Adopt the mindset of a bootstrapper. Even if you have millions in funding from outside investors, run your business as though every dime is coming from your own pocket. You’ll quickly find that you’ll be forced to be more creative and innovative in your decision making. Not only will you avoid wasteful spending (another dot-com lesson), but your funds will go much, much further toward meeting your business objectives. Challenges will arise, as they have for us. Right before the recession, we were forced to let go of some staff because I opted not to go for investment. It was one of the most painful professional experiences I’ve ever had to personally go through, but it forced us to re-look at our structure and be nimble and flexible in a tough, unknown economy.
Never forget that execution is everything. Even the best idea in the world is worthless if it just stays on the drawing board. As Thomas Edison once said, “The value of an idea lies in the using of it.” Yes, putting an idea into action takes a lot of hard work, research and testing, and there are obvious risks. But if you execute your ideas with a “bootstrapper” mindset, you will be able to minimize your risks and the payoff could be significantly larger in the long run.
Keep moving forward. Indecision is far worse than making the wrong decision. Fear of failure can be a paralyzing influence when it comes to making business decisions. Yet an entrepreneur and a strong leader can never move a business forward by being indecisive. I have made my fair share of mistakes in my business decision making, but keeping my business nimble, flexible, and most importantly, independent, has allowed us to correct our mistakes quickly and move on.

Entrepreneurs who are starting a business in an emerging industry are like pioneers who are navigating a new landscape where not many people or firms know what they’re doing. But the good news is that the greatest rewards will go to those who are willing to work the hardest, take calculated risks, and believe in their ability to succeed. As the Zen saying states, “Leap and the net will appear.”

This post originally appeared on the author’s blog.

As CEO of The1stMovement, Ming Chan was named as one of the “Top 10 Asian Entrepreneurs in America” by Inc. Magazine and has led the agency to numerous accolades including 3-time Inc. 500 “Fastest Growing Private Companies in America”, 3-time “Best Places to work” in Los Angeles, “Top 20 agencies” in LA & Denver, and 5000% growth in 5 years with his passion for innovation and company culture.

We’re using Chicago startup Centup here’s why.

5 Tips For Growing Your Startup At The Right Pace

Startups are often in a rush: bigger, better, faster. I see it all the time: businesses striving to scale, to accelerate the growth of their business as quickly as possible — consequences be damned! Scaling is certainly a goal for businesses at some point, but scaling as soon as possible isn’t the answer. Scaling will require your company to use more resources. If you’re not prepared, scaling too quickly can be dangerous — leading to failure instead of success.

If you haven’t yet found a viable business model that will allow you to acquire customers at a lower cost than the lifetime value of that customer, you simply are not ready to scale. But you can ready your company by focusing on your finances first. Consider the following suggestions to help you to refocus your company development in a thoughtful and calculated way:

Understand how growth will impact your cash burn. Your burn rate is simply how much capital you go through every month. Staying on top of your burn rate is essential all the time, and, perhaps, even more so when you’re considering scaling. When you scale, your cash burn will be amplified. Any issues you have with your working capital requirements will be magnified exponentially. So keep a close watch on your cash-flow statement and a tight rein on your expenses. Bootstrap as much as possible to keep your business lean.
Hire only as needed. When you scale, you will need to expand your staff to support your acceleration. But before you scale, it’s a good practice to get into the habit of only hiring when absolutely necessary. Hiring is a significant cost — not only payroll, but the costs of recruiting, training, retention, etc. To cut costs, outsource as much as possible, especially non-core functions like accounting, finance, and human resources.
Create milestones for your company. Identify target milestones, create a realistic timeline, and then manage your cash to those milestones. In some cases, this may mean that you need to raise the cash to match and support these milestones. If you’ve already raised cash or are bootstrapping, you’ll need to reduce your burn rate so you can achieve the milestone before your cash is gone. Once your milestones are set, don’t let them slip. Your main focus must be executing to these milestones.
Get systems in place. Before scaling, make sure you have a solid infrastructure for managing financial processes. How will you manage billing and invoicing on a larger scale? Or, the bigger potential headache of payment collection? If your customer base and earned revenue are still small, that’s when you need to find and establish successful systems and processes.
Plan for cash-flow positive. If you have revenue, create a plan to help you understand how and when you’ll be able to get cash-flow positive. Scaling requires an increase in cash flow. You need to be prepared to match this with earned revenue.

If you think you’re ready to scale, you may be right. But before you press on that gas pedal, ask yourself: are you sure you have a viable business model, your processes are repeatable, and the market is ready? Once you scale, you’ll be entrenched much more deeply in your processes and making changes will be much more difficult. So take these early days to establish your company model and processes, and gain an understanding of — and control over — your finances, before rushing to scale.

David Ehrenberg is the founder and CEO of Early Growth Financial Services, a financial services firm providing a complete suite of financial services to companies at every stage of the development process. He’s a financial expert and startup mentor, whose passion is helping businesses focus on what they do best. Follow David @EarlyGrowthFS.

