8:30pm, Thursday night: My phone rings, it’s a California number, and I answer.
It’s someone from @Chargify. The day before, I had inquired about their CEO’s cryptic statement in a blog post about a ‘sexy new way’ to integrate their recurring billing service into a sales funnel.
Imagine my surprise when I discover it’s the Chargify CEO, @LanceWalley, calling back. Ten minutes in, he’s answered all my questions and I know I will be a customer for life.
When the CEO of a company returns phone calls from home at 8:30pm, I know two things:
- They’re hungry to grow and Lance is approaching it the healthy way: leading the charge with a commitment to stunningly good customer service.
- I will never encounter problems with Chargify that I’m forced to face alone. Lance is on it.
After we worked through my Chargify questions, a thought popped into my head: “I’m on the phone with the CEO of a company I respect, who has done things that I want to do … what can I learn from him?”
I started asking Lance questions and he told me the story of moving from Consultant -> Consulting business owner -> Having enough time each week to work on launching Engine Yard -> leaving Engine Yard to pursue his own path -> becoming CEO of Chargify.
Here’s what I learned:
1. Use a home-made video on my front page, explaining what I do, what my niche is, and who my ideal customer is. Don’t make it too fancy. Example.
Why this is genius:
- Experienced enterprise salesmen know how much they can sell to a corporation based on the decor in their lobby. And this goes the other way - when you are a small business working with large corporations, it’s positive and beneficial to the relationship to be a normal human being instead of trying to represent yourself as more than that.
- The video, and the minimum contract length specified above it, rule out all the potential clients that aren’t a perfect fit. Lance used this to gain rapport with great clients, and turn away those who didn’t fit.
2. Social is what everyone wants but doesn’t mention. Lance focused his consulting business, Quality Humans Inc., on providing on-site contractors that are friendly, personable experts. Their technical skills were never lower than 7/10, but their personalities had to match. This led to his business being a matchmaker/recruiter as much as a tech consultancy, and to a lot of happy clients.
3. There’s a lot wrong with the “drop everything, go into debt, and launch your startup” mentality. It’s not sustainable and it’s not a healthy mental/emotional approach to business. It’s based on unproven conjecture about your future earnings. Lance and I are in complete agreement that having a steady, sustainable income is an important milestone in getting your startup launched. Even if you’re earning it working at a copy center!
“Overnight success” comes after years of hard work in the trenches and close attention to tweaking the offering. Think of the “hockey stick” graph where the startup is a nearly flat line with small growth for a while, then starts going viral, getting notoriety, and really hits its stride. This is the case for most successful businesses. Notice that most of the companies that shoot up like fireworks tend to explode at the end of that rise.
You can read more from Lance on Twitter: @LanceWalley