Derek Flanzraich, 7 Lessons From My First Year as an Entrepreneur

Derek Flanzraich is a keynote speaker at Everywhere Else Cincinnati, September 29-October 1st (tickets available here). Derek originally published this piece in July of 2012 in conjunction with the Young Entrepreneur Council.

A year ago, I started Greatist with no real clue what I was doing. We’re now the fastest-growing health and fitness site on the Web, so a lot has gone right. But a lot has als0 gone wrong. A year ago, I’d never really hired someone. Never really fired someone. Never incorporated a company in Delaware. Never spent days accounting in Excel, signed an office lease, paid the IRS, saved a crashing website, negotiated with a potential acquirer, or been responsible for six people’s paychecks. But those things could always have been figured out.

The biggest challenges, instead, have been personal, and on that level, it’s never been harder. I’ve never been so busy, so behind, so unsatisfied with how much I can accomplish with the mere 24 hours in each day. At the same time, I’ve never been happier. I’ve never been more optimistic, more excited for what can be achieved, more able to genuinely say I love every second of what I’m doing. Now I can.

Here are 7 lessons I’ve learned this past year of being an entrepreneur:

Starting something for the first time is really, really hard. Imagine the hardest thing you’ve ever worked on. Now imagine that thing is the most important thing you’ve ever done. Then imagine you have no idea what you’re doing. Most startups are different, and most founder motivations and ambitions unique – but no matter what it is, if you think it’s going to be easy, you’re wrong. This experience has been way harder than anything I’ve ever been challenged with. I love that challenge. A startup is a to-do list with infinite scroll. It’s true that it’s never been easier to start a startup, but that doesn’t mean that starting a startup is remotely easy.
Sometimes you just have to make mistakes for yourself. There’s an unbelievable amount of brilliant, experienced entrepreneurs/investors/male models regularly sharing advice on the web (Vin Vacanti, Fred Wilson, Mark Cuban, Chris Dixon, Ben Horowitz, Albert Wenger, Rob Go, Bijan Sabet, Brad Feld, Jason Goldberg, just to name a few of my favorites). Those + Quora can answer nearly any question. But you’re going to mess up anyway. I recognized that it was likely I’d make a lot of mistakes, but I’ve realized I had to make an awful lot of them for myself. Example: knowing that you should fire someone who isn’t working out because they’re hurting the team’s culture quickly is much easier than actually fully realizing that’s what’s happening and then acting on it. I knew, but I didn’t really know until I felt the taste of mistake in my mouth. And it tastes salty.
Asking others for help and meaning it is important. I’m the worst at asking for help, but I’m getting better. Entrepreneurs are, by nature, usually confident, positive and optimistic, but if success in startups is the outcome of a million random factors, inspiring help from others is among the most important. Asking for help is humbling, but the minute you genuinely eat your pride, tell it like it is, and share what you need is the minute things can change. If what you’ve built is truly meaningful and impressive, let your guard down. Share your hardest challenges, biggest worries and scariest fears, and people will help if they can.
Surround yourself with friends who will remind you you’re awesome when you need it, and call you out when it’s time. In my experience, entrepreneurship is sort of like a see-saw: sometimes it seems like everything is falling apart and, at others, that huge thing you’ve been working to achieve may actually be possible. Friends can be an escape, sure (and you need escapes, big time), but they can also be the external support you need most. It’s hard to keep up with friends regularly when you’re starting a company, but each time I do, I’ve been working increasingly hard to allow them to push me in the way I personally need pushing (and, by the way, try to do the same right back!).
Sharing what you’ve learned with others can pay back in a million different ways. With Greatist, I’ve found putting the time into teaching others has paid me back many times over. I started a class with Skillshare mostly because two awesome buddies, Peter Boyce and Scott Britton, asked me to. I taught How to Grow from 0 to 250,000 Organic Uniques in Under 6 Months with no expectations… and have since taught a few more. Each time I’ve been shocked by how much I’ve learned, from the people who take the class and those who follow up afterwards. I’ve made great friends, started major brand partnerships, been introduced to some remarkable people, and brainstormed amazing ideas with others because of them.
Schedule in specific time to think and be creative. Emails, meetings, sleep, repeat… and suddenly a week has gone by without time to think. This might sound a little silly, but put time blocks into your calendar to just think. I’ve literally just started scheduling “thinking time” on my calendar at regular intervals, and beg everyone on my team to do the same. Also, a lot of my most creative ideas come from doing, seeing, experiencing something else entirely. Some of my best ideas have come from seeing a random movie, attending a jazz concert, or taking the time to explore somewhere new.
The only way to build something different is to do things differently. A good friend, Runkeeper’s Jason Jacobs, said in an interview once: “We have no exit strategy, we have longtime horizons. We are digging our heels in and we are going to slog through this over a long period of time.” I’ve noticed it’s increasingly easy for people in the startup community to become swept up in, “That’s just what everyone else is doing.” It obviously makes some sense to do what others have done to fit how everyone else defines success, but I’m learning that success, to me, is different. I’m getting better and better at realizing that to achieve something different, we need to do different things.

Derek Flanzraich is the founder and CEO of Greatist, a health and fitness media startup on a mission to make better choices easier for everyone. Also a fan of theme parks and theme bars.

The Young Entrepreneur Council (YEC) is an invite-only nonprofit organization comprised of the world’s most promising young entrepreneurs. The YEC recently published #FixYoungAmerica: How to Rebuild Our Economy and Put Young Americans Back to Work (for Good), a book of 30+ proven solutions to help end youth unemployment.

12 Personal Budgeting Tips Now That You’re Running A Startup

Question: What’s ONE practical way to adjust your personal budget when preparing to start a business, and why?

Sorry, Starbucks

“I love my Starbucks (maybe too much), but it’s significantly cheaper to purchase coffee in bulk, buy a simple machine and make it yourself, rather than spending more than two dollars every morning for the same thing. Plus, if you really get into the routine, it can become the perfect morning meditation and start every day right.”

– Derek Flanzraich | CEO and Founder, Greatist

Don’t Resort to Walmart

“Instead, start buying from other small businesses! Whatever you need, I guarantee you that another small business owner like the future-you is trying to make money doing what they love. Give them a shot. Not only will you save big, but helping small businesses grow will mean more revenue for your business, which in turn translates into less budget cuts for you. Scratch my back, I’ll scratch yours.”

– Carissa Reiniger | Founder and CEO, Silver Lining Ltd.

Cancel Your Cable

“Cancel your Cable TV subscription to save an easy $600 per year. You won’t have time to watch TV anyway, and if you do need downtime, pick up a business magazine or a book instead. The Innovator’s Dilemma, Great By Choice, and The Personal MBA are all great reads.”

