Successful Startup 101: September 2014 Successful Startup 101: September 2014 | Page 54

fundamentals must be in place, sometimes that “aha!”
moment is already staring you in the face.
An instance. A few years ago, Goldstein found himself
sitting in a bar. The bar was full, but he noticed
something peculiar. “I looked up,” he says, “and no one
was talking. Instead, everyone was on their cell phone.
So I dove in and funded only mobile-first companies!”
In the end, it boils down to basics. “We assess the
potential opportunity,” says Eric Kim of Goodwater.
“And the rate of return for investors.”
And sometimes, the VCs just don’t get it. Example. Neil
Young’s high resolution music ecosystem Pono was
turned down by VCs, so Young turned to his millions
of fans. His subsequent crowdfunding campaign raised
$20 million on a $50 million valuation.
Effectively giving VCs an entirely different kind of
“aha!” moment.

About the Author
Patrick Hanlon is ceo and founder
of THINKTOPIA® and one of the leading
branding practitioners in the world. His
book Primal Branding: Create Zealots
For Your Brand, Your Company And
Your Future (Simon & Schuster, 2006),
is recommended by YouTube, the largest social engagement platform on the
planet. His new book The Social Code helps startup (and
grown up) entrepreneurs and companies of all sizes
understand how to create a community of fans who are
so passionate about your success, they are willing to
create it themselves.
* This article originally ran on Forbes.com