Now check out “The Case For Remote Work”

Image: YEC

Creative Marketing in the Ubiquitous World of Advertising For Startups

Sometimes companies get ideas; good ideas. They discover ideas about who they are, what they want to accomplish in the world, and how they can solve some problem that no one has found the answer to just yet. The issue is, they aren’t the only ones. That’s where advertising comes in.

Advertising takes on many forms and uses many media. But, it always has the simple objective to communicate, capture, compel, and move audiences to action. In the past, this translated to the purchase of a product/service. Today, marketing specialists extend that definition to an ongoing engagement with their brand through social media, subscriptions, or online sharing.

Each of us knows the plethora of advertisements that plague our home pages, browsers and selected blogs, and how agencies spend insurmountable funds to market to users everywhere. With this onslaught of advertisements, companies must carefully decide how they are going to meet audiences in memorable and lasting ways that make them stand apart from their competitors. Retention and engagement have always been the major goals of advertising; but with the persistence of ads into every level of the lives of consumers via television, social media, and innumerable web pages, companies now find themselves in a world in which they must consistently re-evaluate how to accomplish those objectives. One way that organizations solve this problem is through the incorporation of creative and non-traditional mediums into their marketing, like animation.

Jon Collins of the VFX studio Framestore recently said in an interview: “If you can keep a viewer in a world and stimulate those senses, they will not only engage more deeply with your brand, but their recollection of that positive experience will sustain for far longer.”

However, there is a danger in creating a world that is overly stimulating to the viewer, because they end up rejecting that vibrancy in an effort to maintain a kind of visual homeostasis. Advertisements must also be tempered with a strong and carefully crafted design that appeals to people’s sense of balance, color schemes, character associations, etc, without turning them off to your brand.

While there is no scientific formula for accomplishing this task, creative specialists use techniques like focusing on one subject while blurring out the background, using particular color patterns, or utilizing symmetry to balance out an environment. The reason for this meticulous approach to curating content for viewers is the same reason that athletes train for months on end for a brief moment in the spotlight. Sometimes a brand has only one opportunity to interact with an audience member and communicate what it is and why it is worthy of their attention. And audiences are a fickle sort. With the accessibility to perhaps hundreds of alternative products or services, brands must make that one interaction a meaningful one that the viewer will remember long after the video has ended.

Part of why we gravitate towards animation as a medium is because you have the ability to communicate something as complex as sustainable business practices or a commitment to ethical animal treatment (as FedEx and Chipotle both did this past year) through imagined worlds and characters that take the viewer into a beautifully crafted narrative. While you can control things like lighting, environment, and subjects while shooting in video to a certain degree, animation can create worlds and characters beyond what is only in front of us. This allows us to control things like lighting, texture, movement, and time that we would not have as much control over if we filmed subjects through a camera. All in all, video and animation are not in competition with one another, for both are tools to be utilized for the creative dissemination of messages.

At the core of who we are as human beings is the desire for meaning and significance. Advertisers try to cultivate that kind of experience in a brief interaction that connects audiences with a brand that will last long after the meeting has ended. While the time and effort that companies spend towards this endeavor is great, the hard sought after relationship with the customer is truly the golden egg.

Check out Prodigi Arts at prodigiarts.com

If you’re serious about email ditch Mailbox for this Austin startup today.

Where Do You Go Offline To Connect With Other Entrepreneurs & Startups

YEC, Guest Post, Startup Tips, CoWorking, Entrepreneurs

Donna Harris, co-founder of 1776dc chatting with an entrepreneur (photo: NMI 2013)

Where do you go in your city/region (or online) to connect with other entrepreneurs and learn from them?

The following answers are provided by the Young Entrepreneur Council (YEC) (http://theyec.org), an invite-only organization comprised of the world’s most promising young entrepreneurs. In partnership with Citi, the YEC recently launched #StartupLab (http://mystartuplab.com/), a free virtual mentorship program that helps millions of entrepreneurs start and grow businesses via live video chats, an expert content library and email lessons.

1. Co-working Spaces and Meetups

In Phoenix, we have an awesome coworking space downtown. Co+Hoots is full of entrepreneurs and creatives; they all are welcoming. Find a coworking or collaborative workspace, and entrepreneurs will be there! In my city, we also have startup incubators and local organizations that host events or meetups. Find these events via social media in your town. Ask around and join in!

– Kyle Clayton ( http://twitter.com/KyleClaytonGore ), Jackrabbit Janitorial ( http://www.JackrabbitJanitorial.com )

2. Mixergy

My investment in Mixergy’s premium membership has paid itself back 1 million times over. I have learned so much from the interviews, the classes and the discussions. I’ve gained an MBA-type network without the $200K tag. Andrew Warner, the owner of Mixergy, is great at getting guests who can contribute tangible advice to other entrepreneurs, regardless of what industry they are in.

– Derek Capo ( ), Next Step China ( http://www.nextstepchina.org )

3. Philly Startup Leaders

Philly Startup Leaders is a strong local organization that connects Philadelphia’s most successful tech innovators with aspiring entrepreneurs. PSL’s regular events allow for an environment that fosters collaboration and community education.

