The 135 Things I Learned In Saas, Sports, Tech, & Live Events in 2022
We started the year with Covid (literally), and it got crazier from there. What we learned running a $100m business through it all. There's no better teacher than life.
2022 started with my family flat on our backs with Covid (nothing major, a cold for a few days) and ends with me fighting Strep from pushing too hard on vacation. In between, we had one heck of a year.
We saw a frothy SPAC/IPO/M&A market disappear. Crypto went from boom to bust. The "Great Resignation" became mass tech layoffs. LA hosted a Super Bowl - and won it. The Astros won a World Series without trash cans and the Warriors won a title with Klay coming back. Messi made an argument to be the GOAT and SBF made his argument to be one of the greatest financial villains of the year.
Here are the 135 things we learned along the way in our weekly diary to those we love while we run a $100m business, raise a family, and navigate our way through life.
. When forecasting the coming year, hit the first quarter no matter what. We're all excited about the upcoming year and many of us are optimistic, it's why we're entrepreneurs! The board and investors will push for bigger growth numbers as that is their job. Stand your ground on Q1. Give elsewhere. If you miss Q1, even when you have 9 months of black behind it, that red Q1 shows up for months. Be aspirational. Commit to big growth. But make sure you're going to hit that Q1 first.
"50% of all marriages end in divorce, but 90% of newlyweds strongly believe that stat doesn't apply to them," from Thinking Fast & Slow. We use this quote often in business and personally. Everyone thought the Moneyball Oakland A's were crazy. Or that the "jump-shooting Golden State Warriors will never win a championship." We're told these stats in business all the time and we all believe we don't have bias, it's everyone else who does."40% chance your VP Sales won't work out" (per Jason Lemkin)? Yep. You too. "40% of companies in this fund will go to zero inside two years." Yep. You too.
"And he did b/c you did b/c his parents and your parents b/c America b/c England b/c ancient Rome b/c primordial ooze." Anyone who's ever led a team or a business sees the genius in Adam Perlman's line from Billions. The way this line implores the audience to deal with the situation at hand instead of lamenting on the past while identifying just how common all our rivalries and bitterness are…just terrific. Here we are, what are we doing next? Sometimes it isn't worth explaining why some people are who they are to you or your company. A simple "they're not on team us" works fine.
https://www.linkedin.com/feed/update/urn:li:activity:6887781430345240576/
. Antonio Brown and your sales team. We all watched Brown storm off the field after ripping off his jersey when the Bucs played the Jets. Turns out, he was upset about his incentives which weren't aligned with the team's goals that game. Comp plans are very difficult. Just know, no matter how strong a culture we think we have, sales people will always do what's best for them first. That means cutting corners to close deals in certain quarters, looking for loopholes to get an accelerator, mis-categorizing deals, demanding incentives even when they miss the number (see: Brown) and burning every bridge there is to get to their max incentive- team goals be damned. Comp is a legal issue too. If we make any mistake, we pay. Period. Nothing will ruin our culture faster than missing on incentive pay. Spend lots of time here.
"All deals have broken glass." For young entrepreneurs, going into a financing or a sale can be scary. Things are going great, which is usually why there's a deal occurring, but that doesn't mean there won't be some uncomfortable conversations or circumstances we know will be uncovered. One of our investors taught us as much and it's been true of every deal we've been in. Plenty of examples out there, like the lawsuits challenging the Pittsburgh Penguins and Denver Broncos sales.
"The world equally distributes talent. It doesn't equally distribute opportunity." And in that statement is serious opportunity for those willing to look "outside the margins" of the institution to find teammates, partners and customers who can really grow our businesses. If we do what everyone else does, we get what everyone else has. Many of our biggest wins have come from outside the brand name colleges, the flashy partners, or the hot customers.
https://www.linkedin.com/feed/update/urn:li:activity:6890311844926504960/
. In 1997, we lost the gold medal match in volleyball junior nationals to a Reebok team from San Diego. There's a picture, which I can't find, of us with our hands on our hips watching them celebrate. It was the second time they'd beaten us that day solidifying the fact they were better than us- despite our winning six matches that day to earn the rematch. No questions left to ask.
At that time in my life, that gold medal was one of the most important goals to me. And we lost. It felt different than I would have expected and changed our futures. What I've learned in life from losing in a gold medal final.
Usually, when we lose, we grieve. And that grief is amplified by 'what ifs.' What if I'd practiced harder. Lifted more. Changed the offense. Would we have won? But in this case, unlike losses before, I felt no regrets and it was very strange. No second guessing. I was accepting reality: they were better than us. I did everything I could for years leading up to that day. That tournament was the best I'd ever played - by a lot. We still lost. And it was more okay than I thought it would be in the moment. It was surreal. There is freedom in going for it all when we do our very best. Even if we don't get there. Knowing so helped us take the chances we've taken here.
Losing is like anything else - louder in the moment. We had been assembled nearly three years earlier with a single goal- Gold in 1997 in the 18 Open division. From there we grew up together. When I got home, I handed the medal to my dad and told him "I never want to see it again." My dad, far wiser than I, went and had it framed. I wasn't proud of it in the moment, but he was plenty proud for us both. I still haven't seen it- 20+ years later. But now I'd like to. And I'd look at it with a lot more pride today than I did then. Don't destroy the accomplishment in the heat of the moment. You'll never know what you're most proud of as time passes. For me, now, having kids playing volleyball and seeing just how rare it is, just knowing I was there and on the court makes me smile. Ah the good ol' days….
It really does make you stronger but not in the way you'd think - even when you can't see it in the moment. I could insert a million movie clips, from Rocky to Batman to the Avengers, of the unbeatable protagonist losing to the super villain, regrouping, and returning stronger to defeat said villain. Reality imitates art. Knowing we can lose, tasting our own blood, and coming back - that creates a different kind of confidence. There's less fear of losing the next time. There'll be another gold medal match in our lives. It'll just take a different form. Shout out to Nike Santa Cruz 1997!
12. https://www.linkedin.com/feed/update/urn:li:activity:6892884422442545153/
One of the most common questions we get is around joining a startup. There are a myriad of reasons people consider the move, and those are personal and not our business. But questions about compensation lifestyle and career path we can offer our experiences on. The four things we advise when our friends and connections are considering joining a start-up.
13. You're not going to get as clear of a picture of your stock's actual value as you'd like. No matter what anyone tells you on Twitter. Everyone online opines to demand the full breakdown of any prospective employer. I'd prefer it too. And some high-level hires can do so. The bulk of the staff, however? It's impossible. There is so much structure out there. There's preference, super shares and all kinds of funny business which can change value significantly and quickly. Even if you have X shares out of Y total outstanding right now, there's a low chance that math holds up as most companies grow. It's imperative to work for people of integrity who care about you. References matter much more than the math, b/c the math is too easily fudged. It's also comp, and it's not standard practice to tell new hires what everyone at the company's compensation is. The only way to truly know to the penny would uncover who else has what pretty quick.
14. Take a start-up job because of the lifestyle not the money or the outsized score. In my limited experience (roughly 20 years), those who get the most from working at startups, excluding the lottery winners, do so for one of two reasons: 1) They value purpose over paycheck and status. At a start-up, everything matters more as resources (time, money or people) are more scarce and 2) They want to jump the line and are willing to take less money and more risk for the prospect of outsized experience. There are a number of other reasons, but these two seem to make up the majority. Most people would make more money working in more mature businesses over the course of their careers.
15. Conviction. It's important to really dig in on the conviction of the company towards their ideas. Businesses change and evolve. Often they pivot and it is wildly successful. But some start-ups make too many changes too fast and you could find yourself working towards an idea you don't love pretty quickly. Is there product-market fit or, at least, conviction in where it could come from and how?
16. The exec team matters so much more than the idea. If the idea is exceptional, but you don't believe the leadership is, run. Most start-ups iterate many times over. More importantly, leadership at a start-up don't have checks and controls around them found at more mature firms (see Adam Neumann, Elizabeth Holmes etc.) They are finger on the pulse all the time and can do some pretty crummy things. The people matter more than the idea. It's cliché. Everyone says it. Yet few follow it. Just read all about the employees left empty handed from Theranos, Good, and WeWork.
17. How To Ask For Sports Tickets (And How Not To!) - The Definitive Guide: https://www.linkedin.com/pulse/how-ask-sports-tickets-tony-knopp/?trackingId=4YQ4IXC7TvK5RC7J2gkQxQ%3D%3D
18. https://www.linkedin.com/feed/update/urn:li:activity:6898063900626038784/. The fraternity will be over soon. The industry is full of those who 'paid their dues' in a sales office or internship to move up in the business office. That talent pool was limited back then to those who could 'survive' getting paid little money out of school while they got in the good graces of the fraternity above them. They moved up, many of them not bothering to stay up to speed with tech and disruption outside the industry. They're getting run over by disruption rapidly. We've been working with bankers and gaming for over a decade now. These are Harvard/Stanford/Etc MBAs and JDs, alongside wildly intelligent founders, operating at another level. They eat inefficiency, especially when driven by biased ego. They're here. And they're hungry.