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

Do Your Own Nails

“…or other beauty treatments. It’s important to look nice as a founder of a company, but when I looked at what I was spending on manicures and other beauty treatments every month, I realized that this was money my company would need. As a bonus, I can read business blogs while my nails dry!”

– Caitlin McCabe | Founder & CEO, Real Bullets Branding

Cook for Yourself!

“Whether it’s lunch or dinner out, you’re spending massive amounts of money every day to have someone else prepare your meals. If you’re in a city like NYC, SF or Boston, lunch can easily cost you $10 a day and dinner is $15-$20. Packing a lunch for a week can easily be done for $10, if you don’t mind sandwiches, and you can make a great dinner for $5 a day. The savings add up fast.”

– Jason Evanish | co-founder, Greenhorn Connect

Nix the Subscriptions

“Examined your budget and cut out needless subscriptions. If you are serious about reducing your spending, look at cutting out common subscriptions like Netflix, unused gym memberships, online memberships, cable TV, cleaning service, magazines and more. Subscriptions surprisingly sneak up on you, so cutting out the unused ones can save you a pretty penny.”

– Nick Reese | CEO, Elite Health Blends

Downsize Your Home

“If you don’t have a family and can live with roommates, it’s worth considering to save a huge amount of money every month. If you can live with your parents an extra year out of school to start a business, that’s awesome too. Housing is the biggest monthly expense for most people, so any way you can cut that down to as little as possible will help you tremendously cut your expenses.”

– Natalie MacNeil | Emmy Award Winning Media Entrepreneur, She Takes on the World

Hire an Accountant

“Many first-time entrepreneurs think that accountants are only for their business, and they’re only half right. An accountant can be an extremely valuable asset when it comes time to file your personal taxes. With so many different deductions, credits, etc., having an experienced accountant on your side can mean the difference between eating Ramen or steak with your refund.”

– Derek Johnson | CEO/Founder, Tatango

Ditch the Office Space

“When you start your business, company and personal expenses tend to be malleable. As much as possible, integrate your personal life with your business. Block off part of your apartment or home for a formal office space to save rent and claim the tax deduction! Similarly, eat at home often, but make sure to have business meetings over coffee or lunch.”

– Aaron Schwartz | Founder and CEO, Modify Watches

Get Rid of Your Car

“Depending on where you live, you might rely on your car to get around. Alleviate yourself from that hefty car payment and walk more, ride a bicycle to save the environment, or carpool with your friends and families. The truth is, you shouldn’t be leaving the house/office that much anyway while you’re launching your business.”

– Logan Lenz | Founder / President, Endagon

Eliminate That Debt

“Not having personal debt will reduce your financial pressure as you’re building your business. Try to pay it off as much as possible so it’s not weighing you down or stressing you out.”

– Elizabeth Saunders | Founder & CEO, Real Life E®

Get Real About Your Spending

“Before you can begin to adjust your personal budget, you need to get real with yourself. Most people overspend or spend in areas that could easily be cut back, especially in times of need. I recommend that people go to Mint http://www.mint.com and configure their accounts so they can see where their money is going. Getting a good look at what’s happening will allow you to then make good decisions.”

– Erin Blaskie | CEO, Erin Blaskie, Digital Strategist

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 I Turned My Personal Challenges Into Startup Success

You are not stuck in life. No matter what barriers you face, if you can see your future, you can take action to get there. I know…because I may be the world’s least likely businessman.

I can’t read. That might seem like a pretty big barrier. I’m not saying it wasn’t. I had a lot of challenges in school. I felt dumb. I knew I wasn’t picking up things as easily as other students. Lucky for me, an art class changed the way I saw myself and the way I saw my future.

Finding a Different Way

The summer I was 10 years old, I broke my arm, right at the beginning of a summer school art class. I was disappointed: I was looking forward to the intensive class, where we made art for hours a day. I went to my teacher and showed her my cast, which covered my right hand and gave me no way to pick up a pencil or paintbrush. I told her I’d like to sit in on the class, even if I couldn’t participate.

“What do you mean?” she said. “Don’t you think people with disabilities make art?”

“No, probably not,” I said, “Not if they can’t use their hands.”

So she told me about artists with disabilities — how they created art with paintbrushes held in their mouths or strapped to their wheelchairs. I spent the rest of the summer making art, drawing with a magic marker held in my mouth and painting with my feet. I learned a key lesson: if a broken arm wasn’t going to stop me, then dyslexia shouldn’t stop me, either. I just had to find a different way to do what I wanted to do.

It wasn’t easy. I didn’t really recognize that I was smart, truly smart, until the end of high school. And it was even later that I realized that even though my dyslexia could be a barrier, the ways I dealt with it became part of the reason for my success.

Barriers or Benefits?

I embraced technology at an early age, since I used technology to “read” and to play. My dad had one of the earliest computers. It had one simple video game, which I loved. He wrote down the DOS commands so that I could play it, and I became one of youngest DOS users around. Since I became tech savvy early on, I’m extremely comfortable with new technology and quick to adopt it.

I also listen well. Not only am I an avid reader of audio books, but I really listen to people. After a meeting, I often remember key points much better than my colleagues. I don’t have to go back and look at my notes, because I don’t have any. I have to listen and remember.

Dyslexia also helped me become a salesman. In school, I had to sell the teachers on how clever I was, so that they understood I was trying and would cut me some slack if I needed to write something.

I learned to ask for help, too. Since I couldn’t write, I needed to dictate. I had to learn to get what I needed from other people. I think that gave me a big advantage, since that‘s where a lot of other entrepreneurs fall down. They try to do everything themselves. Me? I ask for help when I need it.

The Art of Starting Up: 3 Tips

I think I gravitated toward art in part because of my dyslexia. As an artist, I wouldn’t be judged by my reading skills. After receiving my MFA in sculpture, I became a working artist, and learned some of my first lessons in business, like:

Push yourself to be creative. Different is good in a crowded marketplace.
Brand yourself. Don’t just be different. let the world know that you are unique and valuable.
Manage your own budget. An obvious but important lesson, especially for artist.

Being an artist also taught me to value my independence. I liked relying on myself, rather than depending on an employer, which eventually gave me the confidence to start my own business. I didn’t have to leave a 9-5 job. I didn’t have to give up my art. I just needed to shift around time and priorities.