– Robert J. Moore ( https://twitter.com/robertjmoore ), RJMetrics ( http://www.rjmetrics.com )

4. User Groups

I prefer to attend user groups for different technology, rather than straight-up entrepreneurship meetings. You’re more likely to encounter different types of entrepreneurs when you’re looking at a purely technological point of view. You can also avoid some of the super-charged networkers who aren’t quite as useful to connect with.

– Thursday Bram ( http://www.twitter.com/thursdayb ), Hyper Modern Consulting ( http://www.hypermodernconsulting.com )

5. Meetup.com

Meetup.com lists all local meetings for like-minded entrepreneurs, and it presents a great opportunity to learn more, expand your network and build potentially valuable business relationships.

– Andrew Schrage ( https://twitter.com/moneycrashers ), Money Crashers Personal Finance ( http://www.moneycrashers.com )

6. Self-Hosted Events

In today’s connected world, there’s no reason you can’t show up in a city and host your own event. When I was in Phoenix, a place I’d never been, I found a few connections from Twitter, LinkedIn and Facebook and threw an impromptu happy hour. I asked each of them to bring a few interesting people along. Before I knew it, I was fully immersed in the Phoenix entrepreneurial community.

– Matt Wilson ( http://www.twitter.com/MattWilsontv ), Under30Experience

7. Local Organizations

Dyn is located in a great area. In Manchester, I can go to the ABI Innovation Hub, which hosts events, contests and a founders’ series. There are also groups like the NH High Tech Council, the Manchester Young Professionals Network and Stay Work Play that bring people together to share common experiences. We live in a global world, so it’s important to stay connected beyond your own backyard.

– Jeremy Hitchcock ( http://twitter.com/jhitchco ), Dyn ( http://dyn.com )

8. Our Young Entrepreneurs’ Group

I live in a small town, Roseburg, Ore., with 35K people, but we’re creating an entrepreneurial movement here from the ground up. Four years ago, the entrepreneurial culture was struggling. But a group of us are making things happen — one of them being the Young Entrepreneurs Society we started two years ago that’s 104 members strong. Our monthly meetups and book club are awesome.

– Trevor Mauch ( http://www.twitter.com/tmauch ), Automize, LLC ( http://www.automizeit.com )

9. Silicon Prairie News

Silicon Prairie News is all about promoting, connecting and perpetuating entrepreneurship in the Midwest. Its Big Series of conferences is a great starting point for getting involved. And, of course, Silicon Prairie News’ website is worthwhile.

– Jake Stutzman ( http://twitter.com/jstutzman ), Elevate ( http://www.elevate.co )

10. A Speakeasy for Geeks

In Indianapolis, we launched The Speak Easy — a place for Indy-based entrepreneurs, startups and the folks who support them to work, play and collaborate. It’s essentially a clubhouse for entrepreneurs, designers and geeks. Bringing these folks together in a fun, productive work environment is the surest way to accelerate the development of high-growth startups.

– Kristian Andersen ( http://www.twitter.com/kristianindy ), KA+A ( www.kaplusa.com )

DC Mayor Vince Gray praised the YEC on Friday night at 1776, DC’s coworking,startup and entrepreneurial epicenter.

6 Innovative Technology Waves That Your Startup Can Ride to Success

The success of your startup is dependent on so many things — your employees, your investments, your business plan, and even the technology you use. That’s why you can’t neglect a single detail. So, take a look at these six innovative technology waves that your startup company needs to employ to drive success.

Geo-Positioning Technology to Target Customers by Location

Smartphones and tablets can pinpoint your location with accuracy of only a few feet away. This is because of the geo-positioning sensors in each device. The main reason people use this technology is to get real-time directions from one place to another, especially while driving. It is simple to use and so much easier to follow than a map. However, the GPS isn’t the only useful feature of geo-positioning technology. You can use this technology to your advantage in your business.

There are several things your business can do with geo-positioning technology. You can create an app that helps customers find your location and make appointments. For instance, Great Clips has an app to do this very thing. You can also register your business for the check-in games, like Gowalla and Foursquare, where customers can tell you when they visit your business and then you can reward them in various ways.

Ambitious mobile startups are always finding new and clever ways to take advantage of the smartphone GPS trend. Back in March, Apple paid a cool $20 million for WifiSlam’s indoor pinpoint location tech. There’s no question about it, geo-targeting is big business in the mobile space.

Contact Management Software to Stay Connected with Customers

According to the U.S. Small Business Administration, 50 percent of new businesses fail within the first five years, for various reasons. This could be because of a lack of experience, poor credit arrangements, bad location, competition, and a myriad of other issues. It could also be because the startup failed to grasp the demands of their target consumer and their expectations.

One example of this is when a new business doesn’t use contact management software or similar technology to track their customers’ data and stay organized with their customer service. Customers today expect a deeper and more intimate level of connection with their chosen brands. Social media, newsletters and notifications are a huge part of customer service. Even the startups with great products struggle if they fail to truly connect with their customers.

