By Les Trachtman, Exago Inc.
Ninety-six percent of businesses fail before their tenth anniversary, according to Bill Carmody in his August 12, 2015 Inc.com article. Once an organization gets past the first few years, it has proven that the proverbial dog has eaten the dog food. So what is causing so many companies to crumble before they reach the decade milestone?
It isn’t because these companies’ founders aren’t extraordinarily capable. Successful founders overcome overwhelming risks armed with healthy self-confidence all the time. But that confidence can backfire as their companies continue to grow. As you build your executive team, there are steps you can take to move from great potential success to actual success, propelling your company to that 10-year mark and beyond. Below are nine ideas to help you beat the odds. Most constitute valuable advice for any founder, but some are particular to software entrepreneurs.
Founders by definition are confident in their abilities. When confidence translates into believing that you are better at getting the job done than anyone else on your team, it becomes a problem. Even if you are the best at a given task, hire people that are 80% as good as you at it, and them let them do that task. In the early days, you were likely the lead client contact. You’ll now have to cede that role to someone else without leading your customers believe you are ignoring them.