I went on to start a Web-based company, and then built on its success with another one. Now, I’m the CEO of Globe Runner SEO, a Dallas-based firm offering comprehensive search engine optimization, search marketing, and social media campaigns. I’m proud to say that, in spite of the economic turndown, Globe Runner grew exponentially during the last few years, and was recently recognized as one of the Top 100 SEO Companies (#36) by SERP.com.

An unlikely success story, right? Maybe not. The one big challenge in my life, my dyslexia, has helped me acquire every skill that has made me successful.

So take another look at the barriers in your life. How can you address them? How can you do things differently? Paint with your feet, in a manner of speaking. Do what it takes to reach your vision of the future. You may find that the skills you learn along the way will lead you to success.

Eric McGehearty is the CEO of Globe Runner SEO, a top-performing, SEO and digital marketing firm. Eric, who received his master’s degree from UNT, is also the founder of BabySafeTravel.com, a advisor to non-profits, an advocate for people with learning disabilities, and an award-winning sculptor. Though Eric has achieved success in many fields, the role he cherishes most is that of husband and father to his wife and four children.

12 Sources For Practical Business Advice For Your Startup

Question: As a young entrepreneur, what’s your #1 source of practical business advice and why?

Ask Experienced Businesspeople

“Although there are countless pieces of valuable advice that can be found both online and in books, nothing beats getting insight from people in your network. Consulting individuals that have long and diverse careers in the businesses world enables you to get personalized and customized advice from a demographic that has both talked the talk and walked the walk.”

– John Berkowitz | Co-Founder & Vice President of National Sales, Yodle

Read the Best Books

“Blogs and social media are awesome, but there’s something really special that happens when you read a book that essentially condenses twenty years of experience from an author. You get to learn from their mistakes, and it also teaches you to apply their ideas in our modern world so you can hone your creative thinking skills too.”

– Nathalie Lussier | Creator, The Website Checkup Tool

Ask Your Customers

“Business advice is a dime a dozen. The easiest way to know what the right thing to do is to listen to what your customers want and help them achieve their goals.”

– Wade Foster | Co-founder, Zapier

Pool From Fellow Entrepreneurs

“Reading a ton of books can only get you so far when you’re trying to build a business from scratch. The great thing about entrepreneurship is that most are willing to share their tips with you. Listen to them, because they have been in your shoes and don’t want you to make the same mistake. Take your ego and pride out of it and listen to them. They may point out something you never thought about.”

– Ashley Bodi | co-founder, Business Beware

Learn From Trial and Error

“The business I’ve built isn’t exactly like anyone else’s. That means that one of the best options I have is to actually try everything I can. I’ll try out something I read on a blog, a tip from an older entrepreneur — anything that comes along.”

– Thursday Bram | Consultant, Hyper Modern Consulting

Go for Google

“Practically anything and everything you would ever want to find today, you can find on Google. It never ceases to amaze me when I have questions on anything and type it into Google, I always find an answer. And many times, there will be a video that will come up and explain something to me or I can listen in to a guru talk about something.”

– Louis Lautman | Founder, Supreme Outsourcing

Take to Twitter

“I’ve found the ability to follow some of the absolute best minds in business, technology, and leadership on Twitter unlocks a wealth of advice and knowledge — though, now the only problem is giving the best tweets the attention they deserve. We’re lucky to live in a time when we can connect directly with people we’ve never been able to access before.”

– Derek Flanzraich | CEO and Founder, Greatist

Make Use of Mentors

“I always try to find a mentor in a specific, key area in which I am trying to gain advice for. My father always taught me from an early age: “Life is a minefield — why walk through it yourself when you can seek out and follow the footsteps from someone who has already navigated the minefield successfully?” I’ve used this technique many times.”

– Warren Jolly | Co-founder, Affiliate Marketing

Don’t Fear Failure

“Almost every piece of practical advice I’ve learned have come from various failures. When you know what you did wrong, it shows you how to improve and succeed the next time.”

– Ben Lang | Founder, Mapped In Israel

Consult Mixergy for Advice

“The interviews by Andrew Warner of Mixergy are some of the most inspiring and informative videos on the web. Andrew has a knack of getting to the core of a founder’s thought process and extracting valuable nuggets of wisdom from them. I definitely recommend that everyone subscribe to Mixergy or watch the videos for free in the week that they are released.”

– Lawrence Watkins | Founder & CEO, Great Black Speakers

This Week In Startups

“Twice a week, I tune into This Week In Startups, hosted by Jason Calacanis. His show is full of direct, honest and real entrepreneurial business advice from not only himself, but his amazing co-hosts and guests. ”

– Derek Johnson | CEO/Founder, Tatango

Read Peter Drucker for Leadership

“Being a leader is tough, and every entrepreneur has to find her or his own path. But there’s is no excuse for not working on being a great manager. Learn how to set goals with your team; stay on top of tasks; and execute on a daily basis. Read Peter Drucker and learn from the best.”

– Aaron Schwartz | Founder and CEO, Modify Watches

How A Movie Can Change The Way You Run Your Startup

The best advice you’ll ever get as an entrepreneur can come from anywhere. It may have come from your parents or a mentor, a book or a billboard — even a movie. You’re not always sure why, but something in what you hear changes the way you think.

For me, this happened while watching the movie “Jerry Maguire” (yes, that Jerry Maguire!). If you’ve seen the movie, you’ll remember Jerry’s mentor, the late, great Dicky Fox. Although Dicky Fox had limited screen time, his scenes have stuck with me. Before ShadesDaddy.com was founded, my friends and family always thought it was funny (but still admirable) how many businesses I had tried to start but failed. Failure ultimately has been my best teacher and continues to be.

Maybe that’s why, in both my personal and professional life, I find myself thinking back to “Jerry Maguire.” Admittedly, it’s a little embarrassing that some of my guiding principles come from the movie with the immortalized “You complete me” scene, but what can I say? Dicky Fox taught me a thing or two.

“The key to this business is personal relationships.” You’ve heard the saying, “It’s not what you know, it’s who you know.” I heard that a lot in my years, and it really resonated when I started seeing the value of one’s network in working with vendors. Building personal relationships has been an integral part of growing my business to date.
“Roll with the punches. Tomorrow is another day.” Anyone who ever started a business or runs one knows there are days when when it rains, and then there are days when it pours. There will always be dilemmas — but thankfully, there is always tomorrow to find the solution for them. I’ve had to overcome problems that could have easily taken me out of business time and time again, but I always knew I had another day to fight.
“If [the heart] is empty, [the head] doesn’t matter.” We all have personal problems, and those problems can easily interfere with our work. Some of my better, most thriving moments professionally came when I was very happy personally with my relationships and my family life. However, there were also periods when my personal life wasn’t going so well, and I was fueled to work harder professionally as a result. All in all, I’ve learned that when I’ve been happiest personally, I’ve been able to better focus on my business.

