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Lessons From Launching 3 Companies — The Brian Johnson Interview

Posted on Mar 18, 2009 - 1:22 AM PST

The full program

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A few lessons from this program

I asked Brian Johnson to teach what he learned from launching 3 startups because he has both the experience of an entrepreneur and the introspection of a philosopher.

Brian is the founder of eteamz (a web site for youth sports), Zaadz (a social network for people who want to change the world) and Philosopher's Notes (book summaries for busy self-actualizers).

Here's some of what he talked about in the program he recorded. (Download the full program to hear more and learn directly from Brian.)

Don't start with your masterpiece

When he launched eteamz, Brian's vision was for a comprehensive site that organized youth sports. But it turns out that parents who used the site only wanted basic features, like the ability to see a picture of their kids sliding into third base. Brian suggests taking Guy Kawasaki's advice. When you launch, "don't worry. Be crappy." After your launch, you can improve the business by listening to your customers.

It's not how you start. It's how you finish

When the market crashed, eteamz was burning through $500,000 a month and its cash was dwindling. It would have been easy to give up and walk away, but Brian's mentor helped him keep going by reminding him of the importance of finishing properly.

Because he kept at it during the hard times, today Brian can take pride that eteamz is part of the ESPN family of Web sites and has 3 million members.

Eat right and exercise

Selling the company was incredibly stressful. To help him keep going, he made a game of seeing how fast he could snap back from stress. One of of the most powerful ways he did that was by improving his diet and exercising more. Today he says it's impossible for him to get as out of balance as he used to be because he takes care of his body.

Follow your passion

Brian says he was able to fund Zaadz because he followed his passion at a seminar. He felt moved to speak up and tell people about a vision he had for an online community of people who want to live consciously and change the world. After he spoke, a hippie with tattoos wearing a hemp dress approached him to hear more about the business. After hearing him out, she suggested Brian meet her father, a billionaire who believed in Brian's vision and funded it.

Get up off the mat

Sam Wyly, Brian's billionaire investor, said one of the things he liked most about Brian is that, "he's had his nose bloodied and he knows how to get up off the mat." As an entrepreneur, you're going to make mistakes and get hurt. But the world will give you more chances--if you have the courage to pick yourself back up.

You don't need funding

Philosopher's Notes, Brian's current business is self-funded and run on a shoestring budget. Maybe it's because of the experience he had with his investors at eteamz, who pushed him to spend more money than he probably should have. The company went from spending $10,000 - $12,000 in the 9-12 months before it was funded, to spending $4 million over the following 6-8 months, because his investors wanted a fast and large return on their investment.

Want to meet Brian? Say hi to him on Twitter.

Your turn. If you're an entrepreneur who launched a startp, tell me what you learned (in the comments or by email).

  • I have to say that having not met Brian, I already feel like I belong to his crowd. I love his energy, his enthusiasm, his perseverance and above all, his view of life and business in itself and how he laughs through it all knowing that he and he alone holds the key to his own happiness.

    Last year, January 2008, for my resolution, I committed myself to be a better husband, better father, and above all, not only dig myself out of my financial conundrum- but use my skills and talents to better myself and build a company that would lift me up financially and emotionally.

    It's been 18 long months, working alone, bootstrapping every penny, not giving up and I have to say I feel Brian just lifted me up and boosted my passion to continue my adventure.

    Thank you Andrew for interviewing great mix of entrepreneurs. Your passion and ambition in Mixergy resonates wonderfully with my desire to succeed. You truly are a blessing. I'm glad I found Mixergy.
  • Wow! what a great story worthy to be told. Perseverance and strong determination should top it all.
  • Thanks. I hope this interview introduces you to Brian and you get to know
    him and his work better after this.

    He's inspiring.

    Thanks for this comment.
  • I love Andrew's interview summaries. But listening to the full interviews is even more helpful. Here's why:

    Andrew always get right into the nuts and bolts of how entrepreneurs build their businesses. He's not content with the superficial. He digs down and pulls out important nuggets so we can learn and benefit from successes (and failures!).

