Diary of an Economic Crisis Survivor

Life, Death and Miracles of a Startup, in the Italy of the Economic Crisis

Tag: bad politicians

21. Born of a Startup: building a company in Italy.

SEPTEMBER 8, 2014, HOURS 21:56

DAY 204

diary of a crisis survivor 21 key door

The time has come.

We have made the most important step.

We officially created our company.

Victory is officially a  “Società a responsabilità Limitata” (the equivalent of the English limited company(CLUE N.7).

 

After so many months, we have arrived where so many of us didn’t think to arrive.

It was not easy of course, and everything will be much harder from now on.

But our time has come.

 

The first question we asked ourselves was: “What is the best type of company to build our startup?”

The first choice was to set up a company where the responsibility is only of the company and not of the partners.

The second choice was to choose the type of company. We opted for a private limited company, that, in Italy, is a company where the human element is stronger than the interests of the shareholder.

Finally, it will be important to be able to be recognized as an “Innovative Startup“, a new and unique type of Limited Company, which can be exploited in Italy for two years now.

 

I will speak about it in the next post, now I’m going to celebrate Victory with the team.

I see the light at the end of the tunnel, I see that The Great C is escaping.

diary of a crisis survivor 21 The great c is escaping

20. Start up Competition: a way to grow

SEPTEMBER 1, 2014, HOURS 13:20

DAY 197

diary of a crisis survivor startup competition win

We fight the Great C.

Now officially.

While the wars rage in the world, while Italy continues risking sinking (inaction is not usefull) and the Great C is looking for another victim, we face an important moment in the life of a startup.

 

Thanks to writing a Business Plan we are able to sign up to the Startup Competition that we have identified.

It will be an important step, because we will face the public for the first time.

The goal is plural:

  1. Finding financiers or “companions” that can help us on the journey;
  2. Giving visibility to our idea.

For this reason, we are motivated.

Obviously we don’t know yet if we can.

However, being able to “compete officially” gives us a lot of enthusiasm.

We decided to take this step because the first feedback (with friends, family and experts) has been extremely positive.

I’ll leave you, now is the time.

With my click we will be officially in the race.

I’m going to click on (and begin to think that, this time seriously and concretely this time, we will win our battle with the Great C).

diary of a crisis survivor startup competition

19. No Country for Young Men.

Agoust 6, 2014, HOURS 22:31

DAY 171. diary of a crisis survivor recession

Recession. GDP -0.2%.

The worst for 14 years.

“Recession is back in Italy”

No. The Great C is back. Rather. It was never gone. And we knew it, I always repeat it in this blog: the inaction of the country is evident, and the cultural, economic, structural gap with other European countries is widening. “The Italian growth will come between 10 years.”  The voice of the people…10 years because they realize that the job is so much to do that it will be a long path.

The problem is the lack of  trust and opportunities for the young men. We need to have our chanche to play, we are too brilliant to be wasted. Victory is the startup of my dreams. For her, I fight every day to overcome the obstacles that sometimes seems to be insurmountable.

I can’t continue to be an “aspiring old  in a country for old men,” in Italy I can’t afford to invest my few money in a startup(although it is my startup and my dream). The risk is too high. Am I a gambler? Perhaps. Maybe the solution is in another country…. I’ll propose this idea to Victory’s team.

How many startup will die before the end of The Great C?

How many entrepreneurs will waste their projects?

How many young man will leave the country?

Maybe there is no hope Italy. No country for young men.

diary of a crisis survivor No Country for Young Men

13. Test to start your Startup

June 24, 2014, HOURS 12:21

DAY 129

diary of a crisis survivor
Here we are.

Our beta version is ready. (CLUE n. 5).

Although things aren’t going well, we go public testing our service (obviously not here, not in this blog).

The streets of my city are desolate. A city like so many others, and like all these other, was hit hard by the Great C, which created recession, unemployment and depression.

You know my story, and you know how, with my startup, I’m daily trying to fight The Great C. The first step was to create a team, and now, we’re launching our beta version of the site.
Because for a startup is fundamental:
1) check the appeal of your product / service;
2) create a critical mass that can act as a springboard for the project.

