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To the guy who said that big companies care more about show that they do about value, I simply disagree. I have been involved in 7software startups since 1986 running sales and marketing. I spent Sixteen years doing board meetings and dealing with ever watchful VCs as a sales VP. I know from whence I speak. In most sales envoronments I have been in, at the end of the day value (or the perception of value) usually wins. We were often the new startup, not too many references, pinching pennies, crappy collateral, even weak SLAs, etc. However, when we could convince the decision makers that we could deliver greater value (for them , the company and usually both) we got the deal.
I would contend that the guy who buys the biggest, most expensive or most often bought solution is quickly being replaced these days.
The idea that nobody ever got fired for buying IBM is an idea that really doesn’t fly anymore. The procurement process in the F-500 by IT, individual departments, or a general corporate procurment oversite group is too transparent today. You can buy from the big guy, your buddy, or the bosses friend, but the due dilligence or lack of it will kill you. Perhaps it’s the effect that SOX legislation has had throughoutl public companies. Or perhaps it’s the effect that technology has had in making it easier for companies to collect productivity information and flags, slice and dice that data and identify the results of good or bad decisions. What ever it is, I can tell you it is the rare company that doesn’t care about value in the IT procurement process.

I hear this idea that companies “don’t care about value” most often from companies that – 1. don’t really have the value edge in a given beauty contest or – 2. don’t know how to imprint the prospect with the perception of value.
The first is a marketing/product management issue, and the second – a sales issue.
Two cents.

Bye forever…

Most people want to start a company because they want to be free, they want to be their own boss.

But the end result of starting a company and getting VC/investors/partners might actually turn out to be taking away your freedom in life.

If you had a job that you didn’t like, you could just quit at any time.

But if you were the founder of a company with VCs/investors/partners and you didn’t like it any more … you can’t “just quit at any time”.

I’ve had some pretty bad experience with equal partners. It does more harm than good.

Especially if there are 2 equal partners or 4 equal partners.

This is because if there is a disagreement on an issue, there is no 1 person who can make the call and let the company get on with things.

Partners can get really passionate about important decisions that affect the company – and when there is disagreement where each party is sure that what they think is best for the company … most of the time the resolution won’t be pretty.

And the big problem is the “being locked in” effect. In which if you start to feel the company isn’t what you want to do with your life anymore, you can’t simply walk away without any repurcussions. You will definitely feel obligated to your partner(s) to some level. This works in favor of the company and is why Venture Capitalists like it. The point is that you can’t just simply decide on your own that you don’t want to do it anymore. Having parters locks you in to sticking with the company. Even though you can still walk away if you have the guts to, it won’t be a pleasant experience.

Also getting VC or investors also creates this “lock in” effect. In those cases your obligation is even bigger.

So imagine what if you were a year into it and things start to look bad and you can forsee that it will get worse and you don’t want to continue anymore. Maybe after you started you realised you don’t like the industry as much as you thought you did. And maybe you have other ideas about what you want to do with your life. But you can’t! Your investors and your VCs and your partners are pressuring you to stick with the company. Leaving it now might tarnish your reputation for a long time. So you just have to stick with it.

Most Startups go wrong (remember the 9 businesses out of 10 fail in X years statistics) .. imagine being stuck in one that you don’t want to be in anymore wasting a few years of your life.

I didn’t go through all that myself, but after my experience with partners/almost getting investors, I could see how it could happen.