How Do You Know If You're Joining the Right Startup?

How do I know if I’m joining the right startup??

I really can put myself in the shoes of individuals trying to decide if they want to join a particular startup. The website doesn’t have much information…

I mean - if you think about it - joining a startup is a terrible career decision. It’s inherently high risk. The hours suck. The pay isn’t that good. There are so many broken things. Fortunately, some people just have startups running through their veins. But, what startup do you pick? How do you know if it’s the right one that has a higher chance of success?

As CEO of Sibel Health - I’m always recruiting. Always be recruiting. Recruiter in Chief. You get it. Early on at Sibel - it was actually really challenging articulating to candidates why they should join us. I would throw everything at the wall - mission, vision, strategy, the product, the culture, and the great coffee program we have.

Earlier this year, one article by Dan Hock (full article linked) turned on a huge lightbulb for me because it basically framed the pitch I was giving to candidates in a truly structured way on why they should join my startup. These are my mental steps that I actually use to help candidates decide if Sibel is right for them.

1. Pick the right stage of the startup. Are you a person that loves uncertainty and risk? The earlier the better or go be a founder. Are you a person that loves to help acceleration after that initial spark? Series A or beyond. I think this is really important because I can convey to the candidate what stage we are in and what to expect at that stage.

2. Join a team that wants to win championships. Startups are hard. The team equals the destiny. You won’t always get a chance to interview the founders - but ask about them with the hiring manager. Are the founders spoken of positively? Test whether there is tension between the founders. Does the rest of the team respect them? Are they motivated by them? Beyond the founders, really evaluate whether everyone you met or interviewed with felt like A players. If only 1 out 5 people you met really excited you…red flag.

3. Test the culture. Every startup is a snowflake - so every culture is unique. Ask each interviewer how they’d describe the culture. If it’s markedly different, that’s a red flag. If it’s rote repetition, that’s also a red flag. But, if the general values come through from each interviewer in their own words and they’re excited to talk about the culture - you have learned it is consistent and practiced. Ask how mistakes are handled. That will reveal a lot about the culture. See if the answers are consistent.?

4. Evaluate the product. Not all startups are product companies - but most of them are. Really ask yourself if the product is special, competitive, and has a clear commercialization pathway. The last thing you want to do is pour your heart into a product for years only to see it fail in the market. Are there metrics that show the product is successful or has a high chance of success?

5. Right role, right comp. I liked this point the most from Dan Hock. You should optimize for role and comp last after the other 4 things. Now, I recognize that this is a very pro-founder and pro-CEO tilt. You should only take a job that a) pays your bills and b) recognizes you for what you’re worth. But, successful high growth startups have such a rapid velocity of new opportunities that your comp (both salary and equity value) in 6 months may be dramatically different. We have one superstar at Sibel that saw her salary more than double in 12 months.?

So if you really want to join a startup - then, pick the right stage startup with a great team and culture building an exciting product that pays and recognizes you for your strengths and contributions. Easy, right??

I’d love to hear things missing in evaluating whether to join a startup.