Hello.
It is likely that you have found your way here for reasons.
If
you are a recent acquaintance, future associate or from within the
startup ecosystem, you may be best served by an introduction. Here it is.
If you are an entrepreneur looking for advice, you will not find it (for good advice travel here or here).
I don't believe in giving advice because it is either too general so as
not to fit or likely to be ignored. Also I do not yet possess the requisite experience or track record. Here you will find candid free form
thoughts culminated from experience, events and
observations.
If you found yourself here by chance, this is the blog
of a free thinker, secular humanist, angel/entrepreneur. You may find the
language obscure at times, but I encourage you to at least click through the
links within the writing. I spend a good deal of time traveling through
our collective conscience in cyberspace. All links on this blog are viable
tangents of interest.
Here's what I have so far:
natural selection
angels and demons
the long journey home
Cheers.
natural selection
tl;dr. An exposition on how context and purpose has driven our biology and sets a stage for entrepreneurial identity.
Recently, I stumbled upon a TED talk on perception. The presentation focused on optical illusions and concluded that our interpretation of the world was advised by context. It argued: Interpreted reality, informed by our senses and rendered by our brain, does not reflect the absolute truth, but a relative truth - relative to the observer's state.
We are pleasantly surprised by optical illusions, despite the bitter truth of their nature: Optical illusions are brain failures. Why didn't we evolve to accommodate for these flaws? Why doesn't the brain simply reflect physical reality?
The answer seems to be that our cognition of the world incorporates two additional elements: Context and Purpose. Our evolutionary purpose is to survive in many natural contexts. Effects we enjoy as illusions in the modern era, may have been instrumental to survival in times past. We see in color so that we may effectively contrast predators from the background. We adjust for brightness, in order to retain distributed focus. Indeed, the act of observation is not a passive or objective act. We are very much part of the reality we observe and this fact is utilized to generate greater meaning than a simple photo would suggest.
The observer cannot be independent from the environment that he/she is interpreting. This notion is useful. Let us view our startup ecology from a similar perspective: Entrepreneurial success is much better informed by our subjective interpretation of context and unique purpose, than prescriptive methodologies, or -the irony is not lost to me- cavalier advice columns.
I often shy away from general directives on how to succeed, issued by the business elite. Though brilliantly marshaled by extraordinary people, I find that they do not adequately reflect either of the two ingredients. An independent advice-giver can hardly capture the relative truth of the setting.
Such candid advice misses out on proper context; by dimensions of geography, social stratum or culture. Indeed every startup is unique. The founders, the team, the solution, the approach, the response, even the climate are all relevant factors that bear upon each startup's genetics. Therefore, the scary but liberating realization should be evident: You are the sole author of your success. It is your unique story that is to be written.
Alongside context, the story also has a plot. The main character needs a purpose. This is in contrast to the pervasive messages of control in the industry. The consultants state business stratagems: Corner the market, possess intellectual property, employ the talent, control assets. And yet none of these speak to the essence of the endeavor, nor do they account for a simple fact: You may go down the checklist of industry pointers, and fail anyway.
In wrestling with control, one will come to realize that it is an illusion. We are, to much greater extent, swept by winds of fortune. Thus and alas, even the most powerful are often seasoned with a pinch of humility in a simple expression of human frailty, or reaction to vanity. It must be admitted that we are defeated by our limitations, or simple chance, more often than our purposeful mistakes.
Rather than fixating on prescription road maps, then, we may take another lesson in success from our evolutionary biology: We may be driven by purpose. Purpose incorporates determination and breathes meaning into your endeavor. This element - unique to the individual and not offered by the consultants - provides a more steadfast vessel against the tides.
The expression of purpose may describe how failure leads to success. An obsession with control could bring frustration and resentment, a commitment to purpose, however, admits to reassessment and rallying.
Clearly, given the intricacies of life and chance, many will not succeed. But Survival of the fittest will only give you a fair shot if you express yourself to the fullest. Entrepreneurial paralysis is the likely symptom of an industry with much commotion on what you ought to do. Don't let the noise drown your own voice. Your trust must invariably rest upon yourself; the interpreter of your very own context and purpose.
Recently, I stumbled upon a TED talk on perception. The presentation focused on optical illusions and concluded that our interpretation of the world was advised by context. It argued: Interpreted reality, informed by our senses and rendered by our brain, does not reflect the absolute truth, but a relative truth - relative to the observer's state.
 |
| Same color? |
The answer seems to be that our cognition of the world incorporates two additional elements: Context and Purpose. Our evolutionary purpose is to survive in many natural contexts. Effects we enjoy as illusions in the modern era, may have been instrumental to survival in times past. We see in color so that we may effectively contrast predators from the background. We adjust for brightness, in order to retain distributed focus. Indeed, the act of observation is not a passive or objective act. We are very much part of the reality we observe and this fact is utilized to generate greater meaning than a simple photo would suggest.
