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94 6 SECRETS TO STARTUP SUCCESS

generating possibilities. It’s the time to throw your best stuff
out there and see what sticks. But as leads turn into viable
market opportunities, many startups reach a point where ex-
perimentation is no longer necessary or helpful. To propel
the business forward, you must choose, focus, and execute in
a few core areas. This often means saying no to some exciting
options, a fact that can severely test founders accustomed to
saying yes to any potential revenue source. If the yes-habit
isn’t broken, you’re likely to stretch yourself too thin and fail
to make a major impact with any one initiative.

The challenge is in knowing which opportunities to pur-
sue more deeply, and which ones to avoid. Here are a few
guiding questions:

9 How well does the opportunity align with your purpose,
your plan, and your passion?

9 How will it impact cash flow? Will it yield an immediate
return of cash, or will it function as a short-term
investment with lagging return?

9 What is the degree of difficulty? How well does it match
up with your strengths?

9 What will you have to give up to successfully take it on?
To what will you say “no” to free up capacity for this
“yes”?

9 What are the costs/risks to you if this opportunity
doesn’t work out as planned? Are these acceptable and
manageable?

5. If you face a revenue crisis, treat it like one. Falling short of
early sales goals is the rule rather than the exception among
startups. Usually, these initial shortfalls are not as dangerous
as another common phenomenon: the unsettling tendency of
founding teams to deny that things may not be going well, to
avoid talking about it, and to rationalize away the possible
implications. This well-worn path of denial, most acute

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