There are many great CRM platforms available for brand new or early stage companies. Industry giants like Microsoft CRM and SalesForce offer tiered pricing plans, cloud SaaS services and mobile apps, but they also can be very pricey and overpowered for some startups. The CRM extension Streak provides a free alternative in consumer management by giving smaller startups the tools they need without the bells and whistles offered by larger platforms.

Targeted Advertisements to Reach Customers through Online Search

A Harris Interactive Poll shows that the average U.S. adult goes on the Internet for 13 hours per week. This time is distributed between social media, email, online search, and other online tasks. This gives startups a unique opportunity to use technology to reach customers in a way they couldn’t do in the past — targeted advertising.

Both social media and search engines sell advertising space that can target virtually any demographic a startup wants to reach. This is because users allow social media sites and search engines to collect user information as part of their terms of use. This means that when you place an advertisement, it is only seen by the people you want to see it. This saves you money and helps you reach a more targeted audience. Startups that don’t take advantage of this are losing out on hundreds to thousands in sales and will have a much tougher time breaking through the clutter of their competitive niche.

Mobile Devices to Connect with Customers Anytime and Anywhere

Businesses used to be tied down to one location because desktop computers and servers were not portable, and neither were phones. This meant only doing business during the day from a typical 9:00 to 5:00. However, businesses now have the flexibility to do business wherever they want thanks to cloud computing and always-on mobile devices. These technological advancements open up your startup to customers around the world and to people that want to contact you during off business hours.

Cloud computing basically replaces traditional business servers. This is because all your business information is stored online in one secure place that can be accessed from anywhere there is an internet connection. Cloud computing also reduces the amount of down time, meaning your business can run more efficiently at a lower cost.

Mobile devices also give businesses the portability they need to serve customers. This means your employees can answer phone calls and emails, and do business from home, the park, a restaurant, or anywhere else. Thanks to the BYOD phenomenon, startup business owners have also been able to keep in contact with their consumers using their best Android tablets, ultrabooks or smartphones anywhere and at any time.

Biometric Authentication Instead of Passwords

Information security has been a growing concern ever since the Internet was launched. However, new innovation in technology is changing that. Startup businesses can now use biometric data to accurately identify returning customers. And, this can be done instead of using passwords that people always forget.

One example of this technology is on the new iPhone 6. It has a fingerprint scanner that can unlock the phone. Plus, many smartphones and tablets already use facial-recognition software. Your business can start implementing this same technology to verify customer information, which will help your customers feel secure, and happy. Adapting cutting edge tech from the ground up can also help to define your startup as a company that understands the modern consumer and differentiate from the competition.

Increased Payment Options and Rewards for Customers

Startups can also reach more customers through the Internet because they are no longer tied down by physical locations. However, some customers are reluctant to buy things on the Internet for fear of being ripped off with no transparent accountability. Technology that guarantees security is changing the way that many users think about purchasing things on the internet. For instance, you can be more transparent with your consumers by offering trusted digital payment services like PayPal, Square or PayMill in addition to the traditional credit card option. Consumers love choice, especially when it comes to their wallet!

What other types of innovative technology do you think can help startups succeed? Share your ideas in the comments below.

Entrepreneur Magazine is pushing startup communities around.

15 Interview Questions To Ask Your Next Startup Hire

Question: What’s one must-ask interview question for your first few startup hires?

Will You Make Copies?

“At startups, everyone needs to pitch in, including doing the occasional administrative task. By asking prospective hires if they will make copies, you can identify those who have the “do whatever it takes” attitude that will help your startup succeed.”

– Bhavin Parikh | CEO, Magoosh Test Prep

Past Experience Takes Precedence

“I would want to know, first and foremost, that the hire has had success in the startup environment before. It’s a unique culture that requires a certain mindset and approach.”

– Alexandra Levit | President and Founder, Inspiration at Work

Where’s Your Initiative?

“”Can you give me an example of when you demonstrated high initiative?” As a startup, you need people that will go above and beyond their role and produce amazing value for the company.”

– Jun Loayza | President, Ecommerce Rules

Completion Is Key

“How have you worked around resourcing and staffing limitations to accomplish a project? Startups are always trying to juggle multiple priorities and there’s never enough manpower to get stuff done. Asking about times where someone was able to come up with a project, idea, or initiative, and then oversee it to completion — despite obstacles — allows you to discover a lot.”

– Matt Mickiewicz | Co-Founder, Flippa and 99designs

Find Out About the Formative Years

“I always ask candidates to tell me about a difficult or challenging event from their childhood that they feel has shaped them into who they are today. It gives me insight into who they think they are as a person, what motivates them, and how they deal with unexpected issues that may arise.”

– Vanessa Nornberg | President, Metal Mafia

One Word: Why?

“Why do you want to join a startup? Understanding one’s motivation for pursuing a job, particularly an entrepreneurial one, is critical. Make sure your first few hires are risk-tolerant entrepreneurs like yourself, and that your objectives are aligned. You want people who aren’t going to bail at the first bump in the road.”

