It’s been a while since we made an episode of Finding Your Venture. We’re back today to answer a really common student question from the course. Essentially the question is, “I don’t feel comfortable selling something we haven’t made yet.” And it’s a really common thing that comes up as the team is out pitching customers. I’m going to play this conversation I had with Bob Caspe – and I’m hoping it will re-frame yoru mindset about what’s happening in these early customer conversations. Like, what’s the point. Remember that ‘Search Selling’ is the term Bob and I use for starting with customer conversations and working backward from there. I’m asking him how to get the most out of these customer conversations and he tells a story that shows where the value is (and where it isn’t) My expectation for any customer pitch is that you won’t make a sale. But by pushing for one and listening to the customer’s feedback, you’ll triangulate more quickly to a better solution that a future customer WILL pay for. The clip I played in this episode is part of an entrepreneurship class that Bob and I are teaching together on HeatSpring. It’s called “Entrepreneurial Strategy” and we’re enrolling any of our current or past students into it for free. It’s a fun excuse to reconnect with each other and with people from Babson or Michigan or wherever. If you want to join just send me a note and I will make it happen. OK, that’s my pep talk. Go talk to some customers!

I don’t know an international student who has started a company and pursued it full-time in the U.S. after graduation. What’s stopping them? Well…the law. Immigration law makes it illegal for non-citizens to earn money in the U.S. except in very narrowly defined scenarios.  This the second in a two-episode series for international student founders. In the first episode, “International Students Carry an Extra Burden“, we met Deepti Pandey, a talented and passionate international student entrepreneur trying to launch a business. In this episode we’re going to ask a professional to help us understand what international student entrepreneurs can (and can’t) do. Meet Mike Nowlan: Michael Nowlan is a Member at Clark Hill in Detroit. He represents companies and individuals as they navigate the complex U.S. immigration system from the initial transfer/move to the U.S. to U.S. citizenship. This includes assisting clients as they process with U.S. Consulates as well as immigration agencies located in the U.S. He advocates for foreign national rights before immigration officials on a regional and national level. This episode is an immigration law primer for international student founders. Here are some topics we cover (and the approximate time stamp where it happens): F-1 Visa – 3:40 Optional Practical Training (OPT) – 3:45 STEM OPT – 4:26 H-1B Visa – 6:26 TN Visa – 11:35 H-1B1 Visa – 12:00 E-Visa (E-3, E-2) – 12:06 O-1 Visa – 14:38 Green Card – 15:10 What do visas cost? – 19:05 Is fundraising OK? – 22:00 What corporate entity is best? – 23:00 Ok to form company with uncertain status? – 24:00 Ok to work at my startup as side hustle? – 24:50 OK to run U.S.-based company remotely from home country? – 25:44 Day trading & definition of ‘work’ – 27:00 Music: “Muy Tranquilo” (Gramatik) & “Open” (Moby Gratis)

International students make up about 15% of the student body at the University of Michigan. They bring interesting new perspectives from 50 countries around the world to our little midwest city. They pay higher than average tuition and in my experience they are some of the most dynamic, interesting contributors to our entrepreneurial community. The problem for entrepreneurship educators is that US Immigration laws make it really hard for international students to start companies, and the rules change all the time so the university doesn’t give them the legal advice they need. We basically tell them to get a job because it’s safe. So at the Center for Entrepreneurship we’re training them to do something that is almost impossible. In this episode you’ll meet Deepti Pandey. She’s the founder of EquiHome and someone I know is destined for success. She’s outgoing, curious, and smart. And she’s done and seen a lot for someone so young. This is the first episode in a two-part series for International Student Entrepreneurs. In the first episode we meet a talented and passionate international student entrepreneur trying to launch a business. In the second episode – “Immigration Law for International Student Founders” – we talk to an immigration and employment lawyer about strategies international students can take if they want to build their company in the U.S. Photo: Nareeta Martin on Unsplash Music: “Muy Tranquilo” (Gramatik) & “Open” (Moby Gratis)

When Duo Security sold to Cisco for $2.35 billion it was basically like the moon landing for the Ann Arbor startup community. Most of us had nothing to do with it, but we all remember where we were when we heard about it and still feel extremely felt proud of and connected to their success. Everybody does. It’s not just the money though, it’s how they did it. Everybody employee had equity. They stayed in Ann Arbor when it must have been tempting to move to the Valley. They always stayed present and accessible. It reminds me of the Pistons winning championships with hard work and toughness. For some reason it’s extra satisfying when the values of the team reflect the values of the community. And that’s really what this episode is about. Dug Song is going to explain how Duo didn’t succeed in spite of their midwest values and ties to the community – they succeeded because of those things. You should know about two things Dug started that you can get involved in: The first is the Ann Arbor Entrepreneurs Fund (A2EF). A2EF is essentially a club for startup founders. Here’s what it is and why Dug and his wife invested a million dollars to get it off the ground. The second is a monthly meetup called A2 New Tech, which is basically the friendly front door for the Ann Arbor startup community. I get value from it every single time I go. This is the last episode of Finding Your Venture for 2020. The podcast is funded by the University of Michigan Center for Academic Innovation for two more years so we’ll be back next spring with more lessons and stories. The podcast is designed like a Wikipedia page. You can scan the episode titles and get the gist of the message, and if you see something interesting you can click and go deeper. This year we made an effort to feature a more diverse set of storytellers and we’ll continue to do better in the years ahead. I learn so much from the diverse and interesting students in our course and building those relationships is far and away the #1 reason we teach. Teaching and creating has been an antidote to the gusher of bad news and fear spewing from my phone. People are good. You’ll never regret investing time and resources into relationships with the people around you. Thanks for spending this time listening to the stories I love.

