Earlier this year, I participated in an extraordinary endurance adventure race that took me from Beijing to Paris. Spanning over 14,000 kilometres, it was an exhilarating, gruelling journey, filled with moments of triumph and adversity. Reflecting on this adventure, I couldn’t help but draw parallels between the race and the journey of building a venture-backed startup. Both endeavours require vision, agility, quick decision-making, and the ability to correct course promptly. Here’s what I learned along the way and how these lessons apply to the world of startups.
It’s lonely out there and there will be mountains to climb.
The Compass is Your Vision
In both the race and in venture building, the compass serves as a metaphor for vision. Just as we knew our ultimate destination was Paris, startups need a clear vision to guide them. This vision acts as a compass, helping navigate through challenges and obstacles. For startups, having a clear and compelling vision ensures that the team remains focused, even when detours are necessary.
Checkpoints and Milestones
During the race, we had daily checkpoints to reach. These served as critical milestones, similar to the ones startups need to track progress. In a startup, milestones can include product development stages, funding rounds, or key customer acquisitions. These checkpoints help in measuring progress and keeping the team aligned and motivated.
Refuel when you can!
Quick Decision-Making and Agile Working
One of the most striking similarities between the race and startup life is the need for quick decision-making and agility. In the race, taking a wrong turn and not realising it quickly could mean missing the checkpoint and derailing our progress for the day. For instance, in the Gobi Desert, missing a turn cost us eight and a half minutes, a significant amount in the context of the race. We had to push the car to get it started again, a stark reminder of how small mistakes can compound. Similarly, in startups, wrong decisions are inevitable. However, recognizing and correcting them promptly can make the difference between success and failure.
Real Example – Slow to act: In one startup, hiring the wrong team members slowed progress. Although founders knew early on that these hires weren’t the right fit, they hesitated to act. Similarly, another startup persisted with a product that didn’t resonate with its target market, delaying a much-needed pivot. In both cases, the lesson is clear: recognizing mistakes early and acting decisively can make all the difference.
The Power of Persistence
Endurance races and startups both require persistence. Despite the challenges and setbacks, it’s the ability to persist that often determines success. During our race, even after losing time, we persisted, adapting our strategy to make up for lost time. In startups, persistence in the face of adversity, coupled with the ability to adapt, is often what sets successful ventures apart from those that fail.
Real Example – Financial Management: A startup mismanaged its finances, leading to a cash crunch. Instead of addressing the issue immediately, they continued with their spending patterns, hoping for a sudden influx of revenue. By the time they took corrective action, it was too late, and the company had to shut down.
Keep focused.
Trust and Teamwork
In the race, my co-driver had to trust my directions implicitly. Any doubt or hesitation could have led to mistakes. This trust is equally important in startups. The founder and the team need to have a strong trust foundation. When everyone trusts the vision and each other’s capabilities, the team can navigate through challenges more effectively.
The trip also shed light on the importance of communication. Whilst we had our defined responsibilities as driver and navigator it was vital to ask for clarification if instructions weren’t obvious and advice if we weren’t sure what decision to make. As a founder, sharing your problems with your team can be your superpower. Get your team’s input, listen and decide quickly!
Real Example – Co-founder Conflicts: One startup faced significant delays due to ongoing conflicts between co-founders. Instead of addressing the issues head-on, they allowed the conflict to fester, which ultimately led to a split. This disruption not only slowed down their progress but also damaged team morale and investor confidence.
Recognising Red Flags
In the desert, it was sometimes challenging to recognize when we were off course, given the lack of clear roads. This is similar to how startups might struggle to recognize when they’ve made a wrong decision. It’s crucial to develop an instinct for identifying red flags and acting on them promptly.
Real Example – Market Misalignment: A startup ignored early signs that their product was misaligned with market needs. Instead of conducting thorough market research and adjusting their approach, they persisted with their original plan. This misalignment led to poor customer adoption and ultimately, the company’s failure.
The Adventure of Venture
Reflecting on my adventure from Beijing to Paris, I see how vividly it mirrors the journey of building a startup. Both are filled with unexpected challenges, require unwavering vision, and demand quick, decisive actions. As in the race, the path to success in startups is not always straightforward. It’s filled with wrong turns, but it’s the ability to recognize, correct, and learn from these mistakes that ultimately leads to success.
Startups, much like endurance races, are not just about reaching the destination but about navigating the journey with agility, persistence, and a clear vision. So, the next time you find yourself at a crossroads, remember: it’s okay to make a wrong turn. What matters is how quickly and effectively you get back on track.
Suddenly you are there and celebrating your achievements!
Get In Touch
If you have an ambitious idea for an insurtech we can give you funding and support. Check out our incubator and venture fund or get in touch.