8 Biggest Mistakes First-Time Founders Make

If you’re a first-time founder and need a snapshot of where you are, here’s your check-up.

As a first-time founder, it’s easy to get caught up in the excitement and dreams, often overlooking some fundamental aspects of building a successful startup.

Trust me, I’ve been there. In 2017, my startup failed spectacularly because we were more enamored with the technology “machine learning” than with solving an actual problem.

It’s a classic engineer’s mistake: falling in love with the tech instead of addressing real human needs. But that’s just one of many pitfalls. From helping users you don’t care about to choosing co-founders you barely know, and from fearing to launch to neglecting analytics, these are the biggest mistakes that can derail your startup journey before it even begins.

Let’s dive into Y Combinator’s Michael Seibel‘s hard-earned advice, adding my own two cents to the mix. Think of it as blending Seibel’s tried-and-true recipes with a dash of my own seasoning.

#1. Solving a Problem You Don’t Care About

Take it from me: my 2017 startup crashed and burned because we were obsessed with machine learning and didn’t care enough about the actual problem we were trying to solve.

It’s a classic engineer’s mistake — falling head over heels for the technology instead of focusing on real human needs. Remember, no matter how cool the tech is, it’s not going to magically find a problem to solve.

#2. Helping Users You Don’t Care About

Twitch thrived because its founders zeroed in on their passion for video game streaming, rather than trying to democratize live video for everyone.

The secret? Emmett Shear, one of Twitch’s co-founders, was a gamer himself, deeply understanding and loving his audience. When you genuinely care about your users, it reflects in your product and their level of engagement.

Remember, trying to please everyone often means you end up pleasing no one.

Focus on the users you truly care about.

#3. Choosing Co-Founders You Don’t Know Well

Because who doesn’t love a surprise, especially when it comes to running a business together, right?

Starting a company is like getting married; you need to make the dating phase as thorough and intimate as possible.

#4. Lack of Transparent Conversations with Co-Founders

Ever wondered if your co-founder is putting in as much effort as you? Are you both aligned on the same goals? Who’s responsible for what — engineering, product, talking to customers?

Try having radically honest and organized conversations. Without clear communication, misunderstandings and resentment can quickly build up, turning your dream team into a nightmare.

#5. Not Launching:

Fear of launching delays validation. Exceptions exist in regulated markets like banking.
Remember LinkedIn’s launch date? Exactly — you don’t. What matters is getting your product out there and iterating based on real user feedback.

#6. Not Using Analytics

You’ve got to know what’s being used and what’s not. Without analytics, you’re flying blind. Track how people are interacting with your product and what parts are hooking them, so you can make smart tweaks and improvements.

Otherwise, you might as well be reading tea leaves to make your decisions.

#7. Not Knowing Where Your First Users Will Come From

Seriously, this still surprises me! You need a clear plan for attracting your initial users. If your idea is based on solving a real problem, you should already know who your first and second customers are. I’m not talking about scaling to hundreds of users yet. Without those early adopters, your brilliant product will just be a well-kept secret.

#8. Poor Prioritization

Focus on product iteration and user feedback first, before getting caught up in conferences, press, or even investors. Your primary goal should be to build something users love, and that only happens through constant improvement and listening to your users.

Speed of iteration is the key.

Remember, your product won’t get better just because you have a shiny conference badge — unless it magically fixes bugs while you’re networking!

Final Words

So, that’s it for today. Remember, it’s not just about building a product. Anyone can build a product. It’s about building a solution that makes a difference and is desired by people.

To all the founders out there, I wish you nothing but the best.

May your endless meetings and pitch decks magically turn into overnight successes and unicorns. 🦄 💫

Cheers!

Bonus:

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Meet Nihal:

Hey there! I’m Nihal, an engineer turned product strategist with a strong background in B2B dynamics and a proud Included VC Fellow. With entrepreneurial roots and work experience across 14 countries, my focus is on helping founders build products and teams that matter. Curious about the mind behind the keyboard? Let’s connect — drop me a line!

Fun fact: I launched my first business at just 12 years old.