19. Many in sports don't understand what 'early' really is. When we talk to those being displaced, or those trying to push the envelope, they often say they want to get into "new" businesses like health and wellness or gaming. They ask me all the time about StubHub, FanDuel or Hyperice, as examples. FanDuel is thirteen years old. I have a friend who was on the board through some rocky policy shifts in gaming. It ain't 'early' there. One of the leaders I admire most, Jim Heuther of Hyperice, has been there 8 years. The company is 12 years old. I joined StubHub in 04 - already the 4th year. Yes, that's 'early' to sports pros used to certainty, employment contracts and cash comp unrelated to stock, but not to the rest of the disruptive world. A lot happens before disruptive businesses cross over to our collective knowledge.
20. The conversion will be rocky. Most team execs don't understand terms like "KPI", "LTV" "CAC" or many common practice banking terms. It's not how they've valued and run their businesses. Scalable businesses use different metrics. They are much less likely to add headcount for revenue. There have been a number of acquisitions recently which didn't disclose valuations. Many categorized as "tech" firms which are really agencies selling at agency values. For more on how relationships are valued vs tech, check out Michael Ovitz's book.
21. https://www.linkedin.com/feed/update/urn:li:activity:6900460314421280768/
. Nobody can manufacture passion. It takes time, as we saw at Super Bowl LVI on Sunday . Same goes for culture. The Rams built a $5bln stadium and poured millions into building a fan base. They were overrun by road fans in the last two games. Culture is built by the culture. Not by mandate. Last week, at my daughters volleyball game, our coach let some parents know they didn't want the kids looking at their parents during the match (the parents are, lets just say, a bit into it). He then threatened to bench the girls if they did. He wanted them turning to one another. Eh. That's mandating a culture. Trust is formed naturally, not by force. It is why it is so incredibly powerful. Trust is built through belief and positive growth, not by short term incentives or threats of punishment. Teams don't trust each other because they're told to, they trust each other b/c it's earned.
22. "The most successful wrestlers I've ever worked with are the ones whose characters are the most authentically and organically extensions of who they really are." - Jim Ross, Head of Talent for the WWE for 20 years. Same goes for sales. Ran a pretty broad RFP over the summer. The amount of authenticity was staggeringly low as bankers all acted like one another. The best, from our experiences, are the most authentic.
23. "The better you get the more "boring" the business can seem." So much truth here. At a new business, fighting through the "Jungle" phase is stressful, exhausting, unpredictable and…..exciting! Once you start scaling and doubling/tripling down on what's working, it is less unpredictable. There's a playbook and less improvising. Focus here as that's when small tweaks have outsized outcomes. We all take the talent we get from experience for granted.
24. https://www.linkedin.com/feed/update/urn:li:activity:6902983873660092416/
. Ukraine and off-shore development will impact a lot of businesses we all know. Unrest in the Ukraine has a number of layers - which we can't cover here. One of them: Ukraine is a very popular off-shoring destination for software development work and support for a number of western companies. There are a lot of agreements reliant on data and geopolitical security in the Ukraine which are void as of today. Always have a plan B when off-shoring. Always.
25. Rumor has it Allegiant Stadium didn't carve out the Super Bowl in '24 from their suite holder agreements. If true, and we've heard it now from a number of suite holders that the building is trying to "buy back" the suites, what an incredible win it is for those who got in early on the new stadium.
26. "A drop of sewage can ruin a magnum of champagne." We can never be too diligent in our relationships. Whether a deal, a culture, or even personally. Often people believe their culture can turn around troubled situations - some examples include athletes going to new teams and thriving. More often than not, that athlete was mislabeled. Be very careful with toxic people. It's as potent as a drop of sewage
27. https://www.linkedin.com/feed/update/urn:li:activity:6905536344223813632/
. Fanatics announced their big new war chest this week and rumor is they're looking to buy a ticketing company by end of Q3 with Seat Geek a target. Who knows if it's true, but if Seat Geek is next in line for the unrenewed StubHub deal, things will get interesting in ticketing quick. Omnichannel isn't a new idea, it is just finally maturing industries already are as per caps expand with gambling, NFT's and more. The game is no longer in the entertainment district - it's everywhere.
28. Be willing to cut bait. Especially with Conferences, books, jobs and classes. Back in the early 00's at AEG our boss took us to the Burbank Marriott for sales training. It was a hike from downtown LA and required us staying late. Once we got there, the content was awful. But how he handled it taught me a lot. Instead of making us sit through it, he apologized halfway through and encouraged us to leave to "save what's left of our Thursday night." It doesn't sound like much, but most bosses I've had would have made us sit through the end. We do book reports at TicketManager and it surprises me how many people will stick with a book they don't like just because they started it. I see the same at conferences, where we see people hanging out with their friends, who they can call and see anytime, and skipping the content while they 'stay to the end.' If the conference isn't worth the time - leave. Life's too short....move on.
29. The world don't miss ya like you miss it. When I quit my job at AEG after about 3 years, it was a big deal to me. I was 24 and 3 years was the majority of my working life. And I was the #1 rep! Nobody cared. As they shouldn't have, I was a small fish there for a cup of coffee. Ten people were behind me ready to take the top spot. Learned that lesson first hand. Saw it again, much more powerfully, when reading "Tuesdays With Morrie." I've watched countless professionals leave a gig thinking the place would crumble without them only to be forgotten within minutes. World keeps spinning - and that’s terrific news. The sooner we recognize, the more we can understand where we are on in our organization's eyes and the more lasting good we can do at each stop. In the end, our goal should be to build a place and a team we can leave without it falling apart.
30. https://www.linkedin.com/feed/update/urn:li:activity:6908072928609492992/
Entrepreneurship doesn't mean freedom like people think it does. The vast majority of those who intend to "be their own boss" one day overwhelmingly cite freedom as a reason. And there is a lot of freedom. But not nearly as much as most believe. Unless independently wealthy already, you'll still have banks, customers, the IRS, local government, and on and on who make demands of you, your time, and your calendar. Not to mention staff. Guess who covers when there are no-shows? This Xanadu idea of being able to cruise in and out whenever you like? Not real. At all. In fact, you will have far less free time than you do if you work for someone else who provides holidays and vacation where you can turn off. Freedom of ideas, of purpose, of what to pursue? Absolutely. And those freedoms are what make it all worth it. But the freedom many imagine of cutting out on a Wednesday to hit the lake with some friends and unplug. Not at all. There's no unplugging.
31. The Personal Guaranty is the least of your worries. Saw this great tweet the other day -
and thought back to our early days and the fear we had when we had to personally guarantee (financially) our loans, bank accounts, credit cards etc. That S-Corp protects us from lawsuits and damages, but good luck getting a loan on a business with no revenue without staking your personal resources as collateral. We're not all Marc Benioff getting $2.5 mil from Larry Ellison on day one and keeping our jobs while we start something new. In the end, the risk of a guaranty is a terrific harbinger of an entrepreneurs resolve. Trust me from someone who's done it and gotten as close to broke as it comes - that financial guarantee is the least of your worries. The mental, social and physical guaranty….much more demanding.
32. "What do i care about the law? Ain't I got the power?" Rockefeller had a number of 'ends justify the means' quotes and the "Battle for Uber" (or "Bad Blood" or "Smartest Guys in the Room" or "Billions" or or or) reminds us people will do just about anything to look out for themselves. And if it works? The confirmation bias goes through the roof and the justifications get even broader. When we ask start-ups we advise what they'll do if the incumbent plays dirty, they usually answer with "they wont. It's illegal. And if they do, we'll sue them." Trust me from experience kids, they don't care about the law and that lawsuit takes 2 to 4 years these days. Better have the stomach for it. (And if you do, have at it….it's a hell of a ride!)
33. https://www.linkedin.com/pulse/john-oliver-concert-tickets-what-he-got-right-wrong-tony-knopp/?trackingId=D500IpPfSfG9pFnQqEKmEQ%3D%3D. An article where we break down "Last Week Tonight's" John Oliver's 20 minutes spot on concert tickets.
34. https://www.linkedin.com/feed/update/urn:li:activity:6913274744909836288/
There's a record amount of capital in startups. Means there's going to be a record number of failures too and, though expected by investors, there is collateral damage to many lives. It's easy to try and keep up with the Joneses when competing for talent or sponsorships or the like with your fresh new funding. We've quoted "when racing east looking for a sunset, the first to turn around wins" here before. Make sure you're not joining the race east. It's got a record number of participants and things change cycle by cycle. All markets get wonky both ways- up and down. Have patience and prudence. Never lower your talent bar. Don't buy business which will hurt you later and ruin your price integrity/ability to have the best experience/offering. Don't overpay for a trendy vendor. There will be more failures than ever, and not that many more winners. Remember: Innovators, imitators and idiots. We're at the idiot stage of tech start-ups (and funds). Find the innovators - and be an innovator.
