How Our Failures Become Our Greatest Teachers

In early 2021, a friend of mine approached me wanting to make an idea we had been talking about for a while official and make it a "Startup". He had been talking to his friend at school who had a potential investor connection and it seemed like an awesome step in the direction I wanted to be headed.

In high school I created multiple t-shirt brands that made some decent money for a 16 year old. I also spent nice hot Florida summer selling yard work services. These were the most successful of my entrepreneurial endeavors up until this point but they were far from the majority of the attempts. I was studying computer programming at a community college and picking up small side gigs like websites and data scraping but was not making much money. I was itching to do something bigger.

When I got the call that we may get some funding for the startup, I thought "Wow this is it, everything I've been working for is finally coming together". Shortly there after we raised the starting capital from an investor at a pre-product valuation of over $1 million. It was everything 16 year old me dreamed of. Now it was time to work, and work we did... or so we thought. If the title of this article did not give it away already, it did not end well. In hindsight though I would not change anything because of the lessons I learned from the experience and that is what I want to spend the rest of the article talking about but first let's get through the ugly stuff and talk about where we failed.

The Failures

We Failed To Consistently Market Ourselves

We put out content but we never consistently put out content across all of our platforms. We lined up a handful of blogs and Instagram posts but then failed to continue lining them up after the initial batch. We had tons of pictures and videos on our shared drive but we did not consistently post and when we did it was random and had inconsistent messaging which leads into the next failures.

We Failed To Create Brand Identity

The posts we did make would be about technology education one day and climate change the next. We used some computer graphics and logos on some and others were just raw data. We had blogs about various projects and technologies but nothing about who the Startup was. We had no mission, vision or values on our website. We had publicly available information on the “why?".

We Failed To talk To Our Customers 

After we completed work we never followed up with customers so we could learn what we could do better. We did not collect feedback and we never asked how we could improve. Because of this we never had a customer come back and use our service again. 

We Failed To Clearly Define Our Internal And External Processes 

There was no standardized process for anything. We had people responsible for certain things and they just did them how they knew how to do them. Customer reach out and sales were never truly documented. Leads weren’t tracked. Accounting wasn’t documented or made known. Data processing was different for every project. No fleshed out standard processes existed.

We Failed To Budget Our Money

The finances of the company were very obscure to everyone on the team besides those who controlled the accounts. Nobody knew what we were spending monthly. There were no approvals for large purchases and no runway or budget considerations taken into account. Money was spent unchecked. 

We Failed To Clearly Define Our Product/Service

It was always vague as to what exactly we did. We never truly articulated what it was that we actually provided. We tried to provide services but we did not hold any of the certifications or the necessary hardware/software to offer that completely. We worked for service providers but never articulated the value we added to their operations. We provided data products/reports but we are also a service provider. We offered a lot of different services and all of the products we created were different. We never achieved consistency. We were just trying to make money however we could.

We Failed To Clearly Define Our Pricing

Our pricing was cost based per project which required a lot of time estimating and calculating. This seemed to be confusing for the customers which showed hesitation when we showed them the quotes. We had no pricing on our website which is normally standard for the type of company we were trying to be. 

We Failed To Mobilize The Resources We Acquired 

We acquired expensive and capable computers and equipment that sat idle not being used. We purchased a specialized piece of equipment for a job we hoped to get but never did. We did not successfully monetize our equipment for anything other than its originally intended purpose. The equipment was never rented out. The computer was never used to process data for other firms. 

We Failed to Create Tasks To Do For Everyone On The Team 

In the beginning when we had over ten people on the team willing to work we failed to create tasks and objectives for everyone to work towards and on. Everyone seemed to have an entitled attitude where they had already earned their spot as a "manager" or "director". Nobody wanted to do anything and everyone wanted to call the shots. In the end very little actually got done and people began to lose interest.

We Failed To Set And Track Milestones 

We had no consistent goal setting or milestones to work towards. There was no accountability for work getting done or working towards sales/development goals. Stuff got done when people felt like working on them and there was no sense of urgency.