I’d like to end with one last piece of Dicky Fox advice: “I love getting up in the mornings, I clap my hands and say, ‘This is going to be a great day!’” Seriously, do this. CLAP your hands in the morning, and say that quote out loud. In the last few years, starting off my day with positivity is a routine I’ve diligently applied. Love what you do from the beginning of your day to the end. If you put good energy and hard work out there in the universe, it will happen.

As Dicky says at the film’s end, “I don’t have all the answers. In life, to be honest, I have failed as much as I have succeeded. But I love my wife. I love my life. And I wish you my kind of success.”

Pablo Palatnik is the founder and CEO of ShadesDaddy.com, one of the largest online retailers of sunglasses in the world.

This is the must attend startup conference of 2013.

3 Important Lessons From Our First Major Pivot

A few months ago, one of my mentors told me, “Change is easy, but pivots are painful.”

I understood all too well what he meant, since my company, Zealyst, was in the middle of our first true pivot. We’d just signed a major enterprise client, one year after launching as a consumer-focused business, and we were scrambling to figure out the new business model.

Change is constant in a startup: every day there are new ideas, new opportunities, and new hurdles, which is part of the thrill. Pivots, however, are deep, long-term changes that fundamentally alter your course and shift your company’s identity.

The pain of that pivot has decreased and we’ve come out the other side wiser and stronger, but my mentor’s words have stayed with me. I reflected on the stages of our pivot and distilled the challenges we encountered along the way into three main lessons.

Listen to opportunity.
I joked with a colleague recently that our pivot began when opportunity knocked, but it had to knock again…and again…before we really listened. Shortly after launching Zealyst to a small pilot group of consumers, a business approached us about providing the service to their clients. We agreed to work with them out of curiosity, but considered it an experiment rather than a direction change. We had a few contracts come our way through referrals, which we continued to handle in a similar manner. It wasn’t until a Fortune 100 company asked us to host an employee engagement event that we finally realized we needed to change our focus and pursue enterprise opportunities instead of expanding to new consumer markets.
Maintain a connection to your core.
My co-founder and I initially resisted the enterprise direction because we thought it strayed too far from our original vision. We started Zealyst to help people build meaningful new connections and ultimately create stronger social networks. We were concerned that taking our model into the corporate world would dilute the impact and lessen the satisfaction we derived from our work. However, after a series of client engagements, we found that the work we did to heighten employee engagement, improve retention and foster innovation was just as gratifying as the work we did for consumers. People spend a major portion of their lives at work, so helping people feel more connected to their workplace has proven to be a very rewarding challenge. Additionally, we discovered that working on specific client objectives, such as connecting people across regional boundaries or across management levels, actually improved our design process.
Communicate clearly with stakeholders.
One of the things that kept me up at night during our pivot was how we were going to tell our loyal group of early adopters about the change. Initially, we were not sure if we would have to scrap the consumer arm of Zealyst entirely, which felt like a betrayal of the people who supported us from the beginning. I consulted all of our key advisors about the best way to move forward, and we eventually came up with a strategy to maintain a small consumer division for research and marketing. After we integrated the consumer activities into the new business model, we worked closely as a team to craft a clear message about the change to all our key stakeholders: investors, advisors and our existing customers. I was nervous about how the announcement would be received, and pleasantly surprised to be met with resounding support across the board. It was a humbling reminder of the importance of transparency — and further reinforcement that we’d made the right decision.

The pain in our pivot came from having to re-calibrate our vision and change the expectations we had in the early days for what the company would become. It was challenging to let go of the plan and wrap our minds around a new course, but opening up and altering directions has allowed us to become a more resilient company than we could have imagined at the beginning of this adventure.

Martina Welke is the CEO and Co-founder of Zealyst, a curated networking service based in Seattle, Washington. Zealyst utilizes smart technology and creative design to build unique events. Zealyst software uses registration data to match attendees according to their interests, and customized social games make it easy to make new professional and personal connections at events.

Wait, is your startup registered for this?

Do Entrepreneurs Ever Get a Vacation From Email?

Question: Work email on vacation: do you do it? When is it time to tune out?

Guilty As Charged!

“I never turn off my email. I may not be answering all of the emails that come in, but I am constantly scanning to make sure that the business isn’t on fire. I think it’s difficult to turn it off completely, especially if you are a solopreneur, even though there is great value in doing so. It is appropriate to tune it out if you are with family or friends though — give them attention too!”

– Erin Blaskie | CEO, Erin Blaskie, Digital Strategist

Admittedly Always On

“For entrepreneurs, “work-life balance” is more like “work-life blend.” When you need to recharge, you can take a break whenever it fits into your schedule; vacation doesn’t have to happen around prescribed times. Because of the reality of intermittent breaks, it’s never convenient to entirely tune out and switch off. You might set an away message, but it’s better to stay on top than fall behind.”

– Doreen Bloch | CEO / Founder, Poshly Inc.

Vacation Responder Is Key

“I go email-less at least one day per week, usually on the weekend. So when it’s time for a real email-free vacation, it’s important to have an away message and to give people who might have an emergency a way to contact you, but chances are their emergencies aren’t actual emergencies and can wait till you get back to your inbox.”

– Nathalie Lussier | Creator, The Website Checkup Tool

Regular Checks Necessary

“I try to only check emails at certain times of the day when I’m on vacation. It’s not very realistic for entrepreneurs to completely log off for long periods of time, but you can limit it to first thing in the morning and once in the afternoon. If it bothers you to not check it, just check it quickly and get on with your vacation!”

– Caitlin McCabe | Founder & CEO, Real Bullets Branding

Sorry, Entrepreneurs

“Whether you like it or not, if you are a founder, you should also serve as a customer service representative for your company. Customer service is a 24/7 job, and keeping your clients happy is a must. Email doesn’t have to take much time out of your vacation (an hour or two per day maximum). You should never ignore it completely.”

– Eric Bahn | Co-Founder, Hustle Con Media

Hire Someone for That!

“Email and vacation don’t belong in the same sentence. Working during your vacation is distracting and will prevent from getting that R&R your body needs. The best way to get the best of both worlds is to let someone who is very trustworthy read your emails once per day. Ask them to call you if something is extremely urgent. That will give you peace of mind since you’ll know everything is in order.”

– Christian Springub | CEO and co-founder, Jimdo

Live Your Vacation

“I decided to live my vacation, but building my business so I am actually on vacation all the time. Part of that is checking emails and allotting time to make phone calls and things, but I built my business so I can travel the world and explore fun new places while hanging out with cool people, rather than taking a vacation and trying to get your balance in for a week. Balance your life daily.”

