Solo Founder or
Aug 16, 2016 by Lina Vashurina,
Co-Founder: Which Is Right for You?
When starting a business, it can be difficult to know whether or not you should go it alone or seek out a
There are certainly pros and cons to both paths, and both solo founders and teams of
The answer is going to be different for each and every
In this post, we’ll help answer the question: Solo founder of
Solo Founder Vs.
Co-Founder: Pros and Cons
One of the easiest ways to make a decision is to start with a pros and cons list. So, that’s what we’re going to do. Let’s look at a list of the pros and cons for both
|Distribute the pressure and financial responsibility between founders||Get stuck with a partner who’s not a good fit|
|More than one brain for ||Potentially ruin a friendship|
|Keep each other accountable and motivated||Less freedom to make decisions|
|Each person can leverage their different strengths||Profit splitting|
|Less individual risk assumed||Handling conflicts in ideas or direction of the business|
|Leverage individual networks to help grow the business||Improper workload distribution|
As you can see,
They also require a constantly maintained balance between partners so that one founder doesn’t feel more overworked than the other. When this happens, a business can very quickly shift into a downward spiral to its ultimate failure and demise.
In fact, some sources indicate that as many as 62% of all startups fail because of
|Free to work independently||Greater risk assumed|
|Higher return, as no profit split required||Fewer networks to pull from|
|Complete influence over company direction||High stress, high accountability|
|Control of ||Can be isolating, lonely at times|
Solo founders have more freedom to call the shots and lead the business, but they also assume a much higher level of risk, stress, and financial responsibility that can be mentally and emotionally taxing.
It’s important for solo founders to surround themselves with team members and fellow entrepreneurs so that they don’t become too closed off and lose their creative edge over time as they work alone.
Now that we know some of the pros and cons, let’s see what some actual business owners have to say about being a solo founder or bringing in a
Insights From Solo Founders and
Make sure you choose a
If you can handle working on your own and the workload isn’t too overwhelming, then keep it that way. However, If you decide to get a
co-founder,make sure they can handle the job but even more so that you guys get along since you will be working so closely together.
Discuss Your Vision/Plans for the Future
Communication is extremely important for
Communication is huge. When we don’t agree on something, we take a moment to step away and cool off. We then come back and discuss it later when we are
level-headedand calm. Because nothing productive ever gets resolved in the heat of the moment.
But it’s not just daily tasks you need to discuss with your
Assign Roles and Tasks
Thomas is the technology oriented guy, so he handles the technical aspects of the business such as optimizing our website, social media ads, as well as any other advertisements we may run. Jean is the business man, so he views more of the big picture of items and makes sure all aspects of the company flow smoothly.
Document and Formalize Your Agreement
If you’re bringing in a
Solo founder Hannah Walker said, Two heads are better than one, for sure, so I’d advise getting a
You should also spell out your plans for future business development, division of assets should a partner want to exit the business, and any other formalities that could put the business at risk.
Solo Founder or
Co-Founder? Different For Every Business
No matter which route you choose, remember the pros and
Be aware that you may still need to ask for support and guidance from a mentor as a solo founder, and know that one day, you may have to part ways with your
As long as you plan ahead for future issues and document processes for how you’ll handle bumps in the road, growing pains, and business
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