Tech Startup Toolkit

Essential advice for anyone aspiring to start up a technology company, based on decades of business experience.

In Tech Startup Toolkit, you’ll discover the good, the bad, and the ugly of succeeding with a tech startup. Author Jothy Rosenberg reveals the insights he’s learned from an entrepreneurial career that’s seen both $100 million sales, dramatic failures, and everything in between.

Tech Startup Toolkit gives you concrete, actionable advice on how to:

• Succeed as a first-time CEO

• Pitch and raise money from various types of investors

• Develop a go-to-market strategy

• Create a strong positive culture

• Understand what makes a VC tick

• Write an elevator pitch

• Understand investment deal terms

• Hone and align teams

• Effectively downsize or wind down a company

• Position a company to be acquired

In Tech Startup Toolkit Jothy tells stories from his incredible career that will give guidance and inspiration to anyone who’s ever thought of creating or running a company. Every personal story teaches a vital lesson for any would-be startup founder, ensuring you avoid the pitfalls that end less-prepared companies.

Foreword by Vivjan Myrto.

About the technology

Why do eight out of ten tech startups fail? Is it inevitable? In Tech Startup Toolkit, nine-time tech startup founder Jothy Rosenberg tells you how to beat the odds. Part memoir and part survival guide, this book delivers battle-tested, unvarnished advice on capital, culture, boards, marketing, and management.

About the book

Tech Startup Toolkit covers everything a new founder needs to ensure a great idea can become a stable tech company that’s ripe for acquisition. In 31 short anecdotes from Jothy’s extensive experience, you’ll learn how to pitch investors, develop a go-to-market strategy, and build the leadership skills that really matter for a great startup CEO. And since forewarned is forearmed, you’ll also find strategies to handle challenges like funding loss, competition, and unpredictable crises like Covid-19 that break lesser startups.

What’s inside

• Succeed as a first-time CEO

• Create a strong positive culture

• Understand what makes a VC tick

• Position a company to be acquired

About the Reader

For prospective founders, early-stage teams, and anyone interested in tech entrepreneurship.

Table of Contents

Part 1-First time leading a startup

1 Scratching the startup itch: How I became an incorrigible entrepreneur

2 What makes you think you are CEO material?

3 A venture-backed turnaround: A dangerous place to be

4 The founding team. Who’s in and who’s not?

PART 2-Raising money

5 Friends and family, angels, venture capital, or strategic?

6 Angels: Your bridge financing solution

7 The art of pitching to institutional investors

8 Investors aren’t your friends

9 Understand the VC business model. Raise money faster

10 Seed: The first priced round

11 Term sheets: An institutional investor wants to invest in you

12 Due Diligence: An exam you must pass

PART 3-Business strategies, models and plans

13 Your business model. The beating heart of your business

14 Getting to a minimum viable product with lighthouse customers

15 Product-Market Fit. Making sure the dogs will eat your dog food

16 Go-to-Market: How to make your business viable and grow

17 A formal business plan in ten steps

18 Burn rate and runway—or where is the edge of that cliff?

19 Achieving cash-flow positive: A startup’s Holy Grail

20 Your startup’s valuation: Up, up, up (hopefully)

PART 4-Your team: Building it, sizing it, aligning it

21 Hire slowly—and correctly

22 Beyond foosball: Crafting a positive culture that retains your team

23 Does a startup need both a CEO and COO?

24 Marketing: Too often a startup’s afterthought

25 The right character for sales leader—and when to hire them

PART 5-Management challenges

26 Startup boards: The good, (and how to prevent) the bad, and the ugly

27 Board observers: Observe only please

28 Investor communications. They needn’t be cod liver oil

29 Heaven forbid if you must downsize

30 Heaven forbid if you must wind it up

31 Acquisition: Your financial dream come true

About the Author

Jothy Rosenberg has been an entrepreneur since 1988 and has founded and run nine technology startups—two of which had exits of over $100 million. He was the general manager of Borland’s Developer Division from 1992 to 1997, where he led Borland’s Languages division, including Delphi, C++Builder, and JBuilder. He has a PhD in computer science, and he has authored two technical books, a business book, a memoir, and a children’s book. Jothy is the creator of the Who Says I Can’t series on YouTube, and he established and runs the Who Says I Can’t Foundation.