– Michael Tolkin | CEO, Merchant Exchange

Stump Them With the Obvious

“Ask them if this a job or is it a career. The two are very different from each other, and can sum up the persons work mentality.”

– Jerry Piscitelli | Owner / Inventor, Portopong LLC

Do You Get Seasick?

“I would ask the following: “If we had news that the company may go belly up in two weeks, what would you do?” This question will test the person’s stomach for the swaying seas of a startup. If they respond by indicating an “increased” level commitment, then you have a winner. If they allude to retreating and “playing it safe” they may not have the necessary fervor.”

– Kent Healy | Founder and CEO, The Uncommon Lif

What’s Your Favorite Movie?

“Startup hires need to be almost as passionate as you are about your vision. By asking, “What is your favorite movie?” you can see how they can passionately express themselves. Don’t hire those who are as dead a a door knob when they answer this question.”

– Nancy T. Nguyen | President & CEO, Sweet T Salon

Identify Their Personality

“Ask simple questions to determine the character of the potential hire. Some startup hires cannot handle the startup mode, not because of education and past experience, but simply because their character does not fit the type of environment one would find in startups. One question to ask is, “Do you want to be in a startup, or do you want to appear to be a in a startup?” It’s an honest question.”

– George Mavromaras | Founder and President, Mavro Inc. | Praetor Global LLC.

Make It an RPG

“Ask plenty of role-playing questions — the interviewee will project their motivation for applying to the startup. You’ll also get a deeper understanding of them as an individual and what they can bring to the table.”

– Justin Beck | Co-Founder and CEO, PerBlue

What Happens When You’re Wrong?

“Ask for an instance of when they were dead wrong about something. How they respond is telling — do they have the ability to admit it, ask for help and move on, or do they try to fix it themselves? Are they willing to admit it happens often? That’s a sign of not being afraid to fail.”

– Susan Strayer LaMotte | Founder, exaqueo

All Roads Lead to Success

“The first few hires in a startup are crucial, so make sure they’re on-board with your company’s vision, first and foremost. Ask where they see themselves in relation to the company five years down the road. Make sure they envision the company’s destination the same way you do, even if they see the path a little differently.”

– Nick Friedman | President, College Hunks Hauling Junk and College Hunks Moving

Let’s Talk Numbers

“Ask them how much they want to earn. First, this question usually catches people off-guard, which helps you evaluate how quickly they can adapt. Second, it allows you to see how flexible they are, as well as how committed they are to the company’s growth.”

– Nicolas Gremion | CEO, Free-eBooks.net

Change Is Constant

“How comfortable are you with change, and how do you handle it? If you run a startup, you need people who are flexible enough to grow with you. If someone doesn’t handle transitions and change well, you need to know that before you invest in them.”

– Brent Beshore | Owner/CEO, AdVentures

7 Key Elements Of A Successful Crowdfunding Campaign

Crowdfunding can be an effective tool for accomplishing your startup goals. Whether you’re looking to jumpstart your marketing efforts, expand your customer base, or reach out to friends and family for funding, crowdfunding provides a platform to rally support around you and your company. Having worked with hundreds of entrepreneurs who have conducted successful fundraisers, we have distilled seven key strategies for launching a successful crowdfund:

Tell your story. As the old adage goes: facts tell, stories sell. When it comes to eliciting customer engagement, a campaign with a good story is an unparalleled strategy. Did you experience some kind of obstacle on your path to entrepreneurship? Did a major life event influence your career choice or business decisions? Tell your story in your crowdfunding pitch to make a connection with backers and encourage engagement.If you don’t have a personal story to share with your audience, share facts and highlights about your startup, product or vision instead. Describe the problem (and severity of the problem) your product will solve, or discuss the vision for your startup. Keep your tone and messaging personal to make backers feel closely connected to you and your project.
Provide value for value. Crowdfunding campaigns hinge on reciprocity. If your startup offers fantastic products, rewards or opportunities, you’ve created a huge incentive for backers to pledge to your campaign. When choosing your reward tiers, reflect on whether the incentives would appeal to you if you were the consumer; ask friends, family members and business acquaintances for their honest opinions as well.
Introduce scarcity. A basic law of economics dictates that scarce supply inherently creates greater demand. Create greater demand for your startup by limiting one or more of the higher level rewards to just a few — this will inflate demand for those rewards and result in higher pledge amounts for your crowdfunding campaign!
Create a marketing event. People love to feel like they are part of something bigger than themselves. Try to build a feeling of excitement and rally others around your crowdfunding campaign by tying the launch to a large, well known event. You can connect your product to a holiday, sporting event, or season to increase the momentum surrounding your launch. You can leverage the emotional connection surrounding these events to get people excited about your product and engage them in discussions.This is especially useful for connecting with backers through social channels, capitalizing on trending topics and popular hashtags to get more eyes on your fundraise!
Highlight examples of social proof. Going back to the human desire to feel like a part of something bigger than themselves, most people don’t want to be the first or only supporter of a crowdfunding campaign — they want to see other influential advocates joining in. Do you have someone notable as an adviser, backer or endorser of your startup? Share your list of partners and patrons to give confidence to new backers and let them know that they won’t be the only one at your party.
Build credibility and legitimacy. Many backers will believe it when they see it. In other words, they require some kind of evidence that your startup is legitimate and picking up steam before deciding to back your crowdfunding campaign. Show your backers what they’ll be supporting in detail — how it works, how you came up with the idea, and even pictures or videos if you have a prototype. Remember that you will likely never meet your backers, so the more proof you can provide that your startup is legitimate the better.
Interact with your supporters. Don’t leave your backers in the dark for weeks after they’ve supported your project. Interact with your audience through frequent updates, thank-you emails or social media outreach, and responses to their questions and feedback.You can build anticipation and increase engagement in many ways. Post updates counting down to a big surprise regarding your project, conduct a product giveaway, or even host a contest involving your crowdfunding campaign. The opportunities here are endless and can be tailored for your specific startup.When interacting with your backers, always encourage an open dialogue and engagement. In general, people would rather talk than listen. Treat your updates and outreach as a conversation rather than a one-sided message.