As can be convinced (or love) of our business idea, unfortunately, the response of the market is always different from the initial expectations, and start a test phase will enable us to understand where the process of buying is gonna blocked and where we go wrong. If we are unable to successfully pass this test phase, creating a sufficient critical mass, we will be able to throw in a total market.

I would say, first of all, in a startup, as in the life, it is necessary to risk: if the test will be positive, we can think of detonate the bomb … and then, I think that the Great C wouldn’t be able to resist.

We see the light, we know the way: now is our turn to survive…and risk.

(We don’t know what we can achieve unless we try).

11. In Italy, today, or you create a Startup or you die

June 3, 2014, HOURS 17:12

DAY 108

*“Our mother has been absent, ever since we founded Rome. But there ‘s going to be a party, When the wolf(or the Great C) comes home “.

Mood of a Startup. and of startuppers . Today we feel so.

Completely abandoned by those who should have created a better country for their children and their grandchildren. The business world and the political class. The Great C. When it comes home, we’ll have a big party. That ‘s for sure. Because it would mean that today we couldn’t leave the country and be successful with our startup.

This is not a cry for help but a post of complaint. To remind all young Italian startuppers that we are few, but we can do it. Technically speaking, compared to other generations, we have the best tool to overcome these difficulties: the network. Internet has given us the best way to share and, for our startup, led us to share experiences with another startup, resulting in a strategic partnership with the specific aim of facing the market together, satisfying two types of different but complementary needs .

How important is sharing in 2014? Fundamental. Because if we get together and share experiences, ideas and mistakes , maybe we can do it.

There is only one alternative, leave the country killing our startups .

I have been stalked by The Great C since I left my job. I have become, less than 1 month, a self-employed with a handful of customers in his pocket, a few euros of income, and an entrepreneurial project in my heart. And I’m seriously thinking of leaving everything and changing country.

It ‘s my team that tries to motivate me in these days of darkness, reminding me every day what we’ve been through, the difficulties that we have overcome together, and above all that we have shared. For these reasons, if I want to stay in Italy and survive the Great C, the only solution is my startup .

And therefore, in Italy, today, “or you create a Startup or you die.”

diario-di-un-sopravvissuto-alla-crisi-startup

9. I quit work for my Startup

May 15, 2014

DAY 89

diario-di-un-sopravvissuto-alla-crisi-startup-licenziarsi-per-la-propria-startup

It ‘s almost happened.

The Great C was going to enlist in its ranks. Bringing my startup.

Everything happened in a short, very short time, and it lasted a few days.

The Great C has knocked on my door and quickly I had to make the best decision: quit my job.

 

I’m unemployed, like many young people in Italy at the moment.

But I came out head-up, and above all, in spite of the Great C finding me, flushing me, chasing me and “dressing to kill” .. I managed to escape: I leave a consulting job in a multinational company after a few(perhaps too many few years), but in my small baggage I have the right elements to continue / start my journey.

Compared to two years ago, I have a bit of extra money, experience and above all my startup. In fact, they  required me to take a cut in my salary, increase my working hours(from 40 to 45), so to have the “safe” possibility to have a career.

Do you believe? I don’t. and then I quit.

But I feel I made the right step. At least for now. Leave a stable job and “career opportunities”, to give birth to my startup, I’m motivated and careful.

Because the Great C never.

The Great C will never have me.

7. Plan to Survive

APRIL 28, 2014, h.19:26

DAY 72

Tomorrow we go on a mission.

I’ll go out there and I’ll be alone, disoriented and frightened: I expect a major test for my career .

diario-di-un-sopravvissuto-alla-crisi-startup-team-programmazione-crisis-survivor-performance-strategia

Tomorrow I’ll find out if I’m really good at work or if mine were just words.

In short . While Italy dreams of defeating once and for all the Great C, guided by the strategies of the new commander Renzi, I ‘ll be engaged in a “boss morning”. This practice, that maybe exists only in  the consultant company where I work, consists in the evaluation of the employees by specific tests, presentations and achievements, all in the same morning.

