Grow Fast, Grow Organic

Joel Spolsky, one of the founders of Stack Exchange and Fog Creek Software as well as the popular blogger writing Joel on Software, gave a very interesting presentation at Startup School. In it, he talked about two startup options, grow big fast or organic growth, and broke down the two. This has been done before but I’m including his list of differences here:

The interesting part is the part at the end. In short, Joel said the worst thing you can do for your business is fail to decide which category you are in.

He’s done both. Fog Creek Software is a grow slow business. It built itself from customers and consulting and is now a 40+ person company spitting out cash. Stack Exchange, on the other hand, is a grow fast company. It needs network effects to lock in its customers.

What really struck me as interesting is that Joel recognized very early that Stack Exchange was a get big fast business but waited two years before raising venture capital funding. He proved there was a customer base there first, proved that it could indeed grow fast, and then raised money from a few VCs that he specifically targeted. His round, he said, was done in two weeks. That history is repeating itself with Trello, a project management service from Fog Creek Software. This time, though, instead of raising VC money, the project is being funded by Fog Creek profits.

So which is it? Grow big fast or organic growth? While the former takes all the headlines, it’s the latter that makes the country go.

Living Through Hurricane Andrew

The air was dead still. We were outside throwing a football around and there was no breeze, no rustling of leaves, for that matter no sound at all, except the boys out front throwing a football around. Even in cemented South Florida there were always the noise of birds chirping or even cars driving. But not this evening. There was no noise. I remember the air being heavy but not as humid as August near Miami can be. After all, we were outside throwing a football around.

It was early evening, about the time the sun would start to fade, but at least in my memory it was a little hazy out and darker then usual. We knew it was going to be a long night but had no idea. Hurricane Andrew, the first hurricane of the 1992 season, was about to hit land.

The last major hurricane to hit South Florida was in the 1960s. Very few people living there in the 90s would have remembered it as most people in South Florida are transplants from New York, Philadelphia, Boston, Cleveland and Chicago. I remember people taking it seriously but no where near as serious as Katrina almost two decades later. My dad, living near Cleveland, Ohio, didn’t even know about the storm until I called him the day of to tell him it was coming.

The guys on the radio were already going. Meteorologist Brian Norcross was the go-to guy, saying he’d be on air as long as he could be. I can’t imagine the dedication to his job required when his family was home living through this. But if it wasn’t for Mr. Norcross, all of Ft Lauderdale and Miami would have gone insane sometime around 3am.

Most were predicting that Andrew would hit right on the Broward-Dade County line, which was about 2 miles south of my house. But hurricanes are fickle and where it appears to be going is not always the case. At the last minute it veered south, striking south of Miami in some of the poorest areas around, ripping apart the Miami zoo and running headlong through the Everglades.

I don’t remember any of my neighbors making a big deal out of it. We certainly didn’t. No one bought plywood or stocked up on supplies. None of the windows in the neighborhood were boarded up. A big storm is coming. Okay. We’ve seen nasty weather before.

I remember the winds starting and falling asleep to Mr. Norcross on the radio. Around 2 in the morning I awoke to a freight train running outside my window. That was the last I slept that night. Andrew’s winds were around 115 mph with gusts up to 165. At one point, even though we were warned against it, I looked out my window. The rain was lashing and any trees I could see were bent sideways. That’s when it dawned on me that I could see quite clearly. It wasn’t dark, actually. It was like twilight outside. I could also see the neighbors’ houses. The tree in our front yard was gone.

Somehow, from his offices in downtown Miami, Brian Norcross stayed on the air. He had at least 10 million listeners that night, listening in on reports from the frontlines, listening to the latest on wind gusts and direction, being reminded not to go outside when the eye passed over. All night we listened to people calling in. Most memorable was the family of five huddled in a bathroom as their roof was being pulled off their house, hearing the noise of Andrew ripping and tearing that helpless house to bits.

Sometime in the morning the winds died down, the freight train stopped running. Hurricane Andrew, by veering south, left us without a tree and a mailbox but everything else was fine. Our neighbors all had more damage then us but not much by South Florida standards, as we came to learn. Their taller houses shielded us. We were very lucky.

