Monday, December 16, 2013

Startups may be short experiences

Stephanie Gleason and Rachel Feintzeig, WSJ, Dec 13, 2013, says joining a startup company can be a fast rollercoaster to unemployment.

The new companies have a philosophy of "fail fast," meaning they want to throw it out there, see what happens, and if it doesn't take off, not burn through everything. This can lead to "failing fast" for hires, too.

Some people come and go in days.

So if you move to take a job--know it could be a fast ride.

New companies fire 25% before the first year is out. For companies in business for longer than 18 years, this number is just below 7%.

Often, too, new companies hire on friends--or friends of friends--and these people may not have the specialized skills.

One company head said she hired the best and the brightest--and everyone hated each other.

Also people coming from the more sheltered corporate world often do not move as fast as people in a startup need to.

In one example, an experienced marketing manager from outside did not want to make cold calls.

Companies can turn and burn--remember that.

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