Eric Corl is the Co-Founder and President of the crowdfunding site Fundable.com. Eric has been on the founding team of three successful startups including Fundable, IdeaBuyer and Startups.Co, all of which have focused on getting early-stage startups to market quickly and effectively. He is also a partner at Virtucon Ventures, an early stage incubator that brings new ideas to market.

Now that you’ve got that down check out 12 Tips For Crowdfunding Your New Startup

Deciding Between An LLC Or S Corporation: 6 Key Differences

When starting a business (or growing a business from a sole proprietorship), the limited liability company (LLC) and the S corporation are the go-to entities for small business owners. Both entities provide liability protection (which prevents business creditors and those with a judgment against you from accessing your personal assets) and act as a pass through, which means that all income from LLCs and S-corps are treated as income of the individual owners. However, there are various differences between the LLC and S-corp.

Instead of randomly choosing one or the other, here are some of the differences that may affect which one you choose for your business:

Corporate Formalities: LLCs generally do not have to maintain corporate requirements, even though its good practice to maintain separate company records. In some states, LLC owners are required to file a simple biennial statement with the Secretary of State, but that’s about it. S-corps, on the other hand, are required to maintain corporate formalities in order to keep their liability protection. S-corps must keep meeting minutes, a board of directors, officers, separate business accounts and appropriate records for all of their business transactions.
Allocating Income: This issue only comes up when there are several owners of the business or when additional owners will be added in the future. LLC owners may allocate the business income to its member disproportionately. That means that two owners may split the income 60-40 instead of 50-50. This may be important in situations where each owner contributes to the business differently — for example, where one owner is putting up startup capital and the other is putting in sweat equity. S-corps do not have this flexibility. Owners of an S-corp (also known as shareholders) are required to split the income equally among all of the owners.
Filing Taxes: LLCs with one owner do not have to file separate tax returns for the business. They can typically add a Schedule C to their personal taxes and be done with it. LLCs with more than one owner do have to file separate tax returns, but have the flexibility to file as a partnership or a corporation. S-corps must file information returns every year and their owners have to add a Schedule E to their personal taxes. However, a big tax benefit that S-corps provide is that with the Subchapter S election, you have the option to pay self-employment tax (approximately 15 percent) on only your reasonable salary as the owner, rather than on the entire net revenue of the business. This can result in big tax savings and is a big incentive to go S-corp rather than LLC for some.
Startup and Operation Costs: Maintaining corporate formalities and filing additional tax returns may increase the costs of running an S-corp. However, in several states the filing fees to create an LLC are substantially more than the fees to create an S-corp. In some states, such as New York, LLC owners are required to publish the name of the LLC in two newspapers which can easily cost well over $1,000. Its important to be aware of the filing requirements and associated costs in your state.
Restrictions on Type of Owners: In most states, LLCs may be owned by individuals, corporations, other LLCs and foreign entities. S-corps are not so flexible. S-corp shareholders must be individuals (not partnerships or corporations) who are U.S. citizens or permanent residents. Additionally, an S-corp can have a maximum of 100 shareholders. Certain types of businesses may not be LLCs or S-corps, including banks and insurance companies.
Psychological Effects and Public Perception: People who may be important to your business’ development can have strong opinions about the different business entities. I have heard from bankers and venture capitalists that they are not fond of LLCs and prefer to invest in corporations. I also know lawyers who think the LLC is the best thing since sliced bread. I think that corporations, with all their formalities, can influence the way you treat your business and the level of professionalism that you maintain. Additionally, public perception of an LLC versus an S-corp may be different. Incorporating may show customers, banks and other potential investors that you are serious about growing your business and that you intend to be around for a long time.

These are just some of the various factors to be considered when selecting a business entity. I highly recommend a consultation with both an accountant and a lawyer to determine which entity will fit your business best.

This article was originally featured in YFS Magazine.