35. "Was it really necessary to tell her that if you spend money on things you will end up with the things and not the money." - Rihanna's advisor when sued. Yes. It was necessary. Once money is raised, it is to be invested in "things" which return more money. In "The Psychology of Money", House explores why most everyone, once they come into money, seemingly all-of-the-sudden change their fiscal prudence. A terrific understanding of one of the reasons start ups piss away funding and run out of money too fast. We're wired to do it. Take note and act accordingly.
36. "You don’t have to make a great show of determination if you’re really determined, you just have to be who you are." Peggy Noonan WSJ. What terrific advice for us all. Especially in new jobs, partnerships, and relationships. The most important goal of any interview isn't job aptitude. It is understanding who we really are behind the show being put on. If determined, it'll be impossible to hide. Had a candidate a few weeks back who'd been bouncing around gigs. We were concerned they weren't being authentic with us when telling us we were the outliers - the ones they'd stay with- and telling elaborate tales of each previous move. We were the only ones he was talking to - or so that was his story. So we waited two weeks and made a few reference calls. Truth came forward. He took another job. Always does. Bullet dodged.
37. https://www.linkedin.com/feed/update/urn:li:activity:6915677484608872448/
Companies want staff back in the office more than they're letting on- and plans are in place to bring them back. They're just afraid to say it…for now. News like the Pac-12 going "permanent wfh" isnt' going to change much. Staff, for the most part, don't want to come back. No surprise. Gas prices, a commute, childcare, a side hustle and moving away from the office during the pandemic are the most common reasons given. But there are cracks in the informal "great resignation" union as many are seeing employees willing to return with the incentive of career advancement (or decentive of lowered pay when moving). Companies are staring to look overseas more as it's much cheaper than an out-of-office local. And they're finding really qualified, well-educated professionals willing to take much less pay. Unpopular opinion: normal is coming sooner than most believe. One company we talked to this week cut workforce by 38% and only brought back 14% - all of which will be back in the office end of summer- they just don't know it yet. It's coming. But first….one last summer of fun. Personal opinion: Pac-12 will be back in an office by 2025 - just nowhere near one as opulent as what Larry Scott wasted money on.
38. Life is too short to do sh-tty things. Even if it does help you "get ahead." The "Yuppie Nuremberg" defense, so well described in 2006's hit "Thank You For Smoking" (a must watch) doesn't sit well when looking back on one's legacy. An influential CRO shared a "simple tip" for getting a "green light" to start "selling hard" against competitors and "pointing out weaknesses." Yes, you can do this. Yes, it might work (and it absolutely could backfire). But is this the life we want? I tried the whole "bashing" competitors thing twice and I remember both like they were yesterday (they were 10+ years ago). Once was with a team. I got a call from the NBA after, disappointed in me that I'd behaved this way. I apologized. To them and the team. They were right. The second time was in a pitch meeting for a bank in NYC. I felt awful when I left. This wasn't the person I wanted to be in the world. We only get one trip around the carousel. Let's build, not tear down. Besides, as pointed out in Matthew 4 - the devil tempted Jesus with "all the spoils of the world" b/c "they are mine to give." We sure we want "success" at that cost? No thanks.
39. "You can be pretty smart if you just shut up." From Peterson's "12 rules for life," the chapter on listening is mind-blowing. Very highly recommend the entire chapter and not the online summaries. The author brings to light a lot of bias by redefining what listening really is and why we all need to think and talk to make order of our lives. "Listen to others as if they know something you don’t" sounded so simple. I suppose most groundbreaking truths usually do.
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https://www.linkedin.com/feed/update/urn:li:activity:6918202411333402624/
Back in 2004, a mentor convinced me reading was a life hack. They spent an entire breakfast convincing me to set aside enough time to expand my worldview while learning from those who've "done it before."
Since then, we've been trying to devour 2 to 3 books per month on leadership, business and psychology. I'm 164 books deep. Of that list, here are the 5 books I've found most impactful to our journey in building TicketManager and my career:
41. Thinking Fast and Slow by Daniel Kahneman. Changes the way we see our decisions, how we make them and where we are clouded in our decision making by subconscious bias we are not aware of. IMHO, this Nobel prize winning masterpiece should be required reading in school. For those who find it reads too much like a text book, "The Undoing Project" by Michael Lewis is a sort of 'Thinking Fast and Slow Lite.' Both terrific reads.
42. How Champions Think by Bob Rotella - Rotella has spent his professional life maximizing the potential of athletes and leaders. There are a ton of gurus, like Rotella, however I find most of them to be pop-psychologists telling people what they want to hear as opposed to what actually works in the real world marathon that is life. Rotella has an impressive track record of practical psychology. To that end….
43. Emotional Agility by Susan David - An expert psychologist who digs deep into why we do what we do, how we feel when we do it, and gives practical explanations for living beyond the all-to-common motivational speakers. She's incredible. I had the privilege of having lunch with her once and her EQ is off-the-charts. Everything can't be optimism all the time, and that's a good, and healthy, aspect of life. I'm so thankful for her work and how it has helped us grow a business.
44. The Hard Thing About Hard Things by Ben Horowitz - The most real, practical, and straightforward business book I've ever read. It's required reading for anyone looking to be an entrepreneur. A masterpiece. Had I read it four years earlier, as we were starting the business, I would have saved millions of dollars and countless hours of heartache.
45. Influence by Robert Cialdini - Written in 1984 and even more applicable today. The book seems so obvious when reading, as most truths usually appear when we uncover them. Put together, however, the six rules of influence are as powerful as they are dangerous. There's a reason it has gotten more popular with age. The reader can quickly see how the ideas are weaponized in commerce, politics, business and social circles.
An added bonus - "The Sure Thing," an article by Malcolm Gladwell, is the best explanation of entrepreneurs I've come across and is worth reading multiple times through the journey
I hope these help and am always looking for great reads and suggestions!
46. https://www.linkedin.com/feed/update/urn:li:activity:6920749409404112897/
My son and I won fantasy basketball - and it was so much like building our business
Here's four things we learned running a start-up which work at just about anything - including winning a fantasy hoops league with a middle schooler- Much more in the blog post on LinkedIn:
47. The beginning is the hardest part
48. Play the long game with potential
49. Do the best you can with what you have - it's never perfect
50. Play through the ups and downs. No matter how high or low.
Playing fantasy hoops was an afterthought when we signed up. We didn't think we'd pay much attention and, after messing up the draft, even named our team "Team Trying To Delete."
As time passed, it became an incredible blessing we did together. Talking about our team all season long. Texting each other throughout the day. Winning was great. Looking back, though, the time together is what I'll never forget.
Funny how similar that is to how we see our journey here.
51. https://www.linkedin.com/feed/update/urn:li:activity:6925810965489868800/
Jungle, Forest, Highway (by Jeff Bussgang) - Companies can be characterized by what stage they are in and it can be immensely helpful to your decision making on strategy, hiring and expectations. Companies in "the Jungle" need small teams of super resourceful people who can do a lot well with a direction that's clear but often changing. In the Jungle, there are no roads. If we need shelter, we just need to get something up to get us out of the elements. On the dirt road, efficiencies pick up and we're moving much faster in a 4x4 jeep than our band of machete bearing Jungle experts. And on the Autobahn, our Ferrari needs a driver, and technicians, who can maximize life at 200+ mph. That racecar, however, is useless in the Jungle and breaks down on the dirt road. So do hires who are used to the "first class and steak" life on the highway - trust me, I made that mistake a dozen times trying to hire those who've "done it before." Competitors can be seen in their stage too. Big tech sucks at start-ups and often dies in the Jungle. Use where you are to your advantage. We wrote about our NYC "Jungle" here years ago.
52. Spend cash not stock. So obvious right? Well, you should see some of these cap tables. Owners with less than half the company pre-seed. We had an advisor we loved in 2010 but couldn't afford. He wanted $98k for a project and we didn’t want to spend it. So we gave him stock. We wrote him a check in 2020 for $974,000. Oof. Another vendor we hired with a small amount of stock in 2011 to help us with publicity. Guy didn't do anything. Nine years later he got a check for $62k. Do whatever you can to use money and not stock. You can always get more money.
53. It doesn't get better….but you do. Every entrepreneur is looking forward to a day the pressure isn't so intense. I'm 15 years in at a $100m company with 100+ employees. I can tell you, that day doesn't come. If you screw up early, there are only 5 of you. Later? There are lives you know with kids and responsibilities counting on you. The pressure never stops. BUT……you get better at it. You get better at finding people to help you personally and professionally. You get better at understanding your balance. And you get better at learning to live with the Babadook- "the monster in the basement." (Thanks Susan David). The funny thing….You just might learn to like dancing with the monster.
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https://www.linkedin.com/feed/update/urn:li:activity:6928343278207586304/
Todd Boehly's group is in the driver's seat to buy Chelsea FC for $5b+. The same Chelsea FC that was sold for one pound in 1982. Some things seem so obvious in the rear view mirror when they were anything but. In "The Club"- the story of the English Premier League, the authors talk about the evolution of one of the biggest, most lucrative leagues in the world. Much of it was thanks to TV deals and an influx of new owners copying what they were seeing oversees in the NFL. Even then, the clubs were terrified of TV. In the first league deal, the five major clubs demanded only the second half of their games could be televised for fear fans wouldn't buy tickets anymore - which was really their only steady revenue stream at the time. The parallels to every change in sports, from TV deals to secondary ticketing to gambling are all over the book. Seems like yesterday Jeff and Eric from StubHub were being reprimanded at our AEG offices that we'd never consider secondary as it would "erode our season ticket holder base." Guess that's why history isn't written in the moment.
