5 Guiding Truths for Startups in Rust Belt Cities.
A short list of thoughts, philosophies, rules, etc, for the entrepreneurial ilk in rust belt towns.
Execute at all costs because no one is coming to save you
Many people think that companies and/or capital is going to find its way to middle America to provide an escape from midwestern mediocracy. This mentality is not productive.
It is unreasonable to bet on a windfall.
The entrepreneurial community must create value on its own because self reliance is the most important kind. Build something that someone will pay money for, simply for the fact that it gives them something they need, love, or enjoy.
If capital comes to the community, it must do so with the proper motivations. Outside capital must believe in the spirit, vision, and opportunities beyond making a buck. Don’t be a rust belt novelty.
Local brand can have global presence
Everyone is a part of the global economy. Now more than ever it is easier to develop a product, access millions of potential customers, and make sales to anyone, anywhere on earth.
Mind your digital presence.
Companies must realize that web presence is just as important as a physical storefront if not more.
Service based business is a viable model
Our history is based in hard and efficient work. This type of work brought stability and quality of place before the ebbing of the middle class.
As technologies advance, we must acknowledge the decline in low wage jobs. It no longer takes thousands of workers to have global reach.
Acceptance of the decline of lower skilled jobs and higher demand for highly skilled workers is mandatory. The number of technology related job openings currently surpasses the number of workers who qualify for them.
Rather than focusing on number of jobs, we need to focus on quality of training.
Small teams of 2 to 5 individuals with high proficiencies can provide great value to many industries across the globe. A small but mighty service team offers great potential for growth and development over time.
Your rust belt city will never be silicon valley
People are keen to promote the next silicon valley. Silicon prairie, silicon cornfield, silicon…insert midwestern geography here. Please, just stop.
Rust belt entrepreneurs must be confident in identity and origin. Don’t be afraid to demonstrate authenticity. Anything else is derivative and irrelevant.
Celebrate who you are. There is no shame in being from a steel town or an agricultural hub, there is only shame in poor imitation. It is more respectable to be small and speak from the heart.
Fundraising should not be treated as a trophy. Raise money when it makes sense. Don’t raise money for the sake of raising money.
Come to terms with the fact that the rust belt will not be built on billion dollar valuations. It will be built on grit.
Value precedes capital
Do not expect cash to come before customers.
Natural selection is more prevalent in rust belt cities. It is important to generate value. The best indicator of a viable business is paying customers.
Thanks for reading! If you enjoyed this story please give it some love by clicking the applause button (Hint: you can click that button up to 50 times for a story).
Alex Sejdinaj is a cofounder of South Bend Code School, GiveGrove, and Code Works. He loves building cool stuff that helps people.