I can’t say the same for our neighbors to the south. I was friends with a police officer who, on his off-time, went to South Miami to help out. The entire area was flattened. People were propping up walls to their houses and writing street addresses on them just so anyone could find their way around. There were pictures of yachts in people’s swimming pools, picked up and carried miles inland. The devastation was total, like someone took a massive steamroller and rolled it over everything. The humanitarian effort was enormous. People came from all over the country to help out, bringing food and water by the truckload.

Obviously, South Florida recovered. It took years and billions of dollars. The innocence would not, though. The wave of devastating hurricanes, starting with Hugo and Gilbert just a few years before, is amazing given the lack of those in the decades preceding.

I live far from South Florida now, almost as far as one could live and still be in the continental United States. It doesn’t matter, though. Here in the Northwest we still have our disasters. Mountains exploding, ground shaking, and potential tsunamis that could carry away the entire coast. Andrew, though, carried away my innocence. I’ll never be so lackadaisical about weather again.

Writing Apps From The Bottom Up

I’m having a great time writing code. I wrote most of the code in the early days of Infinity Softworks, from 1997 to 2000. In 2000 we added employees and had a development team so spent my time managing the company, focusing on business development and marketing. In 2007, though, when the company got small again, I started writing code again.

I wrote code first for the BlackBerry then for iOS. That first year or two writing code was a slog, just trying to figure out my way. powerOne still has much of this early code and, frankly, it’s quite ugly internally. The design of the app changed substantially from version 1 to version 2, and then was hacked again to support the iPad.

But now, with the new project, I get to start from scratch. It is hugely liberating. We ended up needing iOS 6 for the project so we don’t have to worry about legacy OS versions. We designed the product before we coded it so we aren’t making massive UI changes that we have to hack in. In fact, we wrote big chunks of code in side projects to test stuff out first. While doing this I also went back and studied a lot of sample projects that others wrote, read a lot of documentation and a couple of iOS programming books.

Once we started with the final project I had a much clearer idea of not only how it would look but also how I wanted the code to be structured internally. We started with the database models, saving records and settings. Then we wrote all the sync code and the server back-end stuff. Then we shifted to the front-end. Before I’d write one  module to completion then add in others. This time I said forget the final graphics and instead make all the screen animations function. And instead of starting on iPhone-sized screens, we instead started on iPad believing the shift to the smaller screen will be simpler. From there we got the basic app functioning, saving real records, and editing those records. Next comes more functional integration and then final graphics. This order feels more natural then the UI-down approach we took with powerOne.

I’ve still had too many meetings lately and my time to program has been limited. But it still feels like progress in being made and much quicker then in the past. I can’t wait to get the first rev into your hands.

Seeing The Future

Warren Ellis gave a fascinating talk on seeing the future:

Understand that our present time is the furthest thing from banality. Reality as we know it is exploding with novelty every day. Not all of it’s good. It’s a strange and not entirely comfortable time to be alive. But I want you to feel the future as present in the room. I want you to understand, before you start the day here, that the invisible thing in the room is the felt presence of living in future time, not in the years behind us.

To be a futurist, in pursuit of improving reality, is not to have your face continually turned upstream, waiting for the future to come. To improve reality is to clearly see where you are, and then wonder how to make that better.

Too bad this wasn’t a commencement address. Would have been one of the best I ever heard.

Sucked Into The Undertow

John Gruber on The Talk Show podcast, episode 20:

A lot of this change is not really your choice. You do often have a lot of choices in life but a lot of it is you’ve got to get with the program ’cause the train is leaving the station and if you’re not on it you’ll be left behind. … Rising tide lifts all boats. Also, a rising tide often sucks you down the undertow and you drown. … If you are too attached to what you’ve done, to the way things work, to what you were good at, you can really get into trouble because the world around you moves forward.

I found myself, this past weekend, reviewing old copies of FCPlus Professional, powerOne Finance and powerOne Graph manuals. These date from 1998-2001. FCPlus Professional, the fore-runner to powerOne Finance, was particularly interesting. The first version, which we shipped in March 1998, was very under powered with very few financial calculations. We were selling it for $39.99 per copy and customers were ecstatic at those prices. The powerOne products in those days started at $49.99, eventually went to $59.99 with high-end versions as much as $159.99. Oh, with upgrades every couple of years. Here we are a decade later. $4.99 is expensive with no upgrade revenue.

I know this is a song I keep singing here. As John said, you can’t stand still. The world keeps moving and we’ve got to move with it.

That’s exactly what I’m doing…