55. There's nothing better for a sports team's bottom line than a "brand new" sponsorship category that doesn't infringe on current partners- as we're seeing with gambling, crypto and cannibis which have exploded to help bottom lines and valuations. A day doesn't go by without a new deal in these categories (and the flex from the sponsorship sales teams =). That doesn't make it easy. I once met with a chief at a gaming firm. "Tony, I have 2.8b in proposals on my desk and just over 1b in budget. Yet the laziness and lack of creativity from some of these teams is incredible." We've experienced the same. I must be doing something wrong - we actually need to call back people looking to give us money =)
56. Your customers aren't stupid. We look a lot of companies and businesses to invest personally or to buy/partner with through our businesses. A common theme when we ask why a customer didn't buy from them over a competitor: "Our customers didn't buy from us b/c they are stupid, lazy, or crooked." We hear it from everyone. That's not a reason. It's a self-own. The goal is to sell something people want to buy. If nobody is buying our product, then who are the stupid ones? Denial isn't learning. It's losing twice.
57. https://www.linkedin.com/feed/update/urn:li:activity:6930877456526585856/
"Start-ups are like group projects were in college." What a terrific analogy. Think back to those days: If you had 5 people in a group, two would do the majority of the work, another would kind of pitch in, the fourth would at least show up for the meetings and the fifth would do just about nothing. Think about how important picking your group was. Friends were nice, but we needed grades so we didn't choose them. Just like here. Not much different in the start-up and growth tech world. Most leaders think their company is the exception. They're not. And I'll take that bet every time. Find those doing the heavy lifting and reward them handsomely
58. "If you're taking heavy flak you're getting close to the target." There will come a time in your business when the big companies 'all of the sudden' concentrate their firepower on little 'ol you. For us, it was 2016. Similar to "it's a good thing to have haters," it's a great thing to have those you're disrupting taking aim at you directly and with resources. We've seen the internal emails from StubHub where the top execs planned to come after us. Swing and a miss. Same for the threats of others in and around their space. Survived those too. As the military adage states: it means we were getting close. It all seemingly comes at once and it is quite a bit of firepower which can be scary. Just don't forget: their coming to the jungle for warfare….and that's your turf, not theirs. Win or lose, you'll know you're getting closer to the goal when they focus attention on you.
59. Bank your time. A seemingly obvious hack we've learned over time. If you have the time, run the errands, do the admin work, and go to the gym! Eat right and sleep when they're available, even when you really don't want to, because weeks will come where those things just aren't possible. Trust me on this one. Five alarm fires come in our lives - we're promised as much in the good book - and we'll want to be rested and ready when they do.
60. https://www.linkedin.com/feed/update/urn:li:activity:6933425317097218048/
Ignore them. If we had a nickel for every company where some bully told our team pretty much anything from the below list, we'd be retired. Especially the "don't contact us, we'll find you" part (And this came from a marketing person). Our ability to go beyond these objections are why we've had the success we've had. Be respectful and continue to professionally sell into the business. Even when they threaten you multiple times and make bold claims.
61. Their team usually doesn't like them either - which means there's an opportunity. When we come across a bully/a$$hole*, we tag them on LinkedIn to get an alert when they change jobs. The minute they leave, we call the team around them as there is usually an opportunity quickly. If someone is that mean to a total stranger who is just trying to earn an honest wage, they're even worse to those around them.
62. Defend your team against them. Every now and then, especially in the early years, one of these bullies will call to complain and ask your company not to contact them. It's clearly not anyone's intent to bother anyone - we'd make no money doing so. But, from time to time, the same person will hear from us a few times as people will forward what we do to them. Nearly every time, it is from a company who interrupts our days as well. A major bank did it to us twice. The same bank who interrupts the games I'm watching with ads, mails me weekly, emails me more often, and calls constantly. Be nice. Remind them this is how business gets done and nobody is trying to annoy anyone. And yes, we'll take you off every list we just can't guarantee you wont have a co-worker see value in what we're doing and send it to you. That we can't stop.
We all get cold-called and emailed. It's just a part of doing business. The great thing about cold outreach: they're really easy to ignore and there are tons of tools to do so. Being a jerk to someone just doing their job isn't going to accomplish anything. Be nice. And ignore those who aren't.
One of our most popular posts is "Why We Cold-Call Even Though It's 'Dead'". In it, we share the incredible friendships and opportunities which came from cold calling. Yes, it comes with downsides. And dealing with A$$holes is just one of them.
63. https://www.linkedin.com/feed/update/urn:li:activity:6935982595717443584/
If you want to finish first, first you have to finish. Saw this on F1's Drive to Survive and it rings true in business. Recession and inflation are the words of the week with all kinds of dooms dayers out and about. They may be wrong and they may be right. Doesn't matter. If we knew that answer, we'd be on somewhere on a beach earning 20% right now. Orlando Bravo, founder of much loved and similarly reviled private equity fund Thoma Bravo shared how businesses many businesses getting flogged in the public and private markets haven't changed at their core, just the valuations have. He's right. As usual. Chasing growth is as tempting as it gets. Trust me. It's a constant pressure from your board and investors. Finishing first is the goal so of course we have to push the limits. Just don't do anything stupid to wreck the car. Even if you see others succeeding doing so (albeit incredibly rarely). Gotta finish - as we've covered here before.
64. Avoid the friends who are only your friends if they think they're better than or above you. And know they're out there. My 6th grade son learned this the hard way in a tournament last week when he took a late lead against his 8th grade "friend" deep in the playoffs. The behavior from there showed him their friendship wasn't what he thought it was. It was hard to watch. Tears from "losing a friend" are more than any match. In our careers, we will have bosses, mentors and co-workers we care about. Sometimes, they'll be so nice to us if we're "below" them and will be the first to turn on us if that perception changes. Then, some can get pretty nasty. It's part of the game. Find the good ones and be thankful for them while being prepared for the Succession treatment.
65. History doesn't repeat itself. Humans do. One of Voltaire's most famous quotes comes to mind as we've had some market turmoil. Free cash flow is the "new" buzzword - which is hilarious as it is about as old a discipline as there is in business. And I can tell ya'll from experience, the early stage VCs weren't asking a thing about cash- it's all growth and fit all the time. It's up to you to know when to flip that switch. We argued constantly when our board member never wanted us to have more than 11 months of burn in the early years and I wouldn't go below 18. Just wasn't a need at the time. Reminder: Growing a strong business is an outlier. It ain't just the moonshots that are that far out on the standard curve
66. https://www.linkedin.com/feed/update/urn:li:activity:6938491639938105344/
. Time kills all deals. SeatGeek and Red Ball called off their $1.35b SPAC deal which looks like it will lead to the SPAC getting dissolved (they have until August to merge with a company). In 2017, we had a company try to acquire us. Diligence lasted three months and we still weren't much closer to getting a deal done. Though I wanted to continue, the board had run out of patience and voted to kill the deal. Push for short diligence periods and, when you do, be overly prepared and disciplined. The longer the time period, the more that can go wrong. And that can sour relationships. It did in our case.
67. Superstars are forced into the booth. They rarely go willingly and, when they do, they stay as close to the game as they can. (or they un-retire…looking at you Tom Brady, Brett Favre, and on and on). If your sales candidates goal is to be a manager as soon as possible and to get away from a number, run. The great ones want to lead, manage AND sell. They can't help it - because they love it.
68. It's difficult to face the music once you've played the tune. A close friend now sober 23 years offered sage advice on how others see a tough road in front of them when making the right decision while offering counsel on a personal friend's quandary and decision making. Screw-ups happen in business. We've had plenty. And it is hard to face the music once you understand it was a mistake that was, in fact, all your fault. Always telling the truth has done us well in such situations. Partners and customers want to trust you. Being accountable and honest in a world where many aren't goes much further than you may think. In some cases, it can even strengthen a relationship
69. https://www.linkedin.com/feed/update/urn:li:activity:6941023283966337024/
On Quitting.
The great resignation, companies pulling offers, Gig workers and recessions are all in the news these days. Today, what I've learned about quitting - both in my experience and seeing others.
The stigma of labeling someone a quitter can be weaponized to enable bad actors and further encourage their poor behavior. "Nobody likes a quitter" or "they can't be trusted/counted on." The fear of being labeled a quitter hangs over so many trapped in a bad situation. And there's merit to that stigma in certain situations: life and death, crucial moments, etc. However, if you signed up for one environment and find yourself in another - leave immediately and ignore the fear and slander. Most who quit these situations have only one regret….they waited too long. I quit my college volleyball team at the end of the regular season and before the playoffs. Just terrible optics for someone who played a lot. It wore heavy on me for a long time. I knew I was quitting end of season for the entire year and that the environment was awful for me. My dad encouraged me to stick with it - and I did. But, eventually, even he saw that staying was no longer healthy. Ten freshman joined that team together in one of the school's historically best recruiting classes in 1997. I was the third to quit - and the first who was getting heavy playing time - starting the majority of the matches. In the end, only one player finished all four years.