There are 3 of us. The best gets to move to a higher category. And then also an increase. And then even more money.                     And then even more funds for my startup .

This career move could mean a lot for me. To face the test, I started to prepare myself six months ago. And the most important thing I’ve done during this time was to plan what I needed to do. Seriously it was not easy to reconcile work (Priority 1), my startup(Priority 2) and the test (Priority 3). Even the Italian government has scheduled its performance, strategically placing a reform per month.

The plan was also done for my startup of course:

Putting in order tasks to accomplish, establishing priorities for action, but also setting deadlines and milestones (and respecting them) and dividing responsibilities. Tim, our handyman, is a valuable element in the economy of the plan of our startup ,because he performs many actions, only that, if he didn’t have a battle plan, he wouldn’t survive. Thus, the plan of the performance of a startup turns out to be another important element in the creation of the same.

Because planning, and then knowing what we face everyday, makes us ready and stronger.

It makes us believe to be able to survive the Great C, in this country where merit has lost life and people smile little, we young startuppers:

keep calm,

believe in ourselves,

and don’t give up.

6. We need a bit of madness to create a startup

diary of a crisis survivor astronaut madness

MARCH 09, 2014, h.19.00

DAY 22

It is said that Robert Smith, leader of The Cure, after writing his masterpiece  Friday I’m in love, couldn’t  believe that he had written such a perfect melody( http://www.youtube.com/watch?v mGgMZpGYiy8 = & feature = kp) .

He went from relatives to friends to ask if they had ever heard that melody, it was impossible that no one had thought of it before. The melody was so perfect  that even its creator could not comprehend what he had been able to compose .

 

The same thing happened with my startup.

Pigna and I have been dreaming of doing something great together for ages. When we were young we were in the front row at events and protest, when we grew up a little, we always had the desire to enter politics without ever finding a party that did the job.

Then we realized that we could only count on ourselves, and we had the desire to create a business, but the idea was always lacking.

Then startups were born.

Then came The Great C.

At first the area of infection seemed just closed up between the USA and England. Then came the turn of Europe.

And we all have in mind what has happened since the advent of The Great C in Greece today.

Unemployment, low wages and competitiveness. And so on.

 

But here we are left to try to survive The Great C and trying to do something great together.

Although used and abused, we have always enjoyed but never completely  understood, Steve Jobs’s phrase ” Stay Hungry , Stay Foolish.”

Until that rainy night.

During a Crazy Brainstorming sessionwhen Francis had also joined us(one of two of “I Nerd per caso” ),         I came up with the idea. Bring the idea that we wanted to create “physically”, on the worldwideweb(CLUE No.3).

A startup, in our opinion, to be one in a million. As Friday I’m in Love.

That ‘s what we, young Italians and the world, should do when we try to create a startup: act rationally with a bit of madness. That bit of insanity is what it takes to break the patterns. Patterns that we have created ourselves, try to simplify reality. But schemes in which we are continually brought to error by stereotypes , ignorance and anchors. So when you think of creating a startup it is essential to use proper programming of work and responsibility, but do not forget to dream a little, to travel with the mind to escape from our patterns .

 

Now you know why they call me the Astronaut.

5. Business Model in a time of crisis

MARCH 5, 2014, h.14:13

DAY 18

Yesterday was a good day. For me. For others,  I don’t know.

BUSINESS MODEL

In Eastern Europe the situation doesn’t seem to be good. How is it possible to risk this kind of escalation, in 2014? Wouldn’t it have been more appropriate to sit down and discuss it?

On the one hand, Russia is right, because there are the inhabitants of the Crimea claiming a different country(and according to Wikipedia, since 1992 they have been actually been an autonomous republic within Ukraine); on the other hand , there are disproportionate economic interests. On February 19, 1954, Crimea was given by the Soviet leader Khrushchev to the Ukraine, but only since 1989, Russia (URSS no longer) could no longer benefit from the powerful harbour on the Black Sea. Consequently Russia is looking for a way to resume earning from that region.