– Louis Lautman | Founder, Supreme Outsourcing

Yes, With a Caveat

“When I’m truly on vacation, I’ll check email, but only for absolutely essential emails. I only answer emails if someone bought a product and it wasn’t delivered, or if my site is down for some reason. Just essential customer service and catastrophic tech issues. That’s it. Everything else can wait.”

– Sean Ogle | Founder, Location 180, LLC

Leaving Is Not an Option

“It’s truly not an option to avoid checking your email if you are a startup company founder. It’s your job to serve your customers and fellow team members whenever needed, even if you’re lounging with a cocktail on the beach. The key is utilize parameters and have enough discipline to not be constantly checking your email throughout the day as you would at the office. Once or twice a day is okay.”

– Warren Jolly | Co-founder, Affiliate Marketing

Compartmentalize Your Life

“Of course I check work email on vacation — damn near impossible to fully disconnect! But I’m working on getting better at compartmentalizing work time while on vacation by dedicating up to an hour in the mornings to read and respond to the critical things. Then I shut off for the rest of the day and get something out of the vacation.”

– Brooks Kincaid | Co-founder and Head of Business, Imprint Energy

It’s Part of the Job

“Answering email on vacation is one of the sacrifices entrepreneurs have to make. After all, no one is responsible for making sure the company doesn’t implode but you. Hopefully, after a few years of blood, sweat and tears, you can take a breather. But as a founder you will most likely always be heavily involved in your business operations.”

– Alexandra Levit | President and Founder, Inspiration at Work

Entrepreneurial Escape

“When I’m lucky enough to escape for a few days, I usually set aside an hour in the morning that I designate to answering emails, connecting with clients and employees, and taking care of anything else that arises. Once that hour is over, the phone is off, the laptop is closed and the only thing on my iPad is Pandora for the rest of the day!”

– Kevin Tighe II | Co-founder and CEO, WeBRAND

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.

image: vacation

How to Create a Minimum Viable Product

There are only a handful of scenarios in the history of the U.S. that truly changed the way capital works: the Great Depression, Savings and Loan Crisis in the ’80s, and the most recent Great Recession, to name a few. The latest financial catastrophe has reminded the world that you cannot throw your cash into a hole and expect a money tree to grow.

More to the point, startup founders can no longer take an unproven idea and expect investors to line up with hundreds of thousands of dollars worth of offers to help build something testable. You must be more proactive.

What’s beautiful about this so-called “problem” is that technology has advanced to a stage that allows us to create functional products we can prove and test before we go and seek substantial funding for our ideas. One of the most important principles in startups today revolves around the idea of a Minimum Viable Product, or MVP. An MVP is the absolute bare minimum service or product that will allow you to get users, buyers, clients, etc. to see how they interact with your main idea. The goal is to spend as little as humanly possible in order to begin getting user feedback (which may not come directly from the user, but from an embedded ‘analytic’ function) so that you can iterate or change your product/process as needed to make it better. A great book titled “The Lean Startup” by Eric Ries is a must-read regarding the basics of the MVP.

For example, when we initially came up with the idea for BottleCamo, we needed to prove the basic concept worked first. So we made an extremely inexpensive prototype by using a hacksaw to cut a stainless water bottle in half in the garage, then stuffed it with neoprene. That was our MVP. It proved to be a lot more successful than we had originally intended.

Numerous resources exist to help you with your MVP. For example, if you intend to create a mobile app, try POP: Prototyping on Paper. POP will allow you to manually draw out your vision, with pen and paper, then upload images of the drawings and add functional buttons that link to other pages and features. In a very simple few steps, you can create the basic look and feel of your app as you click through to various pages and interfaces. With the back-end skeleton framework complete, you will be much more able to program the front end of your MVP vision.

Not building an app? Not to worry. As you decide upon the service or product that you intend to create for the problem you intend to solve, visualize all of the wonderful things you want this new company to do — and then throw them out the window. Start with one basic principle or functionality that is the foundation of the solution. When you’ve devised your principle, you can easily and inexpensively purchase a domain, quickly put up a website or landing page through WordPress, insert an analytic function in your site through Google Analytics and use Google AdWords to test keywords. This may seem complicated, but it’s not. (Tip: Just go to YouTube for detailed instructions on any of these steps.)

This will allow you to list an ad through Google and very inexpensively, see how many people are clicking on your ad and ending up at your website. This is the first step to proving your basic concept. Once you get past the initial steps, one of the best ways to truly test your model and message is through a crowdfunding platform like Fundable.com. This will give you the opportunity to pre-sell product to your early adopters.

After you have launched your MVP and have collected some early users and data, you can use that extremely valuable information to seek funding or take other next steps necessary to grow.

Congratulations — you’ve now mitigated at least some of the risk to potential investors and proven the basics of your business model.

A version of this article originally appeared on the author’s blog.

Adam Callinan is the Co-Founder/Co-CEO of BottleCamo, the simple yet practical solution to the warm beer and broken bottle epidemics that have plagued the world for centuries. Adam is also the Founder/CEO of PiCK Ventures, Inc., the parent company of PiCK, a mobile wine technology company. Adam and his wife Katie live in Manhattan Beach, California. Follow Adam on Twitter @Adam_Callinan & @BottleCamo

Do You Look At Employees’ Social Media Accounts

Question: As CEO, be honest — do you look at potential employees’ social media accounts? If yes, what is it you expect to see from someone you WOULD hire (vs. wouldn’t)?

Positive and Professional

“Whenever we are vetting new team members, we tend to do a little Internet sleuthing to find out more about the person. Social media accounts are a huge part of that. We will look at Twitter and Facebook accounts to get a feel for their communication style and attitude. A positive attitude and professional communication give us confidence that their interaction with clients will be the same.”

– Erin Blaskie | CEO, Erin Blaskie, Digital Strategist

Part of the Application

“I ask for links to all social media accounts right on the job application, and always check them out before contacting the person for an interview. The reality these days is that all of your employees represent your company, and they need to be aware that what they do and say is public. If I see a Twitter account or public Facebook page filled with angry, negative rants, that person is out!”

– Laura Roeder | Founder, LKR Social Media

Don’t Actively Look

“I don’t actively browse people’s accounts because I don’t want to see what they do in their private life; that’s not what I am hiring them for. However, if candidates send me their profiles for me to learn more about them, I click. If nothing is hidden, it’s a downside because they come across as taking privacy lightly. I prefer to get a link to a well-maintained résumé site or a LinkedIn profile.”