70. Get all three sides of the story and use the stigma to your advantage. When we hired a crucial team member nearly a decade ago, our reference calls didn't go the way we anticipated. One of the references, given to us by an investor, had worked with this person and told us a very detailed story of how they "quit," why it was so wrong, and why we can't trust the candidate. Most hiring managers would stop right there. Red flag. Not us. Of course, we discussed with the candidate and got the other side of a story. But that's not enough. We hunted for others involved. Why? B/c they are quitters out there. People who do leave for selfish reasons and do so terribly which makes it easy to be overly cautious in a scenario like ours. We got all three sides of the story, hired the prospective teammate, and they've been one of the best teammates I've had in my lifetime - both in and out of work- for a decade.
71. Do it the right way. There is so much vitriol toward businesses today. Much of it is deserved. However, like anything, sentiment is too often formed by the outliers. Companies doing crappy things happens. Same with employees doing crappy things. The fall out of quitting in a selfish way just isn't worth it - no matter how justified it is. I've read about people "putting in for their two weeks of vacation then giving two weeks of notice" (that's happened here) amongst others. Not every company executive is a heartless billionaire. If, unfortunately, we find ourselves in a poor situation, it's best not to sink to their level. I hated the team I quit. Nearly everything about it. So I walked. I shouldn't have. I've seen too many people do the same in their careers b/c it feels great in the moment. Like a sugar rush that wears off quickly and leaves us to ponder what kind of person we want to be to others. Yeah, I hated it, but not all of it. We've had people leave here guns blazing. It is very rare, but it has happened in our 15 years. Some in front of the whole pit. Others threatening to sue. Others actually suing. And others trashing something about us publicly. What's unknown: how many of them reach out years later to apologize and mend fences personally. It's the vast majority - believe it or not.
It's okay to quit. There are only three ways out of a job: 1) Quitting 2) Termination 3) Tragedy.
We all prefer 1.
Remove the stigma from "quitting" - for you and your team - by changing the word to "leaving." To quit simply means "to leave, usually permanently." "Giving up" has its own dictionary entry.
72. https://www.linkedin.com/feed/update/urn:li:activity:6943585992335388672/
Nobody wants to be first, but they all want to be early. We announced our first MLB team deal which included corporate resale enablement. We've been talking to a dozen or so teams since Thanksgiving working out the details. As expected, everyone wanted to do a deal but they just didn't want to be first. Once we announced LAFC, the timeline for others sped up real quick. Now that the Texas Rangers are on board, many have changed their tunes. Fortune favors the brave. Yes, there's always risk in being early. But there's more risk in being too late.
73. People do what they're incentivized to do part two. We've talked about it here in the past. It is vital to building your team and competing together. Arsenal boss Arsene Wegner got himself in hot water a decade ago when he referred to "five trophies" when citing his goals for the club by adding qualification for the Champions League as a "fifth trophy." The fans and press mocked him relentlessly. But how can anyone blame him considering the economic windfall involved in qualifying? LIV golf and the PGA TOUR are locked in a very public competition and it will be driven by what incentivizes the players. Trying to force incentives on people doesn't work. What drives them comes from decades of life experience. "History and tradition" will work for some. Being a pioneer, making more money and playing less matters to others. If nothing else: know what incentivizes your team to a person and try to build your incentives as such. When a sales person asked me who they should call the other day, the answer was simple: "Whoever makes you the most money personally." Aligning the plan and company goals with that statement, that's our job.
74. "You have two choices: 1) Go to Nineveh or 2) Go to Nineveh covered in fish puke." What a terrific worldview. A friend spent months jumping through hoops to try and get to Asia to see family. He went so far as flying to another state to get passports renewed. Only to pick up covid on the flight home from said state and cancel the trip entirely. Sometimes the path for us is pretty clear, no matter how much we do. There's a lot of peace, at least for me in that realization. I'd prefer to go in a clean and tailored t-shirt that isn't "covered in fish puke."
75. https://www.linkedin.com/feed/update/urn:li:activity:6946112915657687040/
"Boredom is the ultimate luxury." Some people (raises hand) struggle with being bored. Many people even fear boredom. As explained to me, however, boredom is a luxury few have in this life. Billions don't get to be truly bored today bc they're hungry, in danger, afraid or sick. Embrace boredom for the blessing it is. If only we could all be so lucky. As your business grows, boredom evaporates quickly.
76. Compounding and our careers. A common rule in personal investing is also applicable to our business and career. Great customers refer great customers. Great talent attracts great talent. Successful engagements breed more business. It's hard to play the long game sometimes in a world where some very lucky ones don't need to. King David, passing time while watching sheep, threw rocks at leaves. Got pretty good at it too. Good thing he did- he was prepared when his chance came. The post covid world has too many making impulsive career and financial decisions looking for a silver bullet. It is imperative we're great where we are, even if a decision has been made to make a change. Compound successes while others take short cuts and build a career portfolio to up our chances at the long-tail wins. Warren Buffett has had nearly 500 investments yet made 95% of his money on just 10 of them.
77. "Kids need to lie, get away with it, feel bad about it, and decide who they want to be on their own." Had the pleasure of spending the day with a renowned child psychologist (her kid plays youth sports with mine). Asked her what is the most important mistake we're making with the next generation fully expecting her to say something about phones or games. What she said blew my mind. I can still remember the $20 I took out of my mom's purse in junior high to buy baseball cards and how I felt about myself after. So much depth in that observation from an expert.
78. https://www.linkedin.com/feed/update/urn:li:activity:6951176992989868033/
Remember "History doesn't repeat itself, people do"? Voltaire's premise applies here. Take the time to read "The Club" about the founding of the English Premier League and you'll see a roadmap for what's happening in college football. The top clubs banding together, the power of revenue sharing, and the jettisoning of many "traditions" at the foot of TV money coming from multiple bidders. None of what's happening is new, it is just repackaged, as Kelly so aptly said in "The Inevitable." There is a blueprint for a formation of a super league were the players weren't unionized - and it is one of the most successful in the world today.
79. Punishments are never forgotten by anyone- schools, universities, staffers, teammates, customers, and partners. The NCAA came down on USC with paper-thin reasoning in the early '10s. Regardless what anyone thinks about it, Trojan nation has not forgotten. If there is a future for football without the NCAA's oversight in the form of super leagues, USC would be quick to participate. I'm sure the Trojans don't feel any sympathy for the left behind Pac-12 schools who kicked them when down. The negative is louder than the positive- both in the present and the past. Our team, customers, partners….they don't forget these things. Don't do crappy things to people then expect them to forget it later - won't happen.
80. A rising tide may lift all boats, but not all boats have the same value. Ignore and get rid of those who put self-interest in front of the overall good immediately. In "The System," written in 2014, the authors go into detail on the TV money negotiations for the Pac-12. In the book, Washington State, and their AD Bill Moos, band together with other schools to deny USC and UCLA's requests for a bigger share of the annual payouts. There was precedence for a healthy league where the biggest markets got paid more - see #1 - but that precedence, and the health of the league, was ignored as Moos negotiated in his universities own self-interest. WSU spent the new windfall on a stadium renovation and a splashy new coach - Mike Leach at $8m per year. In our businesses, there will be those who bring exponentially more to the table than others - be it departments, offices, divisions, or individuals. If they aren't being properly rewarded while seeing the bounty of their hard work given to less deserving team mates, they're going to leave. There's a number of reasons USC and UCLA left, but I believe this domino to be an important one
81. https://www.linkedin.com/feed/update/urn:li:activity:6953723220076240897/
Had quite an adventure in Orlando watching our 12 year old son win a silver medal in the Junior National Volleyball Championship in front of a surprisingly big crowd.
12 year old volley is serious business to many these days.
That said, it was a really fun experience and I learned so much about life and work. Here are three things I learned at Orlando AAU '22
"You don't want to be the kid everyone is rooting for. You want to be the kid everyone is relying on." A coach said this to me as we watched the later rounds and I love it. Needs no explanation. We know who those people are in our lives, on our teams and in our businesses. The ones we rely on, the ultimate form of trust
82. "All we can do is work really hard at what we want. Practice. Do the extra work. Prepare. Study. And if we do, we just might end up with the ball in our hands when it matters. And that's where you want to be. Where you decide who wins and loses, because you earned that right." A life changing quote I heard last summer and have worked on with our family and team ever since. There is no pressure in the big moment. It's why we do what we do. Its where we want to be.
83. In December 2020 our son had never played an organized game of volleyball. Boys don't usually play that young. We went to Maui where we decided to stay for nearly four months avoiding covid. His twin sister was playing on a team at the time with a tyrant of a coach. Just an awful situation who threatened that if she didn’t "keep up" she couldn't stay on her team (she was 10). So we went out and practiced together every other day for months - trying to keep it fun and 'keep up.' Since Dellan was there, he participated. We worried every day about the situation our daughter was in - so we stayed diligent. We prayed and prayed.
