While the exact definition of a “startup” is up for debate, it is, most broadly, a company in the early stages of its development. As its sales grow, and it acquires new funding sources, a startup is able to add new members to its team, however, because the company is in the “development” stage, a startup employee often takes on tasks within various departments, to make up for the lack of a complete team.
Are you thinking of accepting a job at a startup? There are specific questions you should ask.
What do they sell and how different is it from what is on the market today? An amazing solution doesn’t matter if prospects aren’t looking for one.
How will the business scale?
What is the investment philosophy of the startup’s financial backers? You should have a full picture.
Do they buy and hold, or look for fast exits? This question is targeted at the potential ultimate sale of the business.
What track record does the founder or leaders have?
Have they done this (build and grown a business) successfully before in this industry or in another industry?
Will I receive equity or phantom equity to participate in upside growth? What about in the future?
Is this position new or am I replacing someone? If you’re replacing someone, find out why they left.
To grow, are we building organically or planning on future “bolt on” acquisitions?
Eli Howayeck (MBA, Kellogg School of Management), Founder and CEO of Crafted Career Concepts, is passionate about helping motivated people achieve their career, educational, or personal goals and helping businesses, large and small, overcome a variety of challenges facing their business.