The observer cannot be independent from the environment that he/she is interpreting. This notion is useful. Let us view our startup ecology from a similar perspective: Entrepreneurial success is much better informed by our subjective interpretation of context and unique purpose, than prescriptive methodologies, or -the irony is not lost to me- cavalier advice columns.
I often shy away from general directives on how to succeed, issued by the business elite. Though brilliantly marshaled by extraordinary people, I find that they do not adequately reflect either of the two ingredients. An independent advice-giver can hardly capture the relative truth of the setting.
Such candid advice misses out on proper context; by dimensions of geography, social stratum or culture. Indeed every startup is unique. The founders, the team, the solution, the approach, the response, even the climate are all relevant factors that bear upon each startup's genetics. Therefore, the scary but liberating realization should be evident: You are the sole author of your success. It is your unique story that is to be written.
Alongside context, the story also has a plot. The main character needs a purpose. This is in contrast to the pervasive messages of control in the industry. The consultants state business stratagems: Corner the market, possess intellectual property, employ the talent, control assets. And yet none of these speak to the essence of the endeavor, nor do they account for a simple fact: You may go down the checklist of industry pointers, and fail anyway.
In wrestling with control, one will come to realize that it is an illusion. We are, to much greater extent, swept by winds of fortune. Thus and alas, even the most powerful are often seasoned with a pinch of humility in a simple expression of human frailty, or reaction to vanity. It must be admitted that we are defeated by our limitations, or simple chance, more often than our purposeful mistakes.
Rather than fixating on prescription road maps, then, we may take another lesson in success from our evolutionary biology: We may be driven by purpose. Purpose incorporates determination and breathes meaning into your endeavor. This element - unique to the individual and not offered by the consultants - provides a more steadfast vessel against the tides.
The expression of purpose may describe how failure leads to success. An obsession with control could bring frustration and resentment, a commitment to purpose, however, admits to reassessment and rallying.
Clearly, given the intricacies of life and chance, many will not succeed. But Survival of the fittest will only give you a fair shot if you express yourself to the fullest. Entrepreneurial paralysis is the likely symptom of an industry with much commotion on what you ought to do. Don't let the noise drown your own voice. Your trust must invariably rest upon yourself; the interpreter of your very own context and purpose.
angels and demons
tl;dr. A slightly cynical warning against predatory investors in the Turkish startup ecosystem. Reasonable compromises as a foundation for human solidarity are explored.
At this time, I should probably clarify what I mean by angelpreneur. Through the miracle of electronics, looking up angel and entrepreneur should be straightforward. While I can't take credit for this witty mot juste, I've signed onto the related challenge: Like all unions worthy of the name, the whole ought be greater than the sum of its parts. Indeed, most business angels who have seen success subscribe to this dual quality of financing and hands-on work, enabling them to contribute more than liquidity to the companies they support.
As an actor in the angel-vc-startup ecosystem in Turkey, I feel obliged to report on the simple facts of carving an existence here, though I may be drawing crosshairs on my back. Most of this commentary shall be hostile to the operating norm, especially towards the financiers. In this regard, young upstart, I represent you, pro bono.
The
simple truth is this: When searching for seed stage financing, the
founder of the business may encounter two characters; the angel and the
demon. While I will list the mannerisms in a bit, the nature of
the creatures differ in a single crucial aspect: Perspective. The angel seeks
prosperity through unity. He/she understands the inherent values
brought to the table by all parties involved; and is altogether
grateful of this joining of forces.
The
demon – a solitary predator – is a wholely different entity.
He/she sniffs out the need and opportunity in the system. From the
demon's vantage point, the startup is in great need. It ought be
morbidly thankful to the generous individual who satisfies that
need. At each turn, the demon will go out of his/her way to
demonstrate the investment as an entirely one-sided gesture of
extraordinary kindness. The true fact of the matter is that the demon
is otherwise unimaginative, unambitious or not diligent enough to
undertake the epic journey of starting up. By tacking on, he/she
satisfies the hunger to partake in this hippest of business topics.
You
see, of course, where this lands you as the entrepreneur. If you side
with the demons, your life will be one of appeasement. Your failures
-which must be plentiful in order to eventually succeed- may be
fastidiously reprimanded, just as surely as your successes
shamelessly claimed.
These allusions are clearly a stereotypical, binary presentation, while the true phenotypes have
many -dare I enumerate?- shades of grey. Sensationalism, on my part, has benefits in marketing. I am, as of yet, without a decent PR agent.
The duality of investor profiles is a natural byproduct of struggles,
against the backdrop of a greater conflict within this country: These
are the coasts upon which the tides of western progress smash against
the steadfast traditions of the east. Along these jagged shores,
every endeavor is subject to the storm.
