Like “leader,” “entrepreneur” is one of those feel-good, self-help bullshit titles that have been diluted to mean everything from “I made Google” to “I attended a motivational seminar at the community center last Thursday evening. Want to join my sales network?”
Specifically, somebody in my extended family informed me that whenever I talk about “what I do,” it sounds like crazy nonsense. Like, I’m unemployed and I should get a “real job” or something.
Being an entrepreneur is like being an artist: it can mean anything on a spectrum from “delusional loser” to “starving genius” to “visionary power broker” to “I thought it sounded cool.”
So to better serve the general public in its endeavor to better reduce all human interaction to a numerically-prescribed procedure, I present:
Drew Yates’s Entrepreneur Quiz!
…for the family, friends, and bar patrons in the vicinity of an entrepreneur and the similarly-inflicted. By this test, one may more accurately determine how impressed and/or ashamed one should be to associate with noted entrepreneur.
0) Is he an entrepreneur? One must OWN a company to be an entrepreneur!
Yes. They own significant equity in their business. They could hypothetically sell their ownership of the company.
No. They do not own significant equity in their business. They own no assets other than the wages, salary, commission, or bonuses paid by the company.
If yes…
- A) add 10 points
- B) add 5 points
- C) add 0 points
- D) subtract 10 points
- E) ??? (too much variance to judge)
1) What kind of entrepreneur? My experience is technology startups, so what I say may not be relevant for corporate spin-offs, private-wealth ventures, finance, real estate, government contracting, etc.
A. Startup: small company, very fast growth, emphasis on exit (big payment at the end of a few years by an acquisition or IPO), usually technology-oriented
B. Product development without business priority (like open source projects)
C. Consulting, contracting
D. “The Secret” enthusiast, multi-level marketer
E. Employee of startup company
2) Does he seem well-accomplished, bright, articulate, confident, creative, and likable?
A. Yes. With a heart and mind like he has —with a bit of luck— he could do anything.
B. I think so. He certainly has some weaknesses, but he’s probably very good at what he does.
C. I guess he was a nice guy.
D. Wasn’t that like the guy whom my high school hired to give a motivational speech about “diversity,” but then we like saw him working at 7/11 senior year and he totally sold us beer?
E. Serial Killer or Programming Language Inventor?
3) What is his employment history?
A. previous success at other startups with a successful exit (significant profit from IPO, acquisition, or selling equity)
B. leadership management (”vice president” of a bank doesn’t count) or a senior engineer from a good company or consulting firm
C. middle-class desk job, like account manager or database programmer
D. level 59, World of Warcraft
E. Recent university student (4 year or graduate school)
4) Have they released a product?
A. Yes, with paying customers.
B. A beta, prototype, or proof of concept
C. No, but they’re working on it and they know what they’re building
D. No, and they have no obvious ability to execute.
E. Have been working in academia or industry doing research
5) Have they raised funding?
A. Yes, at least a Series A from a reputable venture firm. ($1.5MM+)
B. Yes, at least a seed round or angel funding ($150M to $1.5MM)
C. Personal savings, friends and family, small grant programs ($20M to $150M)
D. No.
E. Privately wealthy
6) Do they have a team?
A. Yes, they work with a team of experienced, talented founders and have already hired several employees (10+ non-founders)
B. A team of competent, complementary founders (3+) with talents and perhaps some employees and contractors
C. A pair of founders or a single founder working with maybe one or two reputable contractors
D. Just one lonely guy…
E. Team of students
7) How well do they run their business?
A. IPO-potential track
B. Business is registered, works with reputable law firm and accounting firm, reasonable business practices
C. Working in residental space, funding by credit cards, no or cheap law help, maybe no accounting help
D. What’s an LLC?
8 ) How good is the idea?
A. “I use this, know people who would use this, I can imagine many people paying for this.”
B. “I don’t understand this, but it seems like something people would buy in their market.”
C. “I don’t see how this could ever make money” or consulting / contracting / services
D. Perpetual motion machine
E. Too specialized / academic to tell
Scoring:
- 80: You buy him drinks, and you blow him on the drive back to your place.
- 79 to 40: You’ll be cooking breakfast
- 39 to 20: He’d better buy you dinner, first
- 19 to 0: Three date minimum, just like everyone else
- less than 0: Looks like it’ll be “Sex and the City” ice cream night again. Did I remember to feed the cat?
- ???: Probably a student or a recent graduate. You can safely ignore anything about what anyone says about who they are to be before the age 25 to fit whatever preconceived notion is most convenient to justify your level of sexual attraction.
(score interpretation open to debate depending on familial or gender orientation)
===
To be fair, here’s my score:
0) yes
[10] 1) A, though until recently most of my work has been C (contracting / consulting)
[10] 2) A, though particularly because I’m a generalist
[??] 3) E, I’ve been working at / with startups since high school, I’m not a senior developer, and I didn’t have an exit from my consulting business
[5] 4) I’ve released other products with paying customers, but because the products and the markets were small, I’m calling it “beta” as we’re integrating it into a new product
[0] 5) I’ve raised seed funding in the past under $150M, and it looks like my new business will also successfully raise a seed round, though this deal is not signed
[??] 6) I’m working with a team of two other recent students with the active guidance of two veteran advisers, but ultimately, we are a team of students
[0] 7) Working on it…
[5] 8 ) Because we’re working on a business-to-business product, not a consumer product
score: 30 + [??]*2
Looks like I’ll be buying dinner… That’s OK, a nice conversation over steak I can do.