What I Wish I Knew Series: Four Key Seats Every Founder Must Fill

As the CEO and Co-founder of ElastiFlow, I learn something every single day. It’s hard to pick just one thing that I wish I had known when I was getting started, but I often come back to one major learning: surround yourself with the right people, in the right seats, early on. Building out your small team in the early days is critical to providing a strong foundation upon which you will build the rest of the team and the broader business.  

In my experience, four seats must be filled, early, to ensure success. 

1. The Visionary: Knowing the Problem Inside Out

At the helm of every successful tech venture is a visionary leader who possesses deep expertise in the problem that the company aims to solve. This individual has lived this problem firsthand, gaining an unmatched understanding of the complexity, the nuances, and the inherent challenges of addressing it. This deep understanding translates into the vision of a product and solution that solves this problem. 

Often, this role is assumed by the founder, who is passionate about solving a specific problem and has deep technical knowledge about how the problem can be solved, the ways the customer can engage with the solution, and ultimately the value it will provide for years to come. The visionary is not just an SME (Subject Matter Expert); they are also capable of inspiring the team with their enthusiasm to tackle the identified problem, and capable of teaching others about the problem, the market, and the customer need - and importantly how the company can solve those challenges. 

2. The Builder: Crafting High-Performing, Customer-Centric Solutions

Following closely behind the visionary is the builder – the person responsible for turning the vision into product reality. This role involves creating high-performing, scalable, and supportable enterprise-class software. While the visionary focuses on the "what," the builder focuses on the "how."

It's important to note that perfection is not the ultimate goal in this seat. The Builder must create the early versions of the product with a laser focus on solving the primary customer problem. The Builder must know the problem, know how to solve the problem, and iteratively build a product to deliver value to the customers.  As my team often says "Less than perfect code that solves the customer’s pain is better than perfect code that doesn't solve the customer problem." The builder's expertise lies in crafting solutions that effectively address the identified problem.

3. The Closer: Bringing the Product to Market

Even with a strong community and inbound interest, a tech venture requires a dedicated salesperson. From the early days, there is a business need to have someone dedicated to being customer-facing, handling orders, processing transactions, and interfacing with buyers. The first sales hire may not need to be a VP but must wake up every day hungry to engage prospects and close deals.  

While founders and visionaries can close some of the early deals, this model is not scalable and creates a big dependency on the founder who needs to wear many hats. Waiting too long to bring in a salesperson can hinder growth, and founders must assess when their time is better spent on other aspects of the business.

4. The Operator: Navigating Operational Details

Often overlooked but equally crucial to the previous three roles is the back office manager or Chief Operations Officer (COO). This individual handles the intricate operational details of the organization, such as setting up internal tools and services; bringing structure and order to business processes; managing state-by-state and country-by-country taxes;  security and compliance; and other administrative tasks.

Recruiting a COO early on can prove beneficial, as they help navigate the complexities of business operations. Understanding the details and legal requirements becomes paramount, especially when dealing with issues that ultimately ensure a smoother exit strategy in the future.

In retrospect, founders often find themselves wishing they had brought in a back office manager earlier in their journey. The intricacies of doing business, particularly in regions like the U.S., demand attention to details and adherence to relevant laws.

Every founder must consider their first critical hires and in my experience, these four seats will set you up to maintain market differentiation, build the team, and ensure you are staying organized every step of the way. Founders who recognize the importance of the visionary, builder, closer, and operator can lay a robust foundation for their startup's growth and long-term success.