    In this interview, Brian Johnson tells Andrew how he found something much bigger and more satisfying than just making money. He found a way to build a company that's of great help to others, has meaning and purpose, AND generates income!

    Brian's advice about asking yourself thoughtful questions and living on purpose is essential for anyone who wants to be authentic, build a worthwhile business, and live a meaningful life.

    Cheers Andrew and Brian!

    Ian.
    http://twitter.com/IanAspin
  • Thanks.

    I agree that the best stuff is in the full programs. To be honest, I'm still
    struggling to find a way to make those short summaries even more useful. I
    need to pack them with more ideas and techniques.

    I appreciate this note a lot.
  • Robert
    great interview Mixergy.com/ Brian Johnson
  • Thank Robert.

    I've heard about Brian for years, but until this interview, I never
    talked to him. He's incredible.

    After the interview was over, he spent another hour on the phone with
    me helping me think through my business. Amazing.
  • awesome video, richard!

    and super cool of you, andrew. dood. you had me so fired up after that great chat! and I LOVE what you're up to and excited to support however i can. that was an awesome chat. :)
  • nice, really enjoyed this interview. It's always great when people like Brian are not afraid to share their mistakes...he makes a good point about how "it's not how you start but it's how you finish" Even though Brian did not make much on eteamz, I like how he still views the experience as an opportunity to learn from it and move forward even stronger.

    Why are investors so highly regarded in society? they have terrible success rates and in eteamz case they pushed the company to grow faster than it really should have. It seems like the eteamz management was more focused on raising the next round of funding to boost up the value of the company versus acutally figuring out how to service the customer even better, this is where investors can get in your way.

    I've realized that to be a very successful organization....you have to get all your suppliers, investors, employees, consultants...all people who interact with your company to put the customer at the top of the pyramid. I think zappos is a good example of a company that is super customer focused and has been extremely successful.
  • I think there's two different games to be played in business. One is the longer term game of trading something of value. That's all about the customer.

    The second is the short term financial game. The investment, take over, resale, flotation of companies. It's a whole different world, with completely different rules.

    I also think there are two types of investors, ones suitable for both of the above games. The troubles arise if you pick the wrong type of investor for your own business goals.
  • Deep, I have a theory based on what I'm hearing in these interviews and in private. I'll email you directly.
  • TaeFitz
    Since discovering Mixergy.com, whenever I feel beat up or uncertain I come here. The short overview videos you do are a great 2 minute break to get the brain back on the right track. Thanks and this interview hit all the right notes!
  • Another excellent interview, thank you Andrew and Brian.
    I just love the simplicity of the Philosophers notes business (or rather lifestyle) that Brian is now focusing on.

    It feels like I'm detecting a pattern of behavior amongst a lot of entrepreneurs who seem to have a need to tackle big, tough businesses almost to prove themselves to the world, before maturing into simpler, more value based businesses to make them happy?

    I loved the billionaire mindset comments and also the need to launch things fast. That one is sooo much easier to say than mentally make myself do. That fear of putting out work which might result in ridicule is so deeply ingrained in us by schooling it's almost poisonous. I hate that I allow it to effect me sometimes when consciously I'm totally aware of the damage it causes.
  • This is the best comment I ever read online. My favorite section:

    "That fear of putting out work which might result in ridicule is so deeply
    ingrained in us by schooling it's almost poisonous."
  • I was originally going to ask Brian, what his solution to that problem was, but of course, THIS is the solution, taking time out every day to recognize our own weaknesses, manually go find the motivation from somewhere else - like a mentor or a great interview and just use that to kick start our dumb asses (I speak purely for myself).
  • hey paul:

    just caught this re: the billionaire wisdom. i can't remember if i told the story in the interview about how when he introduced me to his friends in aspen at a private little fundraising get together the first thing he said was that one of the reasons he liked me so much was that I'd "had my nose bloodied a couple times and knew how to get up off the mat" and keep on rockin'.