Turkey is a well-meaning country. The
people are known to be warm and understanding. And yet, without dragging my feet, I can say that this country's
most unfortunate shortcoming is the lack of reasonable compromises. These gestures of good faith,
which are a simple expression of human decency so prevalent
in the west, elude us (as evidenced by the battle-for-lanes that is Istanbul traffic).
We -with a hint of hubris- proudly boast of the pleasant taxi driver with whom you can save the world in discussion, or incredibly decent hosts who will welcome you into their home for a cup of tea, as our compatriots. But when it comes to points of power, authority, and seats upon high, this warmth is suspiciously absent. If you found yourself stumbling along the long bureaucratic road more than once, you'd be convinced that the most ubiquitous expression in the Turkish language, translates, "it is forbidden". "Stand and deliver!" seems the more appropriate phraseology.
We -with a hint of hubris- proudly boast of the pleasant taxi driver with whom you can save the world in discussion, or incredibly decent hosts who will welcome you into their home for a cup of tea, as our compatriots. But when it comes to points of power, authority, and seats upon high, this warmth is suspiciously absent. If you found yourself stumbling along the long bureaucratic road more than once, you'd be convinced that the most ubiquitous expression in the Turkish language, translates, "it is forbidden". "Stand and deliver!" seems the more appropriate phraseology.
Reasonable compromises. This seems to be the foundation of any well-adjusted society and an ideal construct for joint human endeavors. It is a bridge between what I can do for you, and you for me, paying no homage to the waters that separate our unique existence.
Let me wrap up with the rather amusing short list of mannerisms I have observed, by investors with angelic aspirations but demonic tendencies:
- Investor or Debtor?
It seems some angels are confused with the idea of an investment. Lets work with numbers. Lets say Angelus agrees to invest an amount of 100 shekels for a stake of 25% of the company. In some part, appealing to the naiveté of his entrepreneurial partner, he fronts the cash in 2 separate bank transfers. Wire no. 1 transfers 25 shekels, with a note stating "Paid-in capital". Wire no. 2 transfers 75 shekels stating "debt to company".
What Angelus has pulled off here is that he risked only 25 shekels of his personal money. The rest is a debt burden on the company. Moreover, as the entrepreneur will find to his surprise, he is also now personally liable to Angelus, should the company go under. This is because, with a company valued at 100 shekels (as was originally intended), the 75% majority stakeholder (the entrepreneur) is liable to pay-in 75 shekels of capital, unless this capital is payed, on behalf of the entrepreneur, by somebody else (with wings). Ouch.
- Your kingdom for a horse
Lets keep in mind one simple fact: vibrant markets are never short of opportunistic buyers. Demons are opportunistic buyers. This is to their credit: Money is valuable. But more so are ideas and the ability to see them through. Oft is the case that talented people sell their businesses at low valuation. The common demonic tendency, here, is to take a lot, or even a majority, of a company for relatively little cash. Alternatively, some angels provide professional services, which could otherwise be purchased for cents on the dollar, for a large stake in the company. This tendency is understandable, predictable and often causes big problems down the line.
Here is a rule of thumb, backed by simple arithmetic. If you give away less than 30% of your company in a seed round (an acceptable standard), you will end up with around 20%-30% at the end of 2 or 3 funding rounds with professional VCs. If you give more than 30%, you will end up with less. Careful.
- Imaginary friends
A common symptom with high net-worth, self-important individuals is to disappear. Citing the indomitable feat of asset management, they are mostly absent. This pattern will easily out itself in the form of unanswered phone calls, ignored emails or difficulty in arranging meetings. Once you identify these tendencies, you should expect them to last throughout your relationship. Admittedly, this hands-off approach is sometimes desired by the entrepreneur. Yet there are great opportunities to be missed by the lack of brainstorming, critique or sharing of networks.
---
---
Fighting to keep my lane in Istanbul traffic, I encounter a mandatory police checkpoint, in what resembles the 21st century. I wish to speak out against this. Except there's always a price, and in this arrangement, the payment involves checking-in to a rather tastelessly decorated interior. And, like the songwriter says, 'you can check-out any time you like, but you can never leave'. Reasonable Compromise.
the long journey home *
tl;dr. I am a young tech angel/entrepreneur. Started out in New York, relocated to Istanbul, 2011. These be my musings on the ride. No lectures, only reflections.
I have, many times, in this latest year among my twenty-six, made the long commute between the City of the west and the City of the east. Depending upon the angle of your cognitive vision, this may describe something very different to you. Indeed, by the limits of my reckoning, New York is as west as it gets, while İstanbul is firmly planted in the east.