We Failed To Attract Technical Talent 

We interviewed interns and qualified developers but we either couldn’t afford them or we had no idea what we would have them do. We had an interesting company idea but the further these technically skilled workers got to our core they realized there was nothing there. There was never a focus on acquiring and inspiring technical talent. We had nothing to offer.

Lessons Learned

Now, let's not sugarcoat it; we messed up, big time. But hey, what's a journey without a few bumps, or in our case, craters, along the road? Let's break down these failures into lessons that we can carry forward. Because if you're not learning, you're not growing.

Consistency Is Key In Marketing

We were like a band that couldn't keep the rhythm. One post here, another there, and none of it made sense together. Lesson? Consistency isn't just about frequency; it's about messaging. If you're not consistent, you're confusing. And a confused mind never buys, follows, or invests.

Brand Identity Isn't Just A Logo

We were a Jack-of-all-trades but a master of none. One day we're talking tech, the next we're climate warriors. We were like a chameleon, but instead of blending in, we stood out for all the wrong reasons. Your brand is your promise to your customer. Don't break that promise by not knowing who you are.

Talk To Your Customers, Like, Actually Talk

We treated customer interaction like a one-night stand. We never called back. Big mistake. Customers are not just a means to an end; they are the end. Their feedback is the lifeblood of improvement. So, pick up the phone, send that email, do whatever it takes to keep the conversation going.

Standardize Your Processes

We were like a kitchen with no recipe book. Everyone just threw in spices and hoped the dish would taste good. It didn't. Standardizing processes is like having a recipe. It ensures that the dish turns out good every single time, or at least gives you a clear idea of what went wrong if it doesn't.

Budgeting Isn't Optional

We treated money like Monopoly money, and guess what? We went bankrupt, in the game and in reality. Budgeting isn't just about limiting spending; it's about planning for growth. Know your numbers, or they will come back to haunt you.

Define What You're Selling

We were like a store with no labels. You walk in, and you have no idea what's for sale. A business that doesn't clearly define its product is like a story without a plot—pointless and confusing.

Pricing Shouldn't Be a Mystery

Our pricing strategy was like a treasure hunt, except the treasure was a bill that no one wanted. Clear, transparent pricing not only makes it easier for the customer but also streamlines your internal processes.

Use What You've Got

We had all the gear but no idea. Resources are not just capital; they're investments. If you're not using them, you're wasting them. Period.

Teamwork Makes the Dream Work

A team without direction is like a ship without a compass—you're going nowhere fast. Everyone wanted to be the captain, but no one wanted to row the boat. Delegate, assign, and for crying out loud, get stuff done.

Set Goals, Track 'Em, Smash 'Em

We were like a football team that never looked at the scoreboard. Goals are not just numbers; they're milestones that keep you on track. If you're not tracking, you're slacking.

Talent Attraction Requires Substance

We were all sizzle and no steak. Talent is attracted to vision, and we lacked that. If you want the best, offer the best. And that starts with a solid foundation.

Turning Failures Into Lessons Then Stepping Stones

I putting this out there after learning about the "File Drawer Problem" in statistics and science class—yes I decided to go back to college after all of this—which is a phenomenon where scientist tend to not publish their results if they do not support their hypothesis. Simply, they only publish results that are significant and positive, proving their hypothesis correct. I believe that the same can be said about business and entrepreneurial content on the internet today. It seems like everywhere you look people talking about how they are winning, how they are doing so well using X strategy or doing Y. Nobody is broadcasting their failures.

Either it is an ego thing, people are embarrassed, my social media is a bubble of entrepreneur hype boys, or the failures never get the attention that winners get. I guess in a few months I will find out the truth whether or not this type of content resonates with people or not and the answer will be more clear but until then I truly hope that someone can extract some value from learning from these failures. The one thing I know for sure is that I will be using these lessons and applying them to my next venture and the venture after that and the venture after that until I have learned every single lesson their is to learn from failing. 

I never once failed at making a light bulb. I just found out 99 ways not to make one. ~Thomas Edison