The Top 7 Mistakes First Time Software Founders Make

Are you working on your first software startup? How do you know if you're making big mistakes? In this video, I cover the 7 most common mistakes first time founders make so you avoid them starting today.

Instagram: @danmartell
Twitter: @danmartell

[danmartell]

Want to know the top mistakes first time founders make AND how to avoid them? I list 7 of the ones that have come up from over 1300 coaching calls with entrepreneurs just like you.

[LindsaySims]

I love the pivot advice! That's how I've done with my business and most businesses don't know how to do that successfully

[Martin_Adams]

Fantastic advice. I suffer from #2 the most, that's for sure. I'm working on it.

[ericjonespga]

My Highlights: The Top 7 Mistakes First Time Software Founders Make
1. They mistake Free as a Business Model (it’s a Marketing Decision) = Don't start with a free product. Start with a paid version, because a paid customer's feedback will be more relevant.
2. They don’t Pick an Idea/Keep 2-3 Going = Ok to have 2-3 ideas, if they are in the same business and you keep iterating until you find the right one. Don't split ideas into separate businesses. Pick one idea and go deep.
3. They don’t Solve a Problem (Vitamin) = Your solution must solve real problems and pain. Nice-to-have is a vitamin.
4. They go Too Wide / Need to Focus on Niche Customer = Narrow your product to specific customers. Master the solution for them, before expanding solution line.
5. They don’t Follow Process (Raise First, Then Build) = High level process is 1) Have an idea, 2) build prototype, 3) get pre-orders, 4) deliver it, 5) raise money. Have a working product in a customer's hands before trying to raise serious money.
6. They take Feedback as Gospel (Only Paid, Qualified) = Rather than take feedback from just one customer, look for patterns from multiple customers. Focus first on paid customers.
7. They don’t Pivot Customer / Only Product = Find other industries or niches where your solution is a must-have, rather than continue to expand your solution with nice-to-have features.
Takeaways: This is a summary of ideas found in other videos. If you've watched those videos, it is a good refresher. If not, more information at a deeper level is available in other videos. Repetition aids learning.

[czerbren]

Hi Dan, thanx a lot for sharing. I really appreciate your advices! But I'm kinda locked in a situation because my patent lawyer adviced me not to tell anyone first about my idea because I might not get any patent for my software anymore (due to the rules here in not being "new").Therefore I just cant go out there and ask my future clients about a feedback as long as I dont have any patent on my software. So I have to build my software first, at least some basics (to see what is patentable-process or algorithms) to get a patent, then with a patent I have a better chance to find investors.
I feel like I'm in circle and can't find a way out....thanx head for your response.

[vartikamanasvi]

Great advice. I have a question when you're a B2C startup (say a social network for travelers) and building on engagement, and the community in the early days to get them hooked.. it's more of a vitamin and it will only solve problems later when there's a bunch of people wherein they can engage with each other and transact. Does that sound ok?

[samhithkakarla]

Hey dan, I’m working on a saas startup, and in order to validate the problem I’m running a target market survey. I’ve created the survey and gathered 100 or so emails, but I’m not sure how I should go about sending the survey. Should I have a business name and logo? Or should I send a personal email ? Great video by the way

[alaeddinemenai]

Suggest a book for me that has these topics.

[kingjia]

Ask feedback from Free users and put the feature on paid plans 🤑

[inthedms]

Richard branson has 400 man he has adhd and plus i have ADHD too. i am genetically incapable of sticking to one

[jkovert]

Better: Never use the word "pivot."