Rachel Rodgers is a business lawyer for women and/or young entrepreneurs. She runs her practice, Rachel Rodgers Law Office, entirely online. In addition to practicing law, Rachel blogs about virtual law offices and teaches a popular workshop for women lawyers who want to practice law online through her website, Her Virtual Law Office.

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Disclaimer: This article is a resource guide for educational and informational purposes only and should not take the place of hiring an attorney. No information in this article constitues legal advice or creates an attorney-client relationship between the author and the reader.

Image: YEC

This Twin Cities startup takes photo tagging to a new level.

13 Powerful SEO Tools For Startups

Question: Which SEO tools have been most helpful to your business?

SEOMoz for Everything

“SEOMoz’s suite of products has essentially provided us the value of our own personal SEO consultant. We use their tools track keyword rankings, rate on-page optimization, and track links to our site. They also regularly post great tips on their blog and have a Q and A section. By using their tools, we’ve increased our monthly search traffic 10x in the last year.”

– Bhavin Parikh | CEO, Magoosh Test Prep

Raving About Raven Tools

“I love Raven Tools. It is one of the key reasons why my company’s website ranks either first or second for most keywords related to our niche. Their research analysis and link-building tools allow me to find untapped niches and capitalize on them through effective organization for outreach.”

– Lawrence Watkins | Founder & CEO, Great Black Speakers

Install SEO for Chrome

“SEO for Chrome is the go-to tool that I use. It allows me to easily see Page Rank, backlinks, estimated traffic, and even conduct keyword research for a website, all through my Chrome browser. It’s very important to get backlinks for SEO; I use this Chrome app to determine where I will invest my time to develop links back to my site.”

– Jun Loayza | President, Ecommerce Rules

Scribe for Content

“Scribe is a great tool for SEO-ifying content. We run all of our blog posts through it to make sure that they’re not only educational, but will all be found in the search engines. Right now, we receive more than half of our traffic from relevant Google searches.”

– Laura Roeder | Founder, LKR Social Media

Can’t Go Wrong With Google

“SEO is all about content and links, but equally important are the keywords you choose to target. Don’t assume what your users are searching for. Instead, use Google’s free Keyword Tool to determine monthly search volume for keywords in your industry. Once armed with this data, create content and obtain links targeting these keywords and watch your SEO traffic soar.”

– Warren Jolly | Co-founder, Affiliate Marketing

Two Birds With One Stone

“YouTube has helped me rank high on certain Google keywords. Not only is it the second highest search engine ever, but it also helps my audience see me and my photography in a more personal setting.”

– Angela Pan | Owner/Photographer, Angela B Pan Photography

Join the Fight With Market Samurai

“Ever since I started doing SEO years ago, Market Samurai has been the backbone of my keyword research and analysis process. It is much easier to use than Google’s Keyword Tool and less expensive than other products on the market.”

– Sean Ogle | Founder, Location 180, LLC

Open Up Open Site Explorer

“Information is key in improving your SEO efforts; if you don’t know where your inbound links are coming from and what keywords are providing the biggest boost to your search efforts, you can’t work to improve them. Open Site Explorer lets us check which inbound links are giving us the best SEO benefits, perform competitive research, and check backlinks and anchor text almost effortlessly.”

– Lauren Fairbanks | Partner, Stunt & Gimmick’s

Go Real-Time on Rank Checker

“I’ve been using Rank Checker, the simple browser plugin for over three years now and haven’t had a need for much else. It’s free and you can download and set it up in a few minutes. You can create multiple website profiles that you want to track keyword SERPs for. It’s super simple and it gives you the most up-to-date results each time you run it. You can also schedule it to run automatically.”

– Matthew Ackerson | Founder, Saber Blast

Wordtracker Cuts Out Extra Work

“When it comes to researching which keywords are the most searched for, and how much competition they have, Wordtracker is the way to go. You can find out how many clicks you’d likely get if you got to the front page of Google, and whether it’s worth targeting this keyword or not.”

– Nathalie Lussier | Creator, The Website Checkup Tool

Add Platinum SEO to WordPress

“Many of my sites run on WordPress so I use WordPress plugins on them. The best one of these plugins for SEO is definitely Platinum SEO.”

– Ben Lang | Founder, Mapped In Israel

Site Strength Indicator Delivers Results

“Site Strength Indicator from SearchEngineNews has been incredibly helpful, as it provides a very detailed breakdown of the most important SEO factors and how your site rates for them”

– Nicolas Gremion | CEO, Free-eBooks.net

Forget SEO and Hit the Books

“The best SEO tool I’ve ever encountered is The Purple Cow, a book by Seth Godin. This book makes the case that investing your resources into developing an amazing and viral product is better than any marketing or SEO campaigns. Instead of gaming SEO, focus on building a product that goes viral.”

– Eric Bahn | Founder, Beat The GMAT

Now read: 4 Startup Lessons You Won’t Learn In Business School

Image: TopSEOPicks.com

Can You Really Make Money Doing What You Love?

