1. Being too confident (not susceptible to change)

We are all about confidence; if we wouldn’t be, everything would be different. However, being too confident is the opposite of having self-doubt and doubting… well healthy doubting is one of the thought processes that help you reevaluate things. And start-ups are all about reevaluation; In fact, the most exciting thing of start-ups is being on your toes all the time, no security, just action and risk.

This got ingrained in my mind while watching Start-Up Junkies a TV series of entrepeneurs on the excitement of working on new ventures. Part of the thrill is having the power to sit back and take new decisions. So, if your confidence takes you to the point where change is not an option, you’ve just maneuvered into your first pothole.

2. Not deciphering the system and where you stand in it

When we started out we had very few contacts and a vague impression of how things worked. It was very hard to do business because we didn’t know where we stood,  who anyone was, and where we needed to be. Through the years we’ve found answers to all those questions and have thrived because of it. Those answers differ by industry, by company and even by individual, but it is very important to have them.

Essentially it’s like finding out which game you’re playing, what your cards are, what your goals are, and who the other players are. If as a company you’re in the dark about any of those it is very hard to do anything right.

In our case we originally thought that ad agencies were our direct competition, enemies to be avoided. It wasn’t until later that it became evident that it was they who could benefit the most from our services, by outsourcing their web development projects to a company who’s payment depended on quality and a strict schedule. This although evident now, was a game changer for us, and our relationships with various advertising companies are what drives a large chunk of our business.

3. Giving competitors the wrong treatment or non at all

One of our partners owns a lot of bars in Old San Juan, I remember him telling me about a mistake new bar owners often make: treating competitors as enemies. The #1 reason it is a mistake in his industry is that people simply like bar-hopping. Being part of a strip of bars, it is very important for him and his competitors to maintain the hype on the area. So often, as another partner does in his restaurants, they would rather advertise the area instead of just the single business. Emilio hosts the SOFO culinary festival and Pablo the Candela Arts and Music Festival; the whole street celebrates the cultural Fiestas de la Calle San Sebastian every year.

So, although you wont give all your secrets to your competitors; it is very healthy to stay current with your industry and keeping a healthy relationship with the people that will compete with you for years to come will, at least, do just that.

4. Creating a solution where there is no problem

This is Javier’s (partner) mantra. Always asking yourself if your new solution solves a problem will save you a lot of headaches. I remember launching Puerto Rico’s first social community site: Qoodos.com, it was great, we hosted awesome parties where people could simply come and have a good time for free. The cost of the parties was payed for by companies who would ask questions to the party goers (their demographic) through online forms; that was our business model.

The mistakes started when we decided to change the site’s experience to something similar to MySpace (we didnt know MySpace would eventually flop then). More mistakes followed, such as hosting user uploaded videos, giving blogs to users, and we were even planning on giving them their own marketplace. None of the new things followed our business model and eventually the site’s users dwindled to the point were we decided to close it. The reason: they already had social community sites, youtube, blogger and ebay. There was no need to expand the community to that point, our solutions didn’t solve a problem and that leads me to the next pothole.

5. Consistency vs Innovation

It is the nature of start-ups to be innovative, usually we try to do something better, faster and cheaper or make a new thing altogether. But it is very easy to have an idea and build on it to the point that it becomes some intangable monster with stuff falling off its back. As any restaurateur will tell you, consistency is one of the most important aspects of a business. So once you decide to start a startup try to simplify the idea to a point were potential clients will understand and stick to it, stepping off the innovation wagon until you’re sure the idea sells.

So far, from the looks of the logo and presentation; there is something very “web 2.0″ and modern about the project. We are very eager to see this company develop into something grand and are certain that Hector’s expertize in the field will “drive” them towards this goal.

So, as part of that which is web, we welcome the Kranios Marketing Think Tank.

Kranios Marketing Think Tank