How a great founder becomes a great CEO | Jonathan Lowenhar (co-founder of Enjoy The Work)
Lenny's Podcast: Product | Growth | Career
Deep Dive
Why do well-run companies succeed?
Every well-run company has a rhythm. Building a company is always the same, regardless of industry. Founders must learn the rhythm and skills needed to launch, grow, scale, and exit a company.
What's the difference between a founder and a CEO?
Being a founder is a state of being—an attitude. Being a CEO is a craft and requires a distinct set of skills.
What are common company failure modes?
Choosing the wrong market, building something no one wants, founder dysfunction, and poor execution are common company failure modes.
What are some common CEO failure modes?
Common CEO failure modes include being a robot CEO (ignoring emotions), a pleaser CEO (avoiding conflict), a perfectionist CEO (prioritizing being right over moving forward), an angry CEO, a laissez-faire CEO (neglecting management), or a micromanager CEO (lacking trust). Also, some CEOs are too cautious with spending (riding the brake) or too reckless (riding the gas) and poor at planning (ready, fire, aim).
What is the Magic Box Paradigm for selling a startup?
The Magic Box Paradigm inverts the traditional sales process. Instead of putting up a "for sale" sign, founders seduce a buyer by learning their fantasy (what they envision happening if they acquire the startup), proving the fantasy (providing evidence it can work), and quantifying the fantasy (building a financial model based on the future).
How can founders build relationships with potential acquirers?
Founders should network authentically, focusing on shared interests and industry insights rather than explicitly selling their company. Strategies include participating in industry panels, sending personalized LinkedIn connection requests, and engaging in informal conversations.
What advice do you have for founders on hiring?
Hire people who have already done the job you need done, have a history of being "pulled" into new roles due to their performance, and whose values align with your company's.
What are the three types of executives startups hire?
The Architect (builds the initial playbook), the Optimizer (refines the playbook for efficiency), and the Scaler (finds leverage and expands reach).
What are the four key components of a go-to-market strategy?
Ideal Customer Profile (ICP), marketing (including positioning and branding), demand generation (finding and reaching potential customers), and sales (developing a playbook for closing deals).
Why should founders trust their intuition?
Intuition, cultivated through self-awareness and quiet reflection, can guide founders through difficult decisions, especially during existential moments. It's distinct from reactive fear responses.
- Being a founder is a state of being, being a CEO is a craft.
- Founders need to learn CEO skills to build a successful company.
- Building a company requires different skills at different stages (launch, growth, scale, exit).
Shownotes Transcript