When we got home to the mainland, Dellan really wanted to play on a team. None of the local teams were playing due to Covid, so I called an old friend who had a club team in the south bay - a cool hour+ in traffic - to see if he could go to a practice or two. "He's on the team" was the reply. "And with Covid, there's no traffic so the drive (usually 90 min) will only be 45 min." We agreed to do it just for the three months left in the season.
The team was magical. Incredible families and some of the most overqualified and best coaches I've seen - and I played on a lot of teams. And the boys were good. Really good. Dellan was only 10. Most of them were 12 and 13, but they treated him like family and still do.
At the first tournament we weren't allowed inside (covid). I didn't even pay for the live stream as there was no way he would play. He ran out with a beaming smile to tell me about his six aces. My response: "Wait….they put you in the game???"
15 months later Dellan is winning all-tournament awards and silver medals while playing every point of a 12u national championship match against Puerto Rico.
As my good friend Jon Gordon says: "We're on a rock spinning 65,000 mph around the sun. Your entire existence is a miracle." He's right. We control almost nothing. And thank goodness we don't.
From so much negative came so much positive.
Who knew I could learn so much from 12 year old sports.
84. Three things I Learned In Saas, Sports, Tech and Live Events: Company all-staff week
Busy week with the all-staff in town for a first half wrap up and planning for the future.
Three quick things I learned:
Tom Izzo treats his alumni like family. Former players regularly join the current team for dinners when they're in town or the team is on the road in their town. What a wonderful policy. Alums always welcome.
85. Don't have a rule named after you. Usually new rules are created due to the actions of a person. Company events are a fertile ground for such behavior. We avoided them this week. Being Munson may be worse than getting Munsoned. Remember: Ubers, not ambulances.
86. "I don't want to call my clients and bother them." The easiest test of a relationship with a customer - whether an account owner or customer success manager. If we can't call them on a whim, we don't have much of a relationship. There's our "to-do" list.
Apologies for no video or audio this week- busy week planning and having fun with an incredible team!
87. Three Things I Learned In Saas, Sports, Tech and Live Events: What's actually happening in premium ticket sales. Why "flexibility" is not new. How we got here and the innovators dilemma of what's next.
Premium ticket and hospitality sales were hot topics with pieces in VenuesNow and Sports Business Journal talking about the space coming out of the annual luxury suite directors conference. The pieces are well researched and include insights from a number of experts in the space. We have a bit different take. The changes aren't as generational as they seem and flexibility isn't a new trend.
We go in depth on Three Things happening in premium seating teams won't say publicly:
1) Premium sales teams were paid wrong for a long time
2) Churn has been way to high. Old buyers are gone. Now teams must go downstream
3) Downstream customers are where marketplaces thrive.
Hope you enjoy!
87.
https://www.linkedin.com/feed/update/urn:li:activity:6966413674219536384/
What I learned about vacation after 15 years running a business.
Taking a vacation is different for everyone. We all have our own pressures. Taking vacation as an entrepreneur is something I'm still learning to do - 15 years in - from experience and from many mentors.
Here are six things I learned about vacation. Hope they help you skip a few speed bumps along the way:
88. Always take one.No exceptions. Especially in the early years when you can least afford it (in all senses of the phrase). When you start a business it's like "flying a plane with both engines on fire and a broken steering wheel." You're in "the jungle" and you're doing everything. Your most limited resource is time.And yet, it is the single most important time in your life for you to take one. At least a week.
89. Always leave town and go far enough away you can't go back quickly.
Our subconscious is powerful. The amount of information it manages, and protects us from, is extraordinary. When we take time off at home or near work, our subconscious still knows all of the things we need to get done. That project around the house. That small to-do list item.
If we leave, we can't do those things. And we can relax. It may not feel like it in the moment, but we actually do.
90. The guilt never goes away, it just changes. In the early years, we look forward to the day we have a cadre of capable team mates we can leave in charge of the store so we can finally take advantage of "being our own boss." In those years, I felt so guilty leaving an understaffed overworked team. That guilt would permeate its way into vacation.
Now? Same guilt, different face. I love what I do and working with the team and I feel guilty when I'm gone. It's always there. And you'll learn how to live with it (and be happy).
91. Don't stress the stress. Entrepreneurs are oftentimes hyper-driven. The whole world is a nail - even vacation. When we get on holiday, we need to nail that too. We don't have much time and we can't spend any of it being stressed, sad, sick, etc.
A psychologist once told me "what, only locals are allowed to be stressed, mad or sad?"
My goodness they are so right. If you get stressed on holiday, that's normal.
92. No matter what you do, you'll think about work. That's okay. Especially when it's voluntary. Some of the best ideas we've ever had came on holiday while we were finally away from home and "flowing."
93. Don't burn out on re-entry! When we get back from holiday, all that guilt makes us push too hard. I'm doing it right now, as I'm writing this. Take it easy upon returning. Overdoing it is a terrific way to wipe out gains from a vacation and wear oneself down. Set parameters and know you'll catch up on that to-do list - or at least reach homeostasis once again.
94. https://www.linkedin.com/feed/update/urn:li:activity:6968946615466291200/
Sending kids off to college week!
Four things I learned from hundreds of kids and how they apply to our lives everyday
One of the greatest pleasures of my life was volunteering with hundreds of high school kids for 11 years. I got to know them, watch them grow through HS and had a front-row seat while they went through a major life transition.
Here are the four things I learned about sending kids to college:
"Who we are is most important in the transitions." Some of the best advice I've ever heard from a guest speaker: Life is about the transitions. From high school to university, school to the working world, single to married, married to parent, parent to parent of an adult and on and on. Many people get lost in the transitions. They are hard, they are unfamiliar, and they usually come with grief for the stage we're leaving. That grief can last awhile. So many people get stuck in place, make bad decisions which will follow them for years, or lose months to low frequency emotions in the transitions. Mind blowing advice - true for us all. It is most important we know who we are in the transitions. Off to college is the first major transition for most kids. It is a huge change.
95. Water finds its level, but we have to give it time. Some kids find "their best friends" right away. Others feel left out for months. Neither end of the spectrum is optimal. Who your kids spend time with in the first few months will very rarely become their lifelong friends. Remind them jr high and high school were no different by recalling how their besties and groups changed along the way. New job, new social group, new neighborhood, new industry later in life...same advice. Be yourself and give it time. You'll find your level. Too many do things they regret later to "fit in."
96. Set boundaries on the boomerangs. Many kids have trouble with the transition and go home too often. Others have parents who are way too involved and re-living college through their kids. Come home for holidays and occasionally for dinner. Not for whole weekends on the reg (yes, even if there's a high school sweetheart.) See #1 about getting stuck.
97. Half the kids will decide, at one point or another, they want to leave or transfer freshman year. Sounds high, I know. But trust me - it's even the ones you don't expect who seem so happy. Big transitions are a lot for anyone. Even the "starting QB" the "valedictorian" and the "homecoming queen." Help them understand how common what they're feeling is and encourage them to stick it out (if the situation is healthy.) Encourage the parents of these kids who are usually very worried. The best advice we can give them: "It doesn't get better. But you do."
To those who are dropping kids off - congratulations! Parenting is the hardest job in the world and you nailed it!
98. https://www.linkedin.com/feed/update/urn:li:activity:6971470146125131776/
SeatGeek raised $238m from, essentially, the group that made up the cancelled SPAC. That's a sizable show of confidence. It means more deals are on the way. This late in the game (Series C), raises that size aren't speculative. They are usually meant to fund well-defined objectives which are already in the pipeline. The baseball deal is the most obvious (don't sleep on Ticketmaster making a run too), but we're sure there are more. Rumors of the deal were all over the ticket broker conferences in Vegas in July - even pinning the number at "just over $200m."
99. Rumors are Logitix hired a banker with the plan of making a run at competitors and then flipping the combined entity. Heard it from enough people we believe it to be true.
100. New York passed the "all-in" pricing law where ticket sites have to show the final price with all fees added in. Bad news for many who have built significant businesses manipulating fees through the buy process. Matter of time before we see other states follow. Just the first in what will be many regulations headed towards ticketing (as we discussed here in 2019. Covid simply delayed the inevitable.)
101. Vivid Seats took a dig at StubHub in their quarterly call claiming the competition is overpaying for PPC in an effort to "relive past glory." Back when there was discussion about Vivid Seats buying StubHub, one of the immediate synergies was how, together, they'd have to pay much less in the PPC wars. Looks like it is going the other way. CAC is expensive in the marketplace game.
102. Time kills all deals- part infinity. UCL and Crypto.com were set to do a $100m deal - the largest yet for UEFA. Had a mentor tell me about how he lost his business when they failed to sign the paperwork on time on 9/10/01. We've walk from some deals mid negotiation as better ones have shown up. If you really want the deal, get it done.
