3 start-up myths addressed. Don’t believe the naysayers

Gabby Reece, you think she quit practicing at 5 PM?

Start-up myths on stability, hours worked, and equity

Don’t believe the start-up hype.  I worked for 10 years in corporate America and 10 years in a startup.  I learned a lot in corporate America, but the learning curve skyrocketed when I got to start-up.

Working in HR, I am asked about what it is like working in a startup regularly.  Three start-up myths come up time after time, and I would like to provide my perspective and ease your concerns:

1. Stability of a start-up:  Start-ups don’t last; they go out of business.
2. Hours:  Start-ups ask you to work like a slave.
3. Equity: My friend worked for a company; his stock options are toilet paper.

Stability of the start-up

First and foremost, no one should rely on any one company for long-term financial stability.  I want to rely on my skill set and ability to get a job.  Relying on any one company for financial stability is ludicrous in this economy.  Companies diversify because they don’t want to rely on a single revenue stream, and neither should you.  In a bygone generation, thinking we would work for a single company and retire with a gold watch was acceptable.  It didn’t always happen, but it was an acceptable thought.  Those days are gone.  Sayonara and Adios.  Big, iconic Fortune companies have proven that to us in recent years.  Washington Mutual, a bank in my backyard, Ford Motor Company, and multiple financial institutions have left employees with nothing.  A washed-up pension/retirement plan and a narrow skill set that wasn’t very transferable.

When folks from the corporate world talk to me about stability or how I could leave for a start-up, they are in disbelief. They think I am stupid, naïve, a lemming, or all of the above for joining a start-up.

I have news for you Johnny “Corporate Until Laid-off and Left Dangling”.  You didn’t just get punked, you got CULLED.

No company is safe anymore. “Toto, we are not in Kansas anymore.”

I don’t think anyone can predict if any one company will be around in 10 years, let alone 20. Regardless of the size of the company, I am looking for any potential employer who is only 2-3 years out. At the end of 2-3 years, I will reevaluate the company. If the company is growing and offering opportunities, I will re-up.

Companies don’t provide 10-20 years of stability anymore

We have seen employees invest 10-20 years in a company and then be kicked to the curb with a very narrow set of skills.  Skill sets are so narrow and niche they are not transferable. This is part of the reason for long job searches.

Hours:  

I don’t work more hours in a start-up than I did in a corporation. When I was in corporate, I felt like I worked many more hours, but it was because I was the only guy dumb enough to work those hours. At 4:30, there was a traffic cop outside the building directing traffic as the rats raced to get home. With the lights turned off at 6, the message they were sending was, “Go home, the work will be here tomorrow.”

I love what I do. Cliché, I know, but I don’t look at the hours I put in as work. This HR geek may be some employee’s nightmare, but I really enjoy HR. After work, I add to this blog and take classes to keep my HR certifications current. On the weekend, I volunteer to coach candidates on interviewing skills and career development.

Professional athletes

Athletes do not quit practicing at 5:00 and take it easy on the weekends.  The great ones practice from dawn to dusk.  They are constantly working on their craft to take their game to the next level.   To stay competitive, they need to practice, study, and learn.  Some will say they are paid well and should practice.  Malcolm Gladwell doesn’t reference the 10,000-hour rule for anything.

I look at the time as an investment in my career. Getting shit done means I can strengthen my resume with bigger and better bullet points. These accomplishments take my game to the next level and give me options. Yes, folks working in start-ups may work a few extra hours, but at the end of the day, they are getting better at their craft quicker, faster, and more.

Don’t look at the hours as an investment in the company as much as an investment in yourself.  The company is a vehicle for your investment.

Equity = Toilet Paper

I will be the first to admit it. I will be hard-pressed to join a company that doesn’t offer stock options to all employees. It isn’t because I am greedy; I am. When a company does NOT provide stock options for everyone, it sends a direct message. When all employees have equity in a company, then everyone is an owner of the company.  There is a difference between everyone having a piece of the company and everyone working “for the man.”  It’s called “selling your soul,” and we have all seen the ending of that story. A few folks get rich, and the rest go hungry.

I like what this wise man once said about the startup world:  “Options are a binary thing. In the end, they either make a difference or they don’t.  Do not look to any single company to make you a multi-millionaire. Go to any one company to build your skill set, to make an impact on the people you work with, the managers you report to, and the investors that invest in the company.”  If you positively impact company to company, the rest will take care of itself.

Wrong and right reasons

If you are going to work in a start-up strictly for the equity, you are going there for the wrong reasons.  You will always be chasing a shinier startup.

Funny, as often as I hear about the above three as concerns, I never hear anyone question the opportunity.  There is no myth here; there are plenty of opportunities.  Are you ready to elevate your game?

See you at the after party,

HRNasty

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