– Christian Springub | CEO and co-founder, Jimdo

Both Potential Employees and Current Employees

“I regularly monitor social media accounts of my employees. Negative things that I watch out for are excessive profanity, inappropriate photos, and explicit and/or suggestive conversations. It gives you a window into who somebody really is as a person. Every single one of my employees represents my brand. Therefore, I want people who present themselves in a way consistent with our image.”

– Richard Lorenzen | CEO, Fifth Avenue Brands

Let Yourself Shine Online

“Definitely. I personally maintain a private Twitter list of potential hires and monitor them over time, for example. But I’m primarily looking for familiarity with social media, a sense of humor, and a true passion for what our company is doing. Consistent negative updates are usually a deal-breaker.”

– Derek Flanzraich | CEO and Founder, Greatist

A Quick Glance

“I will look at the social media account of anyone I’m considering adding to my team — because of my field, I need to hire people who are already web savvy. But I also expect to need to give them some training and guidelines on what I expect to see on their accounts in the future. These are new tools and people aren’t always aware of what’s appropriate initially.”

– Thursday Bram | Consultant, Hyper Modern Consulting

It’s Part of Your Brand

“Absolutely, I do. The first thing I look at is a potential hire’s LinkedIn account and who I know that’s connected to him or her. We work with our clients to make sure their LinkedIn profile displays their professional brand in a positive way, and I expect the same from a potential employee.”

– John Hall | CEO, Influence & Co.

Very Valuable Tool

“I want to know that they fit the job description. For some positions social media is not relavant, but for some, I want to know if they are who they say they are and if they would fit my company culture. Social media is a great way to connect with anyone and also find out information about anyone. It is a tool, so use it as such.”

– Louis Lautman | Founder, Supreme Outsourcing

In the Age of Transparency

“Sure, I check them out; I like to see leaders and influencers. I stay away from shy people. We are in the age of transparency, and I want the members of my team to feel comfortable sharing their details online.”

– Alexander Torrenegra | Co-founder, VoiceBunny

Absolutely Not!

“I see little to gain by snooping on prospective employees personal social media accounts. I would fully expect to find them engaging in completely unprofessional activities outside of work as they should be. I’m more concerned about what kind of game face they can put on when the suit up in the office and judge them on their professional performance alone.”

– Christopher Kelly | Co-Founder, Principal, Convene

Social Media Doesn’t Lie!

“People tend to always interview really well, and sometimes that means they choose to withhold certain information that prospective employers wouldn’t want to hear. Every employer should look at a potential employee’s social media to see how they truly behave as a person. as we’ve found this always does play into their work ethic and character in the workplace.”

– Warren Jolly | Co-founder, Affiliate Marketing

Time and Frequency

“Yes. During the interview process, we consider social media use in the context of time and frequency. If an applicant is consistently active during working hours, that is the only real red flag for our business — unless they are managing company social media accounts. For a social media specialist, online presence is a job requirement; otherwise, it’s a distraction.”

– Nick Reese | CEO, Elite Health Blends

Smile on Social Media

“In our business, we work with the public. Smiling and being friendly is important. I expect to see potential employee smiling in photos and socializing. If I see potential employees not smiling in any photos or posting photos of inappropriate behavior, I would not want that person serving my customers.”

– Nancy T. Nguyen | Founder/Sweet Sylist, Sweet T Salon

Image: social media

Want to Be an Entrepreneur? Then Get Your MBA (Really)

I am an entrepreneur — a moderately shocking fact for a kid from Cleveland, Ohio. What’s more shocking? I’m a very proud graduate of UC Berkeley’s Haas School of Business. Yep, I willingly left the workforce for two years in order to pay to attend business school.

There is a standard list of reasons why startup types mock MBA degrees:

An MBA is all about drinking
An MBA is all about partying
An MBA is all about “networking” (read: drinking and partying).

It’s true that you do not need an MBA to be an entrepreneur — actually, you don’t even need a B.A. (see: Zuckerberg, Mark). But I loved earning my MBA. I was able to co-found a business during school and learn from that experience. I was able to take time to think, refine and experiment. I was able to meet incredible people who have directly impacted the success of our business.

For those hoping to break into entrepreneurship, business school is an amazing path to do so because of its inherent opportunities:

Experiment within an incredibly forgiving setting. While in school, I worked on a business with three other classmates. The lessons we learned were invaluable: define roles early, work on a partnership agreement, get used to the grind of working on a startup, build a diverse team in terms of perspective and skill set. Equally valuable is that on any campus there’s an unparalleled wealth of resources – classmates, professors, undergrads and students in other departments like the Information and Computer Science schools.
Build a relevant local network. Being a successful entrepreneur requires you to be resourceful and to find answers to complex issues. Working hard and meeting smart people affords you not only their insight, but also that of their network. Building strong relationships through intense and ongoing interactions (like school projects, event planning, or yes, having fun) creates a large advocacy network. Your classmates will want to see you succeed, and they will happily introduce you to their friends who can help. Of course, business school is great for future business development. This is analogous to a management consultant who builds relationships with junior-level folks at client companies. In 10 years when they are both at a senior level, they will have a great working relationship.
Find your investors. Our lead investor is a great VC, Michael Berolzheimer, who graduated from Haas four years before me. The rest of the round is filled out with Cal grads, and folks whom I have met through warm introductions.
Hire a great team. Our Creative Director Ashil is a close friend’s cousin and our startup lawyer, Doug Bend, is another’s brother. Our Technical Director is a Cal undergrad whom I met while speaking to an entrepreneurship group. As we engage in hiring now, I can count on my classmates to provide great candidates.
Collect classwork that might actually come in handy. Business school was the first time I took a formal course in marketing, finance, accounting, sales and operations. Is a lot of it theoretical? Yes. Have I taken lessons from each class and applied them to Modify? Absolutely. Even more valuable were entrepreneurship classes from Steve Blank and Eric Ries, a startup workshop from Dave Charron in which I received the instant feedback every entrepreneur needs, and “Problem Finding, Problem Solving” class from Sara Beckman that gave me the beginning of a toolkit for creative problem solving and design thinking.

“You don’t know what you don’t know” is one of my favorite phrases. With the right attitude and the right goals, any work, educational, travel, or other experience will help you improve as an entrepreneur. Done right, business school can provide you the space to come up with that brilliant idea, the resources to execute it, and the support network that you will need during the entrepreneurial grind. And yes, it might provide people who are good at celebrating your successes too.

If you don’t believe me, just ask the entrepreneurial and venture capital guru Ben Horowitz from Andreessen Horowitz: maybe MBAs are undervalued.