103. https://www.linkedin.com/feed/update/urn:li:activity:6974008380696788992/
Quiet quitting isn't new -but there are few things more toxic to your company. Been hiring staff 20+ years and there's always been the "do just enough" group. More power to them on their new marketing slogan. Now we're not saying anyone needs to burn the midnight oil or work weekends/holidays, we've covered that here before. And too often there are extremes cited in a rational discussion. But, in general, you don't want quiet quitters anywhere near your start-up. Create policies, processes and reporting which will flush out the "quiet quitters" quickly and know it is a competitive advantage. Things break. Competition happens. Nobody wants to be on a team with a misaligned person. Remember, you work for them, not the other way around. Is that the kind of person you want to work for? To us, quitting quietly is a sure fire way to fail loudly.
104. Serena Williams at the US Open highlighted a current trend we talk about often: Yes, customers are willing to pay a lot, often times more than we think, for the stand-out premier events. However, too many second tier events and content providers are creating way too much VIP hospitality and now they can't sell it. Companies are simply paying much more to go to the higher profile events. Festivals, in particular, are feeling the impacts of oversaturation. So much for that $4.7 trillion in pent up demand and excess savings we all heard about during the pandemic. Spending didn't come anywhere close.
105. "Give me all of the problems, give me all of the pressure and that's where I would like to succeed." When Pete Carroll started at USC, where he was the fifth choice for the job. He knew it, and addressed the media as such. No surprise he went on to win multiple national championships and a super bowl. https://lnkd.in/gGbUmzZD
106. https://www.linkedin.com/feed/update/urn:li:activity:6976766914706513920/
"Just because you're doing a lot more, doesn't mean you're getting a lot more done." Great quote by Denzel. Such a double edged sword on this one. It is true. Hustle culture creates busy and busy can be counter productive. But: stuff needs to get done. A lot! And if it doesn't, our startups don't last long and die a death by a thousand brainstorming meetings. Like anything else, the answer is in the middle. It isn't quality vs quantity. It is the balance of both alongside a commitment to get busywork out of your business - for you and your team.
107. "In order to learn you have to understand what you don't know…..and most people don't understand they don't know s**t and so they're f***." Draymond Green with some colorful language. Maybe if we listened to him, starting with leadership, we could replace the bias holding us back, the finger pointing and the tribalism with constructive discourse in business and in life.
108. Many are bracing for attendance and viewership numbers for week 2 of the NFL. It has been the one sport not hit heavily post-covid. There is fear that changes this weekend even in the face of huge Super Bowl ad numbers. The NFL's power comes from balance. Here's hoping the bottom half teams show viewer resilience and positive attendance trends.
109. https://www.linkedin.com/feed/update/urn:li:activity:6979078035668910080/
On October 5th 2009 we got our first big break. CNBC reporter, and now friend, Darren Rovell posted an article featuring a stat we'd pulled from a number of early customers: our estimation, based on our numbers and experience, that companies wasted 43% of their tickets.* https://www.cnbc.com/id/33182576The article did so well, I got a phone call at 5:30am the next day asking if we could go live on CNBC to talk about the number. It was our first big break. I'd done live TV before, for StubHub (sideburns and all) but never anything with stakes like this. We were treading water, just a year removed from losing our angel investor but we were signing up customers. The kind of validation a spot on CNBC provided could really help us launch the company.
I called a mentor, David Carter, who did TV and media regularly, and was a friend of Darren's who made the introduction, to ask him for help. He gave me three pieces of advice. I think about and share them with new hires often.
"Shave and put on a pair of pants!" The levity and humor helped quite a bit in the moment. The moment felt too big. The reassurance from a mentor helped clear the pressure - a little. Do the little things you can control. Rehearse. Take notes. Get there on time. Be easy to work with. And, of course, don't forget to shave and the pants.
110. "You know this better than anyone so there won't be any 'gotcha' questions." We can get overwhelmed by high profile moments. Trust the work we've done when opportunity knocks. In this case, I had very little time to prepare. I got the call at 5:30am and was on the air, live, at 8:30. it was an hour drive.
111. "Enjoy it. You worked really hard for this and have been through a lot. It's going to go really fast. Take a breath and look around at just how far you've made it." Advice for every second of building a company. Back then, that moment was everything. Now, it feels like forever ago. I was so nervous, I didn't enjoy any of it. Wish I would have. What a moment it was for us. That clip helped launch our company. An unexpected, and very appreciated, blessing.
Darren helped launch our business. And David was there to walk us through the moment. I hope the same for you.
* In the 13 years since this appearance, we've grown to over 30 million tickets per year and the 43% number has turned out to be spot on
** Yes, the company's name was Corporate Events Group - amongst other names over the years
*** We used the title "Vice President of Business Development" b/c there were only 8 of us and we didn't want to look so small on national TV
**** Yes, I've lost 25 pounds since then. But that's a whole other three things.
112. https://www.linkedin.com/feed/update/urn:li:activity:6986797352711843840/
Yesterday we hosted our annual customer conference, our ninth time doing so. What we learned about hosting a customer meeting which can help your company - leaning on 15 years of experience as a guest or speaker at every kind of conference there is.
Do whatever it takes, and spend what it takes (within reason), to get great guests. Quality over quantity. Too often, conferences are focused on the speakers and trying to use them to pull in guests - like they're bait of some kind. I don't know anyone who goes to conferences to see the speakers anymore. We can see them online. For us that means no admission costs, a location many have need to travel to for other reasons so they can attend and get other business done, guest speakers who add significant value and are approachable to talk to after they speak, a late start to allow for everyone's day job, and lots of time and help in networking. Nobody stands alone at any point. Too many shows we're left on our own to try and meet people. Not here.
113. Provide a safe environment. Conferences have long been loaded with salespeople and vendors. It's a bad experience for most guests and speakers. A guest will come, speak, and then be inundated by guests there to pitch them their wares. So they don't want to go and won't return. When they do return, it's for the Prestige of being on a panel, not to participate in the conference itself. Create a place where guests can be honest and vulnerable without having a salesperson lurking in the shadows. Where they can meet friends and prospects without having to do it outside of the show itself.
114. Nobody stands alone. Ever. Years ago, as we were coming up, we were a growing customer of one of the larger SaaS companies. As such, they invited me to a "hyper VIP" party at their annual event. I didn't know anyone. And I'm a pretty extroverted person. I spend 45 minutes wandering around alone and eventually left. What was supposed to be a positive experience, which I'm sure cost quite a bit, wasn't. We never went back to any of their events. Guests come first. Always.
115. https://www.linkedin.com/feed/update/urn:li:activity:6989236633808105472/
Don't let fear make tough decisions for you. Do what you think is best for your company even if it is wildly unpopular - like going back to the office 4 to 5 days a week if you believe that's what your company needs (not all do). We get comments of amazement all the time when doing zooms and people see we're fully in the office four days per week - including Friday- for the majority of our team (not the vast majority, but the majority. We were considered overly WFH friendly prior to Covid). All of the company leaders say the same thing: "I'd love to get our people back but they refuse to come." There are two sides to the WFH argument - and I understand and respect them both. Many times in these conversations, it's very clear the leadership believes being back in the office is the best thing for their business, and not for nefarious reasons like a lack of trust. We tell them all the same thing: If that's the case for you and you want your team together, pull the trigger. If staff leaves, they leave. That's okay. It may be better for everyone. FWIW, nobody left us. Not one.
116. You don't have to like your teammates (maybe try not to punch them in the face though Draymond?) to have a winning culture. Culture is top of everyone's mind. I sat in six final interviews this week and it was either the first or second question from every candidate. As it should be. Culture is oxygen to your business. But…a great culture doesn't mean everyone is friends - or even friendly. And it definitely doesn't mean there aren't heated moments. Respect matters. And you can work with someone, dislike them, and respect the heck out of them. Here's NBA Champion Richard Jefferson saying the same
. It sounds easy, but far from it. It's hard to watch as teammates feel left out or aren't part of the in-crowd. We all want utopia. In business, however, utopia isn't everyone being friends- it's everyone being independent and themselves - in ways others like and in ways they don’t- and knowing they have that freedom.
117. Dave Roberts was cheated. You will be too. (and I was raised a Giants fan). The 111 win dodgers were bounced early in the playoffs (again) and it has been an ongoing stain on Roberts and Kershaw's reputation as postseason winners that they've failed to win a full season World Series. The same pair who lost a 7 game world series, and another world series, to teams caught, and punished, for cheating. If you choose to win the right way, you have to believe in yourself and your purpose enough to be cheated and know how the world will treat you. Because nobody else cares and all they'll point to is the fact that you lost - even if they won't call the cheaters winners either. Who would have won the 7 Tour De France's Lance Armstrong (and Jan Ulrich) cheated in? Nobody remembers. Does anyone recognize Aaron Rodger's Cal Bears as a legitimate claim to a spot in the national title game the year USC was disqualified (They lost once in the regular season- at USC)? How about the 2002 Sacramento Kings? Is Doug Christie a champion? Or is he a "choker" for throwing up two airballs in a game 7 which likely wouldn't have happened?