    that really blew me away that he'd share THAT!

    it's amazing how truly successful people know that significant and enduring success only comes to those who have the tenacity to keep on going after they get knocked down. obviously, things rarely go as planned and it's been cool for me to re-orient my relationship to "failure" and "mistakes" as simply signs i'm playing at my edge and as powerful learning opportunities that are making me that much stronger/wiser for the next day/the next opportunity/etc.

    the other thing I LOVED about being around him was the RIDICULOUS scope of his vision. laughing. the dood just thought BIG. super fun to play in that energy.

    appreciate your energy and trust you're doing great!

    -bri
  • paul: what a great comment! (andrew: big smile to your comment :)

    love your ways out of the poisoning. i think it's all about re-defining "failure" and realizing that NOTHING great is ever achieved without risks and the willingness to just go for it (and fall down, feel like an ass at times, etc.). another one of my mentors, john mackey, the ceo of whole foods, is big on the idea of "ready fire aim!" rather than the traditional "ready aim aim aim aim aim aim..." and never fire. :) we might as well go for it and then adjust course as necessary and smile throughout the process, eh?>

    i also got a LOT out of kawasaki's rules for revolutionaries. HIGHLY recommend that:

    it'll be one of the top 10 biz books I do with PN when I get around to that! :)

    http://www.amazon.com/Rules-Revolutionaries-Cap...

    rock on!

    -bri
  • Hey Brian, can we squeeze any more insights into the billionaire mindset out of you? I'm sure they would be valuable to a lot of people on here.

    Re: ready, fire, aim - I can also recommend 37 signals, "Getting Real" ebook which is based along the same lines, with plenty of practical examples for web companies.
  • If you don't hear back from him, let me know and I'll intro you by
    email. -Andrew
  • thanks Andrew, that's good of you.
    Paul
  • I also suggest reading the books on this site:

    http://philosophersnotes.com
  • Eugene
    Another great interview Andrew, you probably get hundreds of emails a day so you probably won't remember me emailing you. I was the one who is starting up a new business now and documenting what im doing on squidoo.... http://www.squidoo.com/business-startup-2.

    I reckon the most important thing that i've learnt is to network. network network network. has helped me open many doors
  • I love Squidoo, but get a site up on your own domain as soon as possible.
  • Hello Andrew,

    Thanks again for another great interview. After listening to the entire interview I was still unclear as to the monetary gains from the sale of Zaadz. Was Brian J. able to pay all his debt and profit? Just a thought. Again, thanks Andrew for the great knowledge you share with us.

    Salmiler
  • andrew: thx again for the awesome interview!

    salmiler: yes. :)
    scott: thx for your kind words.
    andy: dig it. I think I WAS smiling throughout the interview. :)
    lincolnn: amen.

    to rockin' it,

    -bri
  • Andrew, you are kicking ass with these brilliant videos and audio clips, i love them!
  • Thanks Scott!

    I was feeling like the video for this one was a little too subdued. I was in
    a hotel room and didn't want to wake anyone up with my excessive enthusiasm.

    Glad it communicated the value of what Brian said.

    How's Eventzi going?
  • Khuram malik
    Well my nose is bloodied.
    We've been going 5 years, learned alot, but im almost bankrupt. Do you stil suggest we should continue as we are?
  • Damn right I do.

    Let's just make sure you're not your nose isn't getting bloodied because
    you're repeatedly running into the same wall.

    Want to talk on the phone?

    If you email me your time zone, I'll send some suggestions for times we can
    talk.
  • What a great interview with the great Brian Johnson! Thanks Andrew for conducting such a wonderful piece and sharing this message with other entrepreneurs. It's actually the first time I have visited this site and found the link through Brian's facebook page. I will definitely return often as this information is a lifeline for all applied knowledge in entrepreneurship.

