Under what conditions would you leave a corporate job for a startup?
I have an offer to move into a little startup that seems very promising to me. I’m not sure how I would feel working for a startup after years of working here but I’m drawn to the idea. When I was offered that option, I finally felt a long–lost enthusiasm. I will think about it some more, but I am interested in what are your views on this issue? Does anyone have experience moving to a startup?
11 replies (most recent on top)
My career has basically been HP –> startup –> Accenture –> startup –> Oracle –> startup –> IBM. (Mind you, at Accenture and IBM I was working on startup–like projects within the belly of the beast...).
In my experience, it never looks bad on your next job application that your previous one was a startup that didn't work out (but be prepared to articulate "what you learned"...).
The question is: when you get to the end of your career, will you regret it if you had never tried a startup? If the answer is Yes, take this one, because there might not be another one.
Adding to comments below, If you are financially stable, with no family, then the risk factor is probably less. But it will always be a high risk/ high reward. situation, and only you can decide if your mindset and circumstances can deal with that
Most startups never IPO and never get acquired. The situation in SV is vastly different from 10 years ago, everyone wants to go FAANG no one wants to go to startups. You work around the clock and give up your life in exchange for lottery tickets (startups can't afford high salaries and bonuses). My advice is go work for a later stage tech company that's well funded (unlike startup) and growing (unlike IBM).
Vet startup’s news, finances, stage, people, etc. at crunchbase.com.
The risk of a startup is the fact they are not well funded usually.
Look at what's trending and if there is a real chance for the startup.
Ex. startup bookstore or cafe when capacity is 50% is not a good idea.
A startup technical consulting company is an even worse choice.
Look at it from pure financial perspective and nothing else, forget about bs like passion.
- Are they very well funded?
- 1st mover advantage if any? How does the competition compare product wise?
- Are they gonna ipo soon? Or recently?
- Is this significant money compared to say fang in next 2 years (hence ipo point) bec presumably you'll have to work a lot of hours.
- Are you comfortable being laid off if things go awful.
There's no such thing as passion, love etc. They're all abstract.
See in terms of quantifiable things like compensation, wlb, technical abilities etc.
Most startups are paying better than ibm and fare well in new markets
Look at it from pure financial perspective and nothing else, forget about bs like passion.
- Are they very well funded?
- 1st mover advantage if any? How does the competition compare product wise?
- Are they gonna ipo soon? Or recently?
- Is this significant money compared to say fang in next 2 years (hence ipo point) bec presumably you'll have to work a lot of hours.
- Are you comfortable being laid off if things go awful.
There's no such thing as passion, love etc. They're all abstract.
See in terms of quantifiable things like compensation, wlb, technical people, management, product etc.
Roll the bones
From a financial perspective:
A big established company is often low reward (stock price stable) and a brand new startup is high risk (of not succeeding), but there’s may be big IPO payout.
The sweet spot for higher reward and lower risk is a more mature startup or a recently IPOed company with a high growth trajectory.
Some thoughts:
- Your passion for the startup’s mission.
- Research the Startup & founders/CEOs backgrounds. For example, check crunchbase, etc. for which round of fundings were successfully raised and the VC backers list. How many companies did CEOs successfully exited?
- Research Team members’ LinkedIn profiles and opportunities to network with a bigger circles with an eye to your next job.
- Which skills will you be learning?Since startups tend to use the latest technologies?
- Compensation, including stock options.
- Glassdoor for culture and reviews.
- Startup’s growth potential.
Go with your gut. You will learn a lot.
Good luck!
Go for it! There is no future at IBM.