Strange but true my startup has the same goal: to figure out how to earn.

In a few words, set the business model to implement the business idea: we’re talking about a myriad of variables to bind together with consistency, from the procurement of customers, purchasing real product / service , through the use of forms of sponsorship or B2B . Without this step, any startup is doomed.

We don’t want to work for glory nor charity.

In my short career as a consultant, I’ve heard of entrepreneurs with great business ideas but who are dying from the lack of an effective business model.

To create our model D, our designer, bought a board, one of those with n-sheets.

Since yesterday the magic board is in Nerd per Caso’s home(now it’s not a house anymore, because it has become our startup’s office), and so yesterday we started to design our business model to understand how we can monetize. Simply be able to explain with a drawing, a diagram or a table model, gave us the opportunity to reflect . It’ssomething that I highly recommend to aspiring startuppers like us.

For now, we still see a little darkness, most likely we will try to differentiate the forms of income(although it can be a risky move), but definitely a source of income will be made by Pay Per Click (CLUE No.2).

The point is that:

  • Italy is not Silicon Valley, the home of the successful startup, where the business model works (probably it’s also a matter of entrepreneurial culture and openness to change);
  • Silicon Valley has apparently found a way to fight and defeat the Great C, Italy on the other hand is still in the process of evaluating how to survive the Great C;

 

By the way, the need to monetize it is among the top reasons why you create a startup, so it is an important step that we face; infact only in this way we can continue to have big dreams with our startup( in spite of the Great C).

4. Angels don’t come here (neither do Investors)

February 28, 2014, h.18:51

DAY 13

diary of a crisis survivor team angels crisis

Friday night .

Finished work, but I’m still here .

I look forward to a routine call “confirmation ” to close everything .

I’ll have to deal with the traffic & the consequent boredom.

Then home and shower.

Relax?

No Relax . I’ll eat pasta, then we’ll have the chance, after afortnight , of meeting, all 8 members of our startup. The problem, that we are trying to solve , is not a small problem whatsoever.

We are thinking about where to find the money. I don’t like call it money, I prefer calling it the funds: all the resources you need to cover start-up costs and the implementation of the first evolutions.

Today was another day by Survivor, while the unemployment rate rose to 12.9 % (they say it’s the highest, but I have not figured out whether since 1990 or since 1977 ), and people still complain. Surely in Italy the Great C is one of those variables that helps to increase the difficulty of raising funds with a too high taxation too high and with a government that in recent years has done nothing. And for these reasons and others, Investors don’t come here. I understand them. But we need them: foreign investors.

 

Let’s step back . Essentially, in the research of funds, the first thing to do is to “see what funds you can get your hands on.

You, your team, your parents and the parents of the members of your team, and even friends, yours and your team’s.

Usually, as in our case, you can’t hardly ever raise the money required.

Because we have to face a series of tasks that increases more and more : the constitution of the company, advertising and marketing, taxes , servers & domains, production of the product. In our case (CLUE No. 1) do not have to face costs of physical production of the products, nor rent rooms(we use the house of “I Nerd per caso”), because our startup is linked to the web.

Consequently, if you find yourself in our situation, fortunately, there are still many doors to knock on.

During a crazy brainstorming, 15 days ago, we named among others:

– Incubators;

– Find someone foolish ( and hungry ) , with lots of money , who is willing to invest in us ;

– Venture Capitalists;

Angels.

Another big problem , which comes from the previous consideration is, “are you willing to give up some of your shares in the company to give them to someone definitely bigger and more powerful?” Some of our team say that this is a bit like selling out, or sell off the idea, however, I believe that it is at least a solution to evaluate.

 

Finally came the phone call. I can leave this place .

Here in Italy, an ordinary person can’t think about new projects, future ideas or new business developments in the markets. They think only about the present, to survive the Great C in this present. For this reason, we are trying to come into contact with foreign investors: Venture Capitalist, Foolish or Angels, it’s the same thing.

 

Then I remember one thing.

Angels don’t come here.

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