Recently, author Daniel DiPiazza wrote “An Open Letter to Frustrated 20 Somethings” on Under30CEO.com. It blew up. Daniel’s premise: If it were up to him, why would he make a “job” or “work” the center of his life? When someone asks him “what he does”, why should he have to respond and narrowly define himself by the skills he uses to make money?

I’d spend my life traveling, learning languages, practicing martial arts, reading, programming, eating good food and (eventually) raising smart, open-eyed children.

Touché Daniel, and I agree: there is a better way. Now let me break it down for those on a quest to “do what you love” from someone who’s been through all the ups and downs already.

How We Did It

I graduated from Bryant University having built what the Collegiate Entrepreneurs’ Organization named the best chapter in the world, four out of five years. I was leading a team of 150 smart, young, innovative, passionate people. No way I was getting a “real” job after that.

So upon graduation, I pass up job offers galore to “start my empire” from my mom’s basement outside of Poughkeepsie. Pitching VCs, writing business plans, sending money to India for web development — and still without a clue about how to actually make money from my lawnchair. I call Jared O’Toole to drink some beers on the front porch and we realize there have to be lots of other young people trying to start businesses just like us. We co-found Under30CEO.com.

With no revenue in sight, it’s now the dead of winter, and Poughkeepsie is getting depressing. Then the global financial crisis hits, and we’re really screwed. My mom comes to me shortly after Christmas to tell me that we will be losing our house. The home I grew up in.

Lesson 1: At least be able to tell your mom how your business plans to make money.

Suddenly, I question those $65k+ salaries I turned down. But it’s time to hustle. I accept the first job I can find on Craigslist, a position for a driver, and show up at 6 a.m. Wheeling and dealing can’t be so bad, I think to myself. It’ll be my mobile office…

Wrong. I show up and am given the keys to a dump truck. With an 18-foot trailer. I guess it’s time to learn to drive a dump truck.

I get us to the job site, where I’m quickly informed that the crew of laborers I’m driving around aren’t going to appreciate it if I sit in the truck. Time to dig ditches 12 hours a day for the next six months.

Lesson 2: When you put your back against the wall, you make things happen.

Sure, I could have let go my entrepreneurial dreams and gotten a cushy desk job. But instead, I put myself in the most uncomfortable situation possible. Digging ditches with guys who could work me under the table, and then going home to moonlight Under30CEO until 2 a.m., was absolutely miserable. I was making $15/hour, living in a tiny apartment with my mom. I love you, Mom, but that’s not exactly what I thought my “empire” would entail.

But these early days are what make or break most entrepreneurs. If you can get through this part and still believe in what you’re doing, you can survive.

Lesson 3: Test everything.

We try everything we can think of on Under30CEO.com. We don’t talk about it much today, but Under30CEO was once a Ustream show, then a Ning Network, a Meetup, and a membership site; we’ve offered daily deals, affiliate offers, consulted startups, hosted workshops on social media, done dealflow for VCs — you name it, we’ve tested it.

It’s the smartest thing we’ve ever done. Make little tests, and if they make money, run with them. If not, see ya later!

Lesson 4: You don’t test stuff very long when you’re broke.

While throwing stuff against the wall and seeing what sticks is great, when you’re bootstrapping on a ditch-digger’s wage, you don’t have the money or the patience to test things for very long. You’re trying to get cash-flow positive as fast as possible. Any of the business models listed above are solid ideas and could be turned into million-dollar businesses. Looking back at it, it was probably our biggest curse too. We were looking to get hit the jackpot, and we were quick to give up. Young and impatient? Yes… But also smart. Here’s why:

Lesson 5: Never do anything you are going to hate.

Call me a pretentious, formerly-frustrated 20-something, but we always stuck to our core value of doing something we loved. We loved being in the business of inspiring young entrepreneurs. Many of those other business models were not that, and we knew we would eventually grow to hate them. We listened to our gut, and as corny as it sounds, we followed our dream.

But don’t think for a moment that it was easy.

Guts, grit, determination, yeah, all of that, and then some. Following your dream is much harder than anyone will ever tell you. But is it worth it? Absolutely.

Now we’re officially spinning off a new company, based on something we’re even more insanely passionate and excited about: A travel company for ambitious young professionals. The best part? I got to spend seven months around the world, working from this very laptop, plotting world domination.

No wait, ACTUALLY, the best part is that this travel company is designed to be the launching pad for young people who want to see the world, and go out and do big things. This isn’t a course and there is no curriculum. We simply curate experiences in places like Costa Rica and Nicaragua with other amazing people and inspire the creative environment to let you guys figure out your next big moves.

To return to the “open letter” that inspired this post, yes Daniel, you’re spot on. It is possible to make money doing what you love. It’s just not easy. But when it helps other people figure out their dreams? Then it’s game on.

A version of this post originally appeared on the author’s website.

Matt Wilson is the Co-founder of Under30CEO and Adventurer in Residence at Under30Experiences. To win a free trip to Costa Rica from Under30Experiences, sign up to win today.

Check out the 12 Hardest Questions Venture Capitalists Will Ask You.