funarchist (u/funarchist)

funarchist commented on Ask HN: When to Start a Business? · Posted by u/funarchist

FredPret · 2 years ago

I always wanted to own a business.

So I thought I'd get a job at a big corp, see if I can learn how business works, save up some money, and then start a company. That's exactly what I did, but it was a big mistake.

There's no better (other?) way to learn than to do. And you learn about a hundred times more and faster if it's your business versus a job, no matter how high-powered.

I should've started before I even left high school and simply failed many times. All's well that ends well though!

funarchist · 2 years ago

I would be really happy if you elaborated on why you think that was a mistake. I am considering a similar road.

funarchist commented on Ask HN: When to Start a Business? · Posted by u/funarchist

jononor · 2 years ago

> In my life, I have tried to start a business or frequently had the urge to start one. But, retrospectively, when I look at them, I see many reasons why I shouldn't have done it.

What were the reasons (that you see), why you should not have started those businesses?

funarchist · 2 years ago

In the comment down below, I have written about the heuristics that I created for business starting timing. Some of them are the result of my own experience. - In my attempts, I was in an unsuitable country, in another attempt in a good country but not in a safe legal status (student visa), and I did not have enough business knowledge. -These also created a huge opportunity cost regarding my academic results and hindered my timeline to get a high-paying job that would satisfy other heuristics like an even better country, industry, and seed money.

funarchist commented on Ask HN: When to Start a Business? · Posted by u/funarchist

jwindle47 · 2 years ago

I'm wrestling with this same question myself. I have never had any idea. For me I've started businesses when the external pressure of having a co-founder dictated that I should. Or, I'd be in a fit of passion-inspired development for a few weeks until it was time to talk to customers. I think the answer varies from person to person. It's hard to say what a good heuristic would be. We all operate with different heuristics.

For instance I now have a family, and starting a business would either take me away from family time, involve nights and weekends work, or involve quitting my day job (of which the bar is now very high).

If you find the answer, let me know!

funarchist · 2 years ago

I actually created a set of heuristics that would increase the likelihood of success for the company. However, I am occasionally frustrated by the amount of time it takes to prepare for these conditions before actually founding the company. Maybe it helps.

1. Maximize the effect of geographic arbitrage. Regarding the macroeconomic, political, and social situations of countries regarding their GDP, GDP per capita, and the number of millionaires and billionaires gives a good idea. There are also chances that highly skilled people are also there. Solution: Immigrate to the country and best city in this manner.

2. Maximize legal flexibility. - Having citizenship in a country is hugely advantageous in terms of safety net, a good passport for global travel, and making business with specific industries.

3. Have a skill set and job that make you the top 5–10 percent of earners. Wait to see where salary increases change marginally. When you start working, climbing to a high-paying job and being in the top 5–10 percent of earners in a population is significantly easier and safer than building a business. However, after some years of year-to-year increases, the salary doesn't move you in lower percentages significantly.

4. Acquisition of enough information regarding operating business. - Having knowledge regarding the meta-information of business like legal, accounting, HR, marketing, logistics, manufacturing, etc.

5. Global Industry Wave Riding a historical wave of technologically induced progress can increase the potential maximum of the point significantly.

6. While having the job first, MVP builds, ships, and sales have been done.

7. Having 200–250k of money to burn. With three founders each putting similar money this is enough money to build a team of 3–4 people and keep the company alive for 12–15 months.

But as I said, these things in my own abilities take years and years, and it is really frustrating. However, I know it is logical or a good plan. I would love any feedback anyone have.