    Scott J Holley
  • Andy Dang
    I love Brian's energy. Listening to him tell his story gives me hope that life is wonderful, its okay to fail, and as long as I keep at it, it's gonna be great. It's almost like Brian is smiling the whole time he's doing the interview.

    Andrew, I wasn't going to leave a comment, but you insisted me to connect with you. I'll tell you want I can do for you, and we'll see what surprising and amazing things come out of it.

    I love designing themes, logos, designs, etc. I've been doing graphic design for quite some time, and if you need something that I can help you with, do not hesitate to ask me.

    Andy
  • "Ambition Bait" huh? :) That was a great interview; can't wait to read/listen to some more. Hope you check out my 'hustling' story I commented on that post :)

    Michael
  • See? Now I know I need to get to know the Double-Take shop in Emmet.

    What's next for the company? A catalog?



    2009/3/18 Disqus <>
  • I sent this reply in an e-mail but don't know if it's a generic catchall account or not so i'm pasting the email here :)

    """
    I've been developing a catalog for a few weeks now, in my off time. Its
    rough draft includes the currently available designs, the soon to be
    available designs, and some concepts I'll be taking to tattoo shops to get
    them redone beyond my artistic abilities.

    I'm trying to find a way to turn the dtistore.com website into a revenue
    stream for the company, so I've been reading a lot of blogs, books, and
    watching videos on how other people have done this.

    I'd like to get some of the designs consigned to some Idaho shops (or
    provide them at a wholesale price that they could possibly mark up) but
    I'm stuck at where to start. I figure it would be better for me to finish
    making a catalog aimed towards potential shops that would carry my
    products and use that in a presentation with the owners or managers who
    would be buying/consigning the products. Once I've got a feel for this
    locally I'll work on expanding to another state and do that one at a time.

    One of my hobbies includes yo-yoing which I've been doing for five years
    now, and because of this I started a class on yo-yoing to teach out of my
    shop. The trick lists I developed for this class progress in difficulty
    and got me thinking that if I could teach this stuff I could most likely
    develop instructional books around each list which would progress in
    difficulty up to the final book. I'll have the first book finished by the
    end of the month (at least everything I can do will be finished, I'll have
    to get some graphic artists to take a look at a few diagrams I need made
    up). But the ultimate goal for this service/product is to get a dvd
    recorded for every book and offer them as a set. Ultimately taking what I
    learn from teaching the class in person to write an instructors book and
    use that MLM style to allow other yo-yoers and even non-yo-yoers to teach
    the class. The goal is to make it so easy to teach by using the materials
    that the teacher wouldn't even have to know how to yo-yo themselves but
    could make money off the class (this would ultimately be marketed to other
    skill toy shops, school teachers, family events, etc).

    I've got a lot of things on my plate, but the goal is to take all these
    projects and pool them together under DTI and use them as a branding
    opportunity :) But I'm still in a state where I'm taking a path less
    traveled (or at least don't have a map on where to go). Sure, those who
    make their own path become leaders, but why reinvent the wheel? So I'm
    currently on a quest for knowledge regarding marketing products,
    consigning or developing a wholesaler account system, turning the website
    into a revenue stream, and maybe someday automating the printing process
    so anyone could be trained to do the work :)

    Sorry to talk your ears off (or text your eyes out :]), thanks for
    reading, can't wait for your next interview to go up!

    Mike Montgomery
    """"
  • Lincolnn
    I've been a long time listener to your program. This interview really resonated with me. I think its really important to define your values and do stuff your really passionate about. Thats the only way you do good work.
  • Thanks!

    Long-time listener? You could probably do these interviews yourself. I need
    to find a way to get you and others who share this mission to do the
    interviews with me.

    I'm talking with Adarsh of Tweetizen about a way to do that.

    Sorry about the long response. Something about your comment flashed a
    thought in my head.

    2009/3/18 Disqus <>
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