Ideas and People
by Ben Perreira
Don’t take it from me. Ideas aren’t worth much.
An idea by itself is a fantasy. It gains value when we add defensibility through uniqueness in the eyes of consumers, otherwise it will be copied and likely executed better. It gains more value when it has a commercially viable business model.
This is facilitated by the people making it happen. Investors look at two things when deciding if they want to exchange their money for your equity: financials and the team involved. They know that a good team has the ability to connect the dots of people, products and culture. Knowing how financials can change so easily, the team makes the biggest impact.
The people they look for can find a place to embed their product that is fertile, which is a blend between the market being ready for something new and the market not being saturated. Not the easiest place to find.
If you did a study on the success of startups, you would surely find that the successful ones are concentrated among an oligarchy of people who make things happen (If someone has done this study I’d love to see it). Startup ideas are plenty. Capable teams are hard to come by.
People > Ideas