The things of this world are promised to the people of this world. If we live for more, we'll have to accept that, from time to time, we'll lose and it won't be fair. As Papa Knopp said so often: "Fare is what you pay to ride the bus."
118. https://www.linkedin.com/feed/update/urn:li:activity:6991763435898241025/
Authenticity has demolished the status quo. In everything. One word took over the day at our summit conference two weeks back: authenticity. Kenny Smith shared the secret to how Inside The NBA has stayed so relevant for 22 years with a number of stories about honesty and authenticity. There are no scripts and they have freedom to be themselves - he even told a funny story about hazing Shaq in his first week. Ali Kreiger and Ashlyn Harris shared how athletes are empowered to be their whole selves and partnering with companies who support their individuality. And nearly every guest commented on one aspect of the entire event we so carefully hoped would shine through: authenticity. People trying their best to help each other - faults, differences, and everything. Be nice. Be honest. It can work. At least that's what we're trying.
119. How you cancel on someone matters. For some, the business world is a playground of connections made by wealthy parents or the like. For others, rolodex's are built by cold outreach. As we came up, we were cancelled on over and over. It happens. We didn't "matter" to them (Still don't to many). But the pendulum sometimes swings. There are a number of people who treated us like dirt now trying to sell us their products and services. Some even confused as to why we won't take their calls (remember, they're more important than us). If at any point you decide to cancel on people last minute, no-show a call or blow off the in-person for a phone call, know that bridge is likely burned. I've been as guilty as this as anyone, even though I was advised early to "network down too." Great advice. We have no idea who can help us down the road.
120. Scoreboard. Back in the LA Kings days I rolled in late one morning and started talking crap online in my fantasy league before getting to work. Little did I know my boss' boss had quietly pulled up a chair behind me. Took me a minute to notice, and the whole pit was watching by the time I did. "Gonna do any work today Knopp?" Busted. But I had a card to play. I pointed to the sales standings on the wall where I was #1 and #1. "Scoreboard. You're at the wrong desk." He laughed (he's a great boss and still a friend). We all screw up. A lot. Amazing how those who put in the work get a lot more understanding. Results matter.
121. https://www.linkedin.com/feed/update/urn:li:activity:6994307392490397696/
You live in the future - and you'll get used to it. As a career progresses, there are fewer short term wins. There's always a bigger goal down the road. The goalposts are constantly moving. And when you hit that big goal? You'll have moved onto the next one months before. Find the wins in the day to day and learn how to be gracious when others congratulate your team on a month/quarter/year/decade gone well. Most of what I'm working on today won't come to fruition until April '23 at the earliest - if even then.
122. You get to choose the pillbox. In Against All Odds, greenhorn soldiers are lamenting having to be first to charge the beachhead in Southern France as they believe it would be safer to be in a later wave. To their surprise, the Marne Men, vets of prior beach landings, take their place and choose to go first. Why? "If you go first, you get to choose which pill box to attack. You don't like the look of the first one? Choose the second. But if you're in the later group? You don't have a choice. You have to take what's left." A terrific analogy for startups looking to disrupt a market. Yes going first is really dangerous, but your options on customers and partners are more open.
123. There's always a Jordan. And if you're a Winklevoss, it's a Zuckerberg. My son learned a life lesson in fantasy hoops when he forgot to hit mute on his mic during the draft and Jordan heard him talking to me about our late round sleeper pick Bojan Bogdanovich. Jordan snatched up Bojan quickly,, who has had a season far above where he was drafted. If you dare to have ideas, to take a chance, and to try to build something, there will always be a Jordan. I have a few of them (hi!) who watch, read, copy and weasel every way they can. Keep your mouth shut or use their sliminess to your advantage....like "letting slip" your interest in a player, staffer, or market you're not really interested in.
124. https://www.linkedin.com/feed/update/urn:li:activity:6996711282326323200/
"All I'm doing it laying people off and closing down businesses." - a seed stage VC fund of mine. "We use leverage to fund deals. Leverage is exponentially more expensive now and getting worse."- a Private Equity MP friend of mine. "It's never been a worse time to work at a start-up" - another VC friend. I disagree.
125. There's no better time to join a start-up than right now. If a start-up or growth company are thriving in today's market (and by thriving, I mean making money and solid FCF with good backers), get on board no matter what. Plenty of unicorns get their start in down times and it's easier than ever to identify the good ones. The tides going out and the companies swimming without shorts on are easy to spot.
126. Get while the getting is good. In 2006, the unbeaten USC Trojans played the unbeaten Texas Longhorns in the Rose Bowl in one of, if not the, most expensive tickets of the past 25 years (Seahawks vs. Patriots in 2015 the only other even close). Get-ins were unavailable at kick-off. We worked the StubHub pick-up and people were offering $10k a ticket with no inventory in sight. I was working in sales at the time and responsible for Corporate and VIP sales. There was so much more demand than there was inventory and I made 5% of every sale. The game was made official on December 2, 2005 and very call I made was making money from that day until the game itself on Jan 4th. I had never made more money in my life, so I took no time off. None. Not weekends. Not Christmas. Not New Years. Over the holidays, I was locked in my parents guest room working 14 hour days. Sometimes, in life, the getting is good. Get to getting.
127. We're all playing a rigged game. Take the time to read about FTX, Binance, and the madness in the crypto world this week. Start here. . https://lnkd.in/g5e66YWb Then here: https://lnkd.in/gbY6YzvY .What they were doing wasn't technically illegal, but my goodness it should have been. Enjoy the mayhem. What a story. Money is all that matters to too many people. Then again….that's not new news to any of us - think Matthew 4.
128. https://www.linkedin.com/feed/update/urn:li:activity:6999507954236370944/
Cash comp + Stock comp + Applause = Total Comp. We all have a finite amount of money, stock, and applause we can spread out on our team. And applause is just as, if not more, important as cash and stock comp. Applause for everyone and you have applause inflation. It means nothing. Too little applause and the scarcity makes it matter more. Applause, for most, has the same impact as cash and stock: It creates jealousy, toxicity, and envy. People will quit if they believe they haven't gotten enough applause (usually in comparison to others). As silly as it sounds - create an applause budget. You're going to need it.
129. The line between genius and insanity is paper thin. So is the line between what people see as a wild success and a charlatan. We've already shared in a past three things that good crooks are likeable. They're also very smart and they blur the line between legal/illegal and moral/immoral. What do Phil Knight, Jerry Buss, Steve Jobs and Sam Bankman Fried have in common? Complete and total lies to their early investors/partners. Knight lied repeatedly about the size and scope of his business to his Japanese manufacturers (then was offended when they lied to him. Hypocritical). Jerry Buss didn't have the assets to buy the Lakers, and he knew it. Which didn't stop him from stretching out to close date with Jack Kent Cook to break the news he was $3m short. Steve Jobs business, Next, couldn't do most of what he claimed when Apple came calling. And SBF? We're about to learn he's the worst of them all but that didn't stop fools and their money chasing a "Sure" (read: " Easy") thing. I had the opportunity to ride in my good friends jet the other day. His most common advice to those around him on finance - "there are no shortcuts."
130. Life happens. Once your team reaches 20 people, there will be someone going through something personally at all times. As you grow, that number grows with you. These things don't get left at home, and we don't want them to- that's unhealthy for everyone. If you start a business, best to plan ahead for the peaks and troughs we all have- your team included. And know you and your team will always have someone to cover for as they go through life's seasons. Give them space and time off and you'll build a trust you'll need later. You don't need 10 hires to do the job of 10. You need 12.
131. The Three common "rules" of fundraising debunked by our experience: https://tonyknopp.substack.com/p/three-laws-of-raising-funding-debunked
132. https://www.linkedin.com/feed/update/urn:li:activity:7004472532074471424/
Heavyweight champion Tyson Fury got what he wanted. And he hates it. “You say I’ve got everything I ever wanted. I never really wanted all the fame and all the s--- that comes with being a champion, that’s not what it was about. I got everything I ever wanted by beating Klitschko. Just getting that victory over him, you don’t own your own life anymore. You can’t go anywhere, you can’t live a normal life. So, it’s not what I wanted, and it’s not a great life.” Careful when you want the world. It's a trap. (Luke 5)
133. Don't be a jerk- if even for self-interest -part 2. We've been in the game 15 years and contacted a lot of people along the way. We've been so blessed with our companies growth and recently posted a Head of Strategic Partnerships job. The number of people who have applied who have been openly mean to our team is astounding. For future reference, companies under 200 people know and they don't forget. Be nice. And if you're not, maybe not the place to be applying for work. If it’s easy for the team to look you up in their CRM and see you’ve never responded or, worse, were mean in response, you’re likely not getting that call back when the shoe is on the other foot. Something we all need to accept.
134. One of the unspoken things about getting to work with a great and talented team: There's nothing more motivating than wanting to serve, and protect, people you care about. Doing things for ourselves isn't anywhere near the motivator doing things for others is. It's pull instead of push - and it is rocket fuel!
135. The four people we meet during the holidays and how we see them everyday at work: https://www.linkedin.com/feed/update/urn:li:activity:7012107134695862272/