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There's a practical reason not to do this as well: it puts off investors. Investors think when you've styled yourself as CEO, "Shit, if we need to bring in a

by wheels 16y ago

There's a practical reason not to do this as well: it puts off investors. Investors think when you've styled yourself as CEO, "Shit, if we need to bring in a external CEO at some point this guy's going to cause problems." Co-founder seems universally safer.

staunch 16y ago
I don't think that's true of modern/good investors. I think most of them desperately hope they don't have to find an outside CEO. They want someone strong in the position, and ideally it's one of the co-founders.
- wheels 16y ago
  I've heard it from multiple investors, good and bad. I think good investors naturally hope that one of the founders will pan out as a long term CEO, but they also don't want to be up shit creek if it doesn't happen. Calling yourself CEO in a 2 person company is a common enough faux pax that I've seen it mentioned in several investors' blogs and it's one of the things they sit around and make jokes about when the startup's back is turned.
  - staunch 16y ago
    I'm genuinely curious who you're referring to. Making fun a haughty 22 year old CEO makes sense, expecting that one of the founders will likely not be the CEO doesn't. "If you don't have anyone on your founding team who is capable of being CEO, then sell your company -- now." -- Marc Andreessen
    - wheels 16y ago
      I know Art of the Start from Guy Kawasaki mentions it -- I thought it was in his blog too, but I can't find it at the moment. Here are a couple more: http://venturehacks.com/articles/top-heavy http://venturehacks.com/articles/top-heavy http://www.beyondvc.com/2006/06/topheavy_teams.html http://www.beyondvc.com/2006/06/topheavy_teams.html I've also heard this in private conversation (specifically, the first time we met with a VC before promptly ditching the titles) and a couple of the speakers at YC in our batch mentioned it.
      - staunch 16y ago
        That Venture Hacks article says "One of the founders should be the CEO so you can make decisions quickly." Anyway, I'm sure it varies. I really am curious what top investors think though. Does Ron Conway think less of you for telling him "I'll be the CEO and he'll be the CTO" assuming you're not arrogant/lame about it?
        drusenko 16y ago
        He certainly didn't when we were pitching him...

by wheels 16y ago

staunch 16y ago

I don't think that's true of modern/good investors. I think most of them desperately hope they don't have to find an outside CEO. They want someone strong in the position, and ideally it's one of the co-founders.

wheels 16y ago
I've heard it from multiple investors, good and bad. I think good investors naturally hope that one of the founders will pan out as a long term CEO, but they also don't want to be up shit creek if it doesn't happen. Calling yourself CEO in a 2 person company is a common enough faux pax that I've seen it mentioned in several investors' blogs and it's one of the things they sit around and make jokes about when the startup's back is turned.
- staunch 16y ago
  I'm genuinely curious who you're referring to. Making fun a haughty 22 year old CEO makes sense, expecting that one of the founders will likely not be the CEO doesn't. "If you don't have anyone on your founding team who is capable of being CEO, then sell your company -- now." -- Marc Andreessen
  - wheels 16y ago
    I know Art of the Start from Guy Kawasaki mentions it -- I thought it was in his blog too, but I can't find it at the moment. Here are a couple more: http://venturehacks.com/articles/top-heavy http://venturehacks.com/articles/top-heavy http://www.beyondvc.com/2006/06/topheavy_teams.html http://www.beyondvc.com/2006/06/topheavy_teams.html I've also heard this in private conversation (specifically, the first time we met with a VC before promptly ditching the titles) and a couple of the speakers at YC in our batch mentioned it.
    - staunch 16y ago
      That Venture Hacks article says "One of the founders should be the CEO so you can make decisions quickly." Anyway, I'm sure it varies. I really am curious what top investors think though. Does Ron Conway think less of you for telling him "I'll be the CEO and he'll be the CTO" assuming you're not arrogant/lame about it?
      - drusenko 16y ago
        He certainly didn't when we were pitching him...