Stories are 22x more memorable than facts. So telling a good story is essential for attracting customers, investors, co-founders, and employees. But what if your story is sort of weird and unconventional? And what about protecting your idea from competitors? The potential benefit of talking to people about the problem you’re solving and what you’re working on is enormous. Your biggest competitor at the start is the world’s indifference. When you talk about your company and ask for help, you’re activating a support network that can help you. And if you’re a decent person then your network is huge and powerful, even if you don’t know it. You’re going to hear a story from Erika Block about how a story that doesn’t make sense at first can evolve to be effective and compelling. Erika is a serial entrepreneur who has started a theater company, two technology startups, and a coaching business.

Is it better to start a company now, or get a job first? Students ask this question all the time and obviously there’s no right answer. The case for starting now is that you don’t have a lot to lose. Some day you’ll have a job making a lot of money and then it will be harder to walk away. The case for waiting is that you’ll gain experience and contacts in a job that will make you more likely to succeed in a startup down the road. I’m in my forties and let me tell you – this question never really resolves itself. My friends and I still ask ourselves these sorts of questions all the time. Since there’s no single correct path to having a career you’re happy with I tell students not to overthink it too much. Be bold, try the things you’re interested in, and be ready to make a change if you know it’s not right. The story you’re going to hear is from Dawn Verbrigghe, founder and CEO of Jottful. Dawn has a fine arts degree from the University of Michigan and took a winding path to becoming a technology entrepreneur. After college she lived in Southern California, Northern California, New York, London, and Amman, Jordan. But before we jump ahead let’s hear about how Dawn grew up and what some of her early influences were. Music credit: Thank you, Grammatik!

Raising money is time and labor intensive – it’s not possible to pitch everybody. So your goal is to find the right investors as quickly as possible. And here’s the secret: They are just like you. Investors are just entrepreneurs trying to make money. And if you understand their strategy then it becomes obvious whether or not your business is a good fit. You can literally ask them what that strategy is and determine whether you’re a fit or not. Paul Brown is a managing director at eLab – a venture capital firm with offices in Ann Arbor and Palo Alto. He’s also a regent of the University- and before he was elected Regent, Paul taught this class. He’s one of the reasons it’s the best entrepreneurship class on campus. Of all the great lessons Paul taught in the course, my favorite is the way he demystifies venture capital. Some venture capitalists cultivate an air of wisdom and intimidation. Paul doesn’t do that. So let’s start by hearing Paul explain who venture capitalists are and how venture funds work.

One of the first things every startup should do is form an advisory board. An Advisory Board is a magical mental construct that gives you access to all of the skills and experience you need but don’t have. It’s an excuse to regularly talk to smart people without paying them very much and if you’re not doing it then you’re leaving your best player on the bench. Kate Putnam is an angel investor and helps lots of founders as an advisor. After a quick introduction Kate is going to talk about what it means to be on an advisory board and how companies can benefit. We’ll talk about how to find advisors, how to compensate them, and the difference between an advisory board and a board of directors.

I used to think Mission Statements were just a nice idea. That was before I ever faced an existential crisis as a leader. In the moments when I had to lay off my friends, or got sued, or watched revenue fall off a cliff I had zero good options, no idea what was going to happen, and yet I had to make a decision and take action. In those darkest of moments the only thing that helped was remembering why we even started the company in the first place. What do we value? In those moments where everything looks terrible you want to have a mission statement that actually means something. That you actually believe with all of your heart. Because if it’s just empty words, then in that toughest of moments, you really have nothing. And you’ll lose heart and give up. So now you’re going to hear a crazy story of this actually happening. This story is brought to you from Delcie Bean. Delcie is the founder and CEO of Paragus IT. He’s going to introduce himself and the dive right into the story. Then we’ll circle back and define terms and walk through how to do this for your company.

Being a leader means unlocking the potential of the people you work with. Some people are naturals at this, but the rest of us need to be intentional about it and work hard at it. And most of the time we don’t do it because it feels like a waste of time. That’s what this episode is about. You’re going to hear from Dawn Leaks who is the CEO of Lioness Magazine. Lioness is a media company focused on female entrepreneurs, and Dawn is really thoughtful about what it means to be a great teammate. So let’s start by hearing about Lioness and how the company got started. Some links to resources that Dawn mentions in this episode: Personality Types: Enneagram Personality Types: StrengthsFinder Decision making framework: Open, Narrow, Close Music Credit: Grammatik