Easy Come, Easy Go: Understanding the Universal Law of Money & Success

Easy Come, Easy Go: Understanding the Universal Law of Money & Success

Success is a tricky thing. Sometimes, the people who seem to have it all in high school, like being the captain of the football team or the class valedictorian, don't necessarily do well in the long run. This phenomenon can be attributed to what I like to call the "High School Hero" Syndrome. When these individuals are constantly told that they are successful because they are smart, they become afraid to take risks and make mistakes that could threaten their image.

On the other hand, those who have earned their success through hardship and have experienced numerous ups and downs in life are more likely to keep their money and continue to be successful. Many of the so-called "overnight successes" actually took years, if not decades, to achieve. For example, the founder of Instacart had started multiple startups before finding success with his eighth or ninth venture. The unicorns in my portfolio also struggled for several years before reaching their current status. The big success stories of the future are currently toiling in obscurity, but good things take time.

So, what can we learn from this? First and foremost, it's important to be ambitious and aggressive in pursuing our goals. However, we must also be patient and resilient. Long-term thinking is the key to achieving and maintaining success. There are no shortcuts or quick fixes. It takes time and effort to build something truly great.

The Story of Atrium

The story of Atrium serves as a cautionary tale for startups and entrepreneurs. Justin Kan, the founder, experienced personal growth and success through startups, but he acknowledges that they are not for everyone. Timing is crucial, and not everyone is ready for the challenges and pressures that come with starting a company.

In Atrium's case, they capitalized on their initial burst of momentum and started hiring rapidly without fully figuring out their product. This led to a lack of focus on differentiating their product as an effective and efficient solution to the current problem. Additionally, the hasty hiring process prevented the establishment of a cohesive culture and clear goals between the co-founders, resulting in frictional costs.

As the company faced challenges and lost co-founders, friends, and customers, Justin realized that Atrium had become a leaky bucket. He also admitted that he didn't set his co-founders up for success and acknowledged his own shortcomings as the root cause of the failures.

The key takeaway from Atrium's story is that failure does not define a person. It's how they deal with the pain and move forward that truly matters. Going through tough times can lead to personal growth and self-discovery. It's important to find internal sources of motivation and meaning because external factors alone will not make us happy. Expressing love and compassion towards others and ourselves creates a positive feedback loop that impacts the people around us.

Actionable Advice:

1. Embrace failure: Failure is not the end; it's an opportunity for growth. Learn from your mistakes, adapt, and keep moving forward.

2. Prioritize product differentiation: In the competitive startup landscape, it's essential to differentiate your product and provide a unique and efficient solution to a problem. Don't rush into hiring or scaling before figuring out your product.

3. Set clear goals and establish a cohesive culture: Communication and alignment between co-founders are crucial for success. Take the time to define your goals and values as a team, and create a supportive and inclusive culture.

In conclusion, success and money are not easy to come by, and they certainly don't stay if you don't put in the effort. The universal law of money and success requires ambition, patience, and resilience. It's important to learn from both success stories and failures, understanding that overnight success often takes years of hard work. Startups can be rewarding and transformative, but they are not for everyone at every stage of life. By embracing failure, prioritizing product differentiation, and fostering a cohesive culture, we increase our chances of achieving long-term success and fulfillment.