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"you're not going to get rich by being an employee" I disagree. If you're looking at every little startup idea, then yes...you probably won't get rich. Also,

"you're not going to get rich by being an employee" I disagree. If you're looking at every little startup idea, then yes...you probably won't get rich. Also, you won't get as rich as the founders; however, I have plenty of friends in the industry who have made millions (the typical goog, fbook, yada yada). I think a better suggestion is to shake out the idea before jumping on. I've made poor choices money-wise and I've made great choices in the past (very similar to equity investing)... "Otherwise forget the extra hours"... I think there's something in between. As a founder, it's a ridiculous amount of hours / extra stress, etc. Or you can work as an employee and give some extra but still realize it's a job and you aren't a founder. You don't have to work 80 - 100 hour weeks simply because you're at a startup. It's a pendulum with being a founder on one end and being a checked out employee at megacorp on the other. You can work tons of hours at a megacorp (mckinsey, etc.) or.. you can work a reasonable number of hours at a startup.

aantix 11y ago
92% of startups fail. For most, it's not going to turn out pretty. Apparently your friends are incredibly good at choosing startups; they should be VCs.
- ironchef 11y ago
  "92% of startups fail. For most, it's not going to turn out pretty." And if you're a founder you have those same odds, no? With more skin in the game, being a founder in those cases is probably even worse, too. I think all I'm suggesting is in the risk-reward decision, it's more complex and subtle than just go be a founder if you're going to do the startup thing as that's the _only_ way it's worth it. "Apparently your friends are incredibly good at choosing startups; they should be VCs." Some of them are; however, some are relatively happy going from startup to startup (fairly early) getting things done. I'm sure some of those will hit well and others won't.
  - gmarx 11y ago
    I don't think it is the same odds. The number of startups in which employee 500 gets rich is vanishingly small. The number in which employee 3 gets rich is higher. On the other hand, you'd need 500/3 such startups to counter the first kind. I don't know what the actual numbers are.
    - ironchef 11y ago
      I'm sorry. I didn't mean to imply employee 500. Employee #10, for example or even employee #50 could still do substantially well (similar to what you allude to in saying "the number in which employee 3 gets rich is higher")
- a3voices 11y ago
  Out of curiosity, 92% of startups that reach what stage? Seed funding, series A, series B, etc.? edit: It's companies that are picked by YC
- dustingetz 11y ago
  http://josephwalla.com/attrition-is-a-group-statistic-it-dont-apply-to-me http://josephwalla.com/attrition-is-a-group-statistic-it-don...
icedchai 11y ago
I disagree as well. You can get single digit millions rich (which is "rich" to most of America, though obviously not SV or NYC rich) by being frugal, saving and investing Most people don't have the discipline though.
- aantix 11y ago
  You could become a millionaire this way but why? You have a pile of money and then you still end up dead. When you live frugally, you're constrained. There's a max to how much you can save. Furthermore, while you're saving, life passes you by. Opportunity costs. Who wants to go on a dream vacation when they're in their 60's just to have their hips hurt and their spouse in similar shape? How can we have the dream vacation now and have a pile of savings? It's better to leverage the upside; figure out how do I significantly increase your income right now. Not increase your income on a probably acquisition 2,3,4 years from now, but increase your income right now.
  - charlesdm 11y ago
    Well said.
  - icedchai 11y ago
    The average person (American, anyway) has no financial discipline and will spend every dime they make, and then some. If they simply "increase their income" without the fundamental ability to save / invest, they won't get anywhere long term. BTW, I'm very good at increasing my income. I usually bring home an extra $2K to $3K a month on top of my day job, and am always looking at ways to grow this.
    - aantix 11y ago
      >they won't get anywhere long term Where are they trying to go? We all die. And we can't take it with us. At our deaths, any balance left that is greater than zero is an experience that we robbed ourselves of.

aantix 11y ago

92% of startups fail. For most, it's not going to turn out pretty. Apparently your friends are incredibly good at choosing startups; they should be VCs.

ironchef 11y ago
"92% of startups fail. For most, it's not going to turn out pretty." And if you're a founder you have those same odds, no? With more skin in the game, being a founder in those cases is probably even worse, too. I think all I'm suggesting is in the risk-reward decision, it's more complex and subtle than just go be a founder if you're going to do the startup thing as that's the _only_ way it's worth it. "Apparently your friends are incredibly good at choosing startups; they should be VCs." Some of them are; however, some are relatively happy going from startup to startup (fairly early) getting things done. I'm sure some of those will hit well and others won't.
- gmarx 11y ago
  I don't think it is the same odds. The number of startups in which employee 500 gets rich is vanishingly small. The number in which employee 3 gets rich is higher. On the other hand, you'd need 500/3 such startups to counter the first kind. I don't know what the actual numbers are.
  - ironchef 11y ago
    I'm sorry. I didn't mean to imply employee 500. Employee #10, for example or even employee #50 could still do substantially well (similar to what you allude to in saying "the number in which employee 3 gets rich is higher")
a3voices 11y ago
Out of curiosity, 92% of startups that reach what stage? Seed funding, series A, series B, etc.? edit: It's companies that are picked by YC
dustingetz 11y ago
http://josephwalla.com/attrition-is-a-group-statistic-it-dont-apply-to-me http://josephwalla.com/attrition-is-a-group-statistic-it-don...

icedchai 11y ago

I disagree as well. You can get single digit millions rich (which is "rich" to most of America, though obviously not SV or NYC rich) by being frugal, saving and investing Most people don't have the discipline though.

aantix 11y ago
You could become a millionaire this way but why? You have a pile of money and then you still end up dead. When you live frugally, you're constrained. There's a max to how much you can save. Furthermore, while you're saving, life passes you by. Opportunity costs. Who wants to go on a dream vacation when they're in their 60's just to have their hips hurt and their spouse in similar shape? How can we have the dream vacation now and have a pile of savings? It's better to leverage the upside; figure out how do I significantly increase your income right now. Not increase your income on a probably acquisition 2,3,4 years from now, but increase your income right now.
- charlesdm 11y ago
  Well said.
- icedchai 11y ago
  The average person (American, anyway) has no financial discipline and will spend every dime they make, and then some. If they simply "increase their income" without the fundamental ability to save / invest, they won't get anywhere long term. BTW, I'm very good at increasing my income. I usually bring home an extra $2K to $3K a month on top of my day job, and am always looking at ways to grow this.
  - aantix 11y ago
    >they won't get anywhere long term Where are they trying to go? We all die. And we can't take it with us. At our deaths, any balance left that is greater than zero is an experience that we robbed ourselves of.