Aaron Schwartz is Founder and CEO at Modify Industries, Inc., which designs interchangeable custom watches known as Modify Watches. He loves working on startup ideas and has spent innumerable (happy) hours advising friends and former students on how to grow their ideas.

5 Tips for Hiring Only the Best Startup Talent

Prior to launching my own startup, I spent a few years in the VC world. During that time, I regularly coached startup founders on how to best approach everything from cash flow issues to PR to acquisition strategies. When all was said and done, however, what I always found most fascinating were the elements of company growth, particularly in terms of human capital.

While technology may allow us to scale businesses exponentially (once we have identified the appropriate formula), hiring the right talent is still the most fundamental aspect of building a thriving business. The HR function of being a startup founder is perhaps the role we are least equipped to play. But it is, in my opinion, the most important.

Here are five tips for attracting and retaining talent that will support your vision, complement your strengths, and ultimately make your life easier – not harder:

1. Do some recon. If this were a potential date, you’d stalk that person (oh please, you know you would). Most talented people, unless they are fresh off the school boat, have a legacy. Chances are you can get to solid references via LinkedIn or your personal networks. Put on your CIA-slash-journalist hat and contact people your candidate has either worked with in the past or currently work with. Ask open-ended questions that allow references to draw their own conclusions without being forced into a yes or no answer.

2. Put them to work. Want to understand how someone will operate within the framework of your company? Give them a small project and see if they can hit a deadline. If it’s a developer related role, invite them to participate in an impromptu company hackathon. You get a pretty good idea of someone’s true colors after they are pulled out of their comfort zone. If excuses continually come up then they most likely aren’t the right fit. It’s not you. It’s them. Keep in mind, simply interviewing someone isn’t enough, and your gut can be wrong more often than you realize.

3. Are they are a culture fit? Startups don’t often have a defined culture. But it’s there. During the nascent stages of building a company, it’s extremely important that new hires understand the pace, values, and vision of the company – even if unspoken. Lou Gerstner is famous for giving powerful insights on hiring. In one of my favorite talks, I watched him draw a 2×2 matrix, where Talent/Ability made up one axis, and Culture/Fit made up the other axis. In a startup, anyone who isn’t outstanding in both can quite literally derail your efforts. No matter what, resist the urge to hire the genius who is also a “cultural disaster.” It will rip your company apart.

4. Assess characteristics and traits. You want personal characteristics that mimic business traits. If you’re hiring someone as your startup CFO to run a shoestring budget, it would be nice if they didn’t enjoy lighting their own money on fire. Again, these are all subjective – $72 biscuits are made for a reason after all. Make it easy on yourself. Find someone that lives/breathes/eats the traits that you want your business to exude. Three things I look for:

Special talent: What is the one capability they possess that no one else does? What is the skill that will enable them to provide leadership in a particular area of the company?
Willing to contradict you: This is crucial. Leaders can be wrong…frequently. When the team doesn’t step up to let the leader know, the business fails.
Smarter than you: Always hire A+ players. If you don’t for reasons you can control, then congratulations, at least now you know you’re a C player yourself.

5. Love ‘em or leave ‘em. In the end, humans make the world go ’round, and no matter how disruptive or groundbreaking your tech, people still run the show. Building a great team is imperative to early company success. If someone isn’t a fit, it’s time to say goodbye. Nicely, but quickly.

Sharam Fouladgar-Mercer is the co-founder & CEO of AirPR, a technology platform to increase PR performance. He was an Entrepreneur in Residence at Shasta Ventures and a Senior Associate at Sierra Ventures. He served as a Board Observer at Makara (sold to RedHat), and began his career as a technologist at Appian. Sharam graduated with honors with a BSE in Computer Science from Princeton and an MBA from Harvard.

Starting Up With Your Spouse? 8 Tips to Make It Work

When I was 24 years old, I started a business with my fiancé (now husband) and one of our best friends. Three years later, our business and marriage are stronger than ever (thankfully!) but not without a few bumps along the way.

If you’re considering starting a company with your spouse or significant other, or if you already have a business and you’re considering bringing your significant other into the mix, make sure to run through this checklist in order to avoid potentially major headaches down the road:

Have an emergency fund in place. Money is the number one cause of divorce, and cash flow tends to be the number one challenge for new businesses. When we first started out, we waited months to get our business cash flow in order and get paid. But we didn’t stress, because we had saved a personal emergency fund ahead of time.
Get an office as soon as possible. You shouldn’t run out and get an office right away, but see if you can start budgeting for an office or co-working membership as soon as possible. We spent the first year of our business working from home, but we also joined a co-working group and got together with other entrepreneurs twice a week at a local coffee shop just to get out of the house and find camaraderie. Co-working spaces often offer flexible part-time memberships that will give you a more budget-friendly opportunity to get out, meet new people and maintain sanity.
Know your personality types. I tend to draw my energy from being around other people, while my husband draws energy from focused time by himself. I have my best focus and energy in the morning, while he works best late at night. And I’m very focused on the big picture, while he does better with the details. By understanding our own strengths, we’re better able to find areas where we complement each other. Consider taking a personality assessment to figure out your individual strengths and how you can best work together.
Define your roles. Along with knowing your personality types, you should have clearly defined roles within the company. Write job descriptions for yourselves and set clear expectations about who will take on which tasks for the business.
Make a point to engage in separate hobbies. When you’re starting out, you’ll be spending a lot of long hours working together to get the business off the ground. It sounds strange to say, but it’s important to make a point to schedule activities apart. When we started our business, I got involved in the local photography community, while my husband got more involved with the organizations in the local startup scene. This added some balance to our lives and gave us something new to talk about outside of work.
Discuss your tolerance for risk. Because our business is our main source of income, my husband and I tend to be less risk-averse than we might be if we worked separately. We decided early on that we wanted to take a “slow and steady” growth path with no debt, loans or investments, but we reevaluate our views on tolerance for risk regularly.
Balance praise and constructive criticism. Make a point to thank each other for a job well done, and be kind about how you approach constructive criticism. In a close relationship, we often forget these basic rules of business.
Have a sense of humor. Don’t take yourself too seriously. Take time to find humor and happiness in the little things each day (I’ve been known to break into song and dance during the work day).

Starting a business with your spouse can be one of the most challenging and rewarding things you can do. There will be tears and laughter. There will be celebrations and frustrations. But in the end, there’s nothing like sharing the payoffs of working together toward a common goal with your life partner.