I have, many times, in this latest year among my twenty-six, made the long commute between the City of the west and the City of the east. Depending upon the angle of your cognitive vision, this may describe something very different to you. Indeed, by the limits of my reckoning, New York is as west as it gets, while İstanbul is firmly planted in the east.
If by some fortunate occasion you have
stumbled upon this entry point into my expositions, it is likely that you
are anchored somewhere further west, or further east. You may be a
New Yorker who finds much needed escape in sunny California. Or you
may view Istanbul as the pinnacle of civilization, even as you look
upon it from your home in the cradle: Anatolia. I may perhaps be in fitting position, in this case, to offer the following morsel: We are, the east and west, very much divided in our ways. It is only in the realization of 'the journey' that we find common ground and perhaps strive for a better joint future. I shall develop this line of thought in coming posts.
Some at this point, admittedly with good reason, have already dismissed my train of thought and moved on to more practical matters. I assure you; we will get there, after some necessary warmups, introductions and icebreakers.
Some at this point, admittedly with good reason, have already dismissed my train of thought and moved on to more practical matters. I assure you; we will get there, after some necessary warmups, introductions and icebreakers.
The good years of my childhood were
spent in Istanbul, and my adult life carried out in the East Coast of
the US. As a graduate of MIT, nerd is the title I fancy myself. Yet coming from a
point of privilege, and being a descendant of lifelong businessmen, I
am vigorously encouraged to partake in the family affairs. Requirements of said expectation would involve the warming of a rather cozy seat in the boardroom, and a participation in management of companies involved in textiles and/or infrastructure. I will not elaborate much on the associated mental struggles,
as there are many unpleasant words reserved for such advantaged
self-indulgence. This, with the interested and engaged company, I
will readily discuss over a glass of scotch, or rakı, whichever be
my companions fancy. Suffice it to say that I strive for meaning beyond accumulation of wealth. I believe in science and technology as the singular source of human greatness. I wish to further this endeavor; create my own (non-PhD) outward dent in human knowledge.
The long bi-monthly commute to New York
serves as a reminder of my days in the city. It serves as a
refreshing break from the east, and a resetting of the brain. In fact
I was very pleased with myself when I found the appropriate
soundbite: Going for a mental massage in New York. A few years back,
for a short but informative period, I got a glimpse of what is now popularly dubbed 'the dark side'; although the softly luminous
trading floors of JPMorgan seem anything but. These were the mortgage
crisis years. Following this, I plunged head first into the startup
community. I wrote code and oversaw technology for Hunch.com and
Sulia.com respectively. Within a relatively short time for a desk
job, but long enough for an entrepreneur, I heard the Bosphorus
calling. Armed with what I could gather by way of experience in
Silicon Alley, I decided it was time I took the next step: Angel.preneur.eering in Istanbul.
Things never go smoothly when you make
the jump. The water below is never as warm as you expect. A journey
to find your way home will often fling you further out: Is this my
home? Was I home before and have I lost my way now? If this mode of
thinking rings true, (and for many it will not) what I may
offer, by way of an opinion, is this: The journey does not describe a
strive to find a place, a status or a career. It depicts the
self-actualization of the adventurer. Lets you and me, see if we can
drive this point home.
We often find ourselves at a
crossroads. Chasing the local maxima of our present unfulfilled circumstance, watching the many opportunities go by. Opportunities take many forms: Chance to excel ourselves, find ourselves,
express ourselves, escape ourselves. Too many flavors of ice-cream,
too many restless individuals in cue... We wait for a more opportune
day. Surely there is that hottest of summer days that will force our hand, to get our first cone, to take the colloquial
plunge into cooler waters. Isn't there?
Unlikely. To elucidate bluntly, I have witnessed many of my peers fit nicely into the cogs
and grinds of office desk jobs. While this route admits its own set
of virtues – diligence, endurance, patience and performance – the
associated disappointment is unmistakeable: In a world in which
self-actualized success is so prominently featured and consumed as
tweet-sized packets, those who fancy themselves greater roles are
left wanting. Unable to make the jump, they wait
for the push that never comes.
And so the bright, feisty young individual
finds himself/herself stuck at a local maximum, unable to achieve
the global maximum for a person of such talent. Don't let this be
you. Whatever conscious existence is, you'd be hard pressed to label it a savings account. More closely,
it's a ride. If you wish to reach your potential, get on the ride. This is your journey home.
I am not yet home. Like your ride -no
matter what age, assuming you're ready to make a jump-, mine may also
admit to only one stage: This is just the beginning. In the words of
a stellar exemplar;
'Knowledge
is preferable to ignorance. Better by far to embrace the hard truth
than a reassuring fable. If we crave some cosmic purpose, then let us
find ourselves a worthy goal.'
*I
will try to be more practical in my reflections on our startup
ecosystem, I promise, if you permit me the occasional sidestep into
cosmic purpose.
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