Allie Siarto is the co-founder of Loudpixel, a social analytics company focused on social media monitoring, insights, measurement and infographics. She also runs a project called Entretrip, a co-traveling experience for location independent entrepreneurs, and a digital marketing innovation podcast called The Apt Marketer.

image: justmarried

How to Choose Your Own Venture

As a professor of social entrepreneurship and an entrepreneur, people often approach me with all their ideas. They get overwhelmed with how to start choosing their first venture (or second, for that matter).

How do you start? Whether you are new to entrepreneurship or starting another venture, you begin the same way:

Uncover your strengths FIRST: Research suggests that the most successful enterprises (for-profit or social) leverage each individual’s or organization’s strengths. Begin with your staff and/or board and brainstorm. What do you already have or know? Think broadly about your unique assets. For me, my unique asset was my speaking ability. I was a debater in high school and have always loved to craft a great speech.

Evaluate your strengths: After you identify your strengths, vote on the top five to seven strengths that are most unique, have value to others, and are closest to your mission. Then, walk through the questions below for each strength. Questions to ask:

Is it different and distinct?
Who would value this strength?
How valuable is it? Do other options exist?
What is the market willing to pay for this strength?
Is this a long-term strength?

For me, my strength was my speaking ability. Through these questions, I realized that it was valuable to many different audiences and could present a long-term strength.

Identify opportunities from TOP strengths: After evaluating your strengths, think of all the opportunities that exist for that strength. For me, I could write speeches for others, write and present speeches myself, or teach others how to speak more effectively.

Assess your opportunities: After you identify your opportunities, vote on the top five to six opportunities and then walk through each question below to assess their promise based on ease of implementation, fit, and profit. Questions to ask:

Ease of Implementation:

Do we have the right internal expertise and capacity?
How complex is the opportunity?

Fit:

Does this fit with existing businesses?
Does this fit with our image?

Profit:

What are the startup costs?
What is the market demand and/or willingness to pay?
How soon can we expect a profit?

Based on this, you will have an objective assessment of which opportunities have the most promise.

Not every venture is viable. Success requires the right opportunity, the right timing, and the right process. Once you determine that all of these are aligned, take each opportunity and conduct a feasibility assessment. The feasibility assessment allows you to “fail early and cheaply” and helps you decide on a go or no-go decision. If the feasibility assessment is promising, the next step is developing a business plan to create a roadmap for your venture. Once you go through these steps, you will have the confidence that your venture is not only the best opportunity for you, but also a viable business venture for years to come.

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

Suzanne Smith, MBA is a serial social entrepreneur and bridges many disciplines, including serving on the National Board of the Social Enterprise Alliance, coaching nonprofits as Managing Director of Social Impact Architects and Co-Founder of Flywheel: Social Enterprise Hub, and educating future leaders as Adjunct Professor at the University of North Texas. She holds an MBA from Duke University, where she was a CASE (Center for the Advancement of Social Entrepreneurship) Scholar and continues to serve as a Research Fellow.

6 Pros and Cons of Hiring Remote Workers

Log on to a site like Odesk.com and you’ll quickly see profiles for the tens of thousands of workers based around the globe, ready to hire out their services for as little as $.50/hour. A few easy mental calculations reveal that this hourly rate works out to just $20/week and $1,020/year for a full-time staff member – numbers that sound awfully appealing compared to standard Western salary and compensation packages.

But the maxim that “most things that sound too good to be true, usually are” should certainly be applied to this situation. While remote workers have their place in an increasingly global labor market, hiring outside staff members isn’t the right fit for every company. Much depends on the job itself, too. For example, you may not want to outsource your core competencies.

If you’re considering hiring remote staff for your business, consider the following pros and cons first.

Advantages to Hiring Remote Workers

Costs: To be clear, it is possible to hire both domestic and foreign remote workers (and there are certainly pros and cons to each alternative). If you hire remote workers from developing countries, you’ll see the greatest cost savings in terms of hourly rates. But even if you hire remote workers from within your own country, you may still see some salary relief by hiring on an independent contractor basis (which minimizes your benefits and tax expenses) or by hiring remote workers from areas with lower costs of living.
Skill set access: Beyond the potential cost savings remote workers represent, hiring external employees may also give you access to skill sets that aren’t represented in your area. As an example, if you live in a rural community, your local employment pool may not have a good supply of digital media artists or developers using up-and-coming languages. Hiring remotely enables you to find the right people for your needs – no matter where on the planet they’re located.
Time utilization: For most professionals, there’s something tremendously appealing about the idea of firing off a project request to an international worker and having the same task completed by the time they’re waking up for coffee in the morning. And indeed, when managed correctly, remote workers in different time zones can maximize your ability to ensure that productive work is occurring at all hours of the day – whether you’re at the office, at the gym, out to dinner or asleep in bed. Just be sure that, even if your remote workers operate during your time zone’s night hours, you’re able to communicate with these remote employees throughout your own work day!

Disadvantages to Working With Remote Staff Members

Language barriers: If you choose to hire remote workers for whom your native language is a second language, be prepared to encounter at least a few challenges when it comes to translating project instructions across boundaries. Although foreign workers may be educated in basic English, they may not grasp the subtleties and complexities associated with U.S. slang or industry-specific business jargon.
Internet-based miscommunications: Even if your remote employees speak perfect, fluent English, get ready to face yet another communications challenge – the trouble associated with giving instructions for Internet-based work. When interacting with in-person employees, you’re able to provide clarifications, examples and further details on your project-based expectations. When all of your communications occur via email or online video or Web chat, some of these explanations may be misunderstood, leading to project delays and/or extra costs.
Turnover and training time: Finally, be aware that remote employees may lack the same level of buy-in as traditional employees. While it’s possible that you’ll find a worker who’s as dedicated to your success as you are, it’s much more likely that you’ll work primarily with short-term remote workers on a per-project basis. While this isn’t necessarily a bad thing (depending on your company’s needs), you’ll almost certainly encounter higher turnover and training costs while working with remote employees than you would by hiring a full-time alternative.

Again, this list isn’t meant to either sway you towards or deter you from hiring remote workers. There are plenty of cases in which hiring outsourced labor makes more sense than bringing on full-time employees — and vice-versa.

However, hiring virtual employees isn’t all cheap labor and round-the-clock productivity – despite what popular books like “The 4-Hour Work Week” would have you believe. Doing your due diligence will help you plan appropriately so you can avoid some of the common pitfalls associated with taking on remote workers.

AJ Kumar is the co-founder of Single Grain, a digital marketing agency based in San Francisco. Single Grain specializes in helping startups and larger companies with search engine optimization, pay-per-click, social media and various other marketing strategies.