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Making It Happen as an Early-Stage Founder with Mark Fershteyn of Recapped

Episode #091

Mark Fershteyn (@markfersh) always knew he wanted to start a business, but there was just one problem: He didn't know what that business would be. Of course, this wasn't enough to stop a determined founder in his tracks. And so, fueled by raw optimism and a refusal to lose, Mark embarked on a years-long journey to build a promising business, discovering and overcoming dozens obstacles in the process. In this episode, Mark shares the story behind his business, Recapped: recovering from failures and false starts, dealing with the stress caused by a dwindling bank account, finding product-market fit through sheer persistence and faith in what he was building, and learning new things about himself in the process.

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    Hey all, Mark Fershteyn here - feel free to ask any questions or let me know if I can help in any way.

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    My Main Takeaways:

    • Mark always wanted to do business from a young age.

    • Everything is sales: Sales is in every part of life, if you can improve your sales ability you can improve the overall quality of your life.

    • Leverage your existing skills: Mark used to work in sales. And his startup, Recapped is based on helping companies with sales.

    • Experiment with side-projects: Mark’s first “business” was a mobile game he developed over a year with friends, despite the fact it flopped, he really enjoyed it and it didn’t feel like work even though he worked on it after work for 2-3 hours, and 12 hours each day on the weekends. (However, he did make about $4,000 from it,)

    • Leverage your network: Mark didn’t know how to code, so he got his friend who was a developer at IBM to build the app.

    • Focus on what you know: Mark says that one of the reasons his mobile game failed was because he didn’t focus on what he knew. He was a hardcore gamer who played hardcore games, making a casual game for casual gamers.

    • Gain leadership through World of Warcraft: Mark gained leadership skills by leading a 100% remote World of Warcraft guild.

    • Don’t give up completely: Despite the fact that Mark’s mobile game idea failed, he still wants to go back to making games in the future because he believes he can get something to work.

    • Meditate: Mark started meditating to become more “focused on the moment”, because he’s such a future-focused person.

    • Sometimes you may not want to have any side-projects in order to focus on your day job: When Mark got his new job as a Director of Sales, he also stopped working on his mobile app, this enabled him to focus 100% on being the best Director of Sales that he could be, rather than 80-90% as he was in his previous job.

    • Coding is like modern day magic, especially when mixed with sales: Being able to create something you imagine in your mind, and then being able to sell it is a very powerful combination.

    • Almost anyone can be good at sales: If you actually believe in what you are selling you don’t need any sales tactics. However, there are frameworks and methodologies that ordinary people can use to improve their sales ability.

    • Sales is a numbers game: The harder you work, the more likely you are to succeed. Even if you have the worst tactics and some enthusiasm, you can still be successful.

    • Get rejected: You need to get through the people who would not buy your product in order to find the people who would buy your product.

    • Solve your own problem: Mark got the idea for his startup Recapped because he had a problem, and no such tool existed to solve it. So he built one.

    • Your product doesn’t need to be complex to be profitable: As long as you are providing enough value to enough people, you can have a very good lifestyle business.

    • Hire developers to build an MVP if you’re short on time or skill: Mark spent 1.5 years thinking of how to build the MVP, and once he had the mockups and wireframes, he hired developers to build it.

    • Share your product on your Facebook wall: Mark shared his product on his Facebook wall and immediately got 10 new customers for free.

    • Don’t let your boss undervalue you: Mark wanted to start his own business, partly because at work he was helping generate millions of dollars of revenue, but only getting paid a small fraction of that (despite the fact he was still getting paid well, he was producing more value than his pay).

    • Freedom > Money: Mark would have accepted a 30% paycut to work on his own thing but be free from his job.

    • Sometimes you may want to raise funding: Mark intends to raise a round of funding to hire employees.

    • Go out and meet people: Once a week Mark goes to a different meetup in NYC, he tries to go on a date every Thursday, and meets up with friends every Friday and Saturday, and Monday through Wednesday he does focused work. (He believes that this is a good balance just to keep his sanity.)

    • Identify and pivot to your exact target customer: Mark initially thought his target customers were Account Executives, but they did not like his app. After doing an AppSumo campaign, his app got almost 1000 people using his app over night, but they were mainly Consultants, Freelancers, and Digital Agencies. However, Mark believed that he could still help people in sales, just not Account Executives, so he decided to sell to people at more senior levels in sales, and he found success.  Identified two target customers, senior people in sales, and agencies/freelancers/consultants.

    • Have a support network: Mark says that if he knew it was going to be this hard, he probably wouldn’t have started. “Often times you’ll just be celebrating for a day, or a couple of hours, and then something breaks, or your biggest customer decides to cancel” ~ Mark.

    • It’s not sunshine and rainbows: In his first year of starting Recapped, Mark’s company almost went bankrupt, because he burnt through his savings too fast, but was saved by the AppSumo campaign he did that got over 1000 customers overnight.

    • Save money: After quitting his sales job, Mark was living off of savings (he allocated $50,000 to last a year). Courtland did this too. Courtland was working full time as a contractor, he quit and started Indie Hackers while living off a year of savings. For the first 6 months Courtland wasn’t really going hard, he just worked on projects that didn’t have much potential. But after seeing his bank account shrinking, he decided to get more disciplined and serious.

    • Ensure you have the right messaging: Mark has two audiences for his product, agencies who use his product for proposals, and sales teams who use his product for sales. He has to tailor his messaging to these two different audiences, whilst the product remains the same.

    • Do cold calling for B2B sales: It’ll be mostly rejection, but it’s a tried and tested procedure for selling.

    • Be patient, don’t be so eager to jump into your idea full time if it doesn’t generate income. Think long term, not short term: Mark says he would have been patient and wouldn’t have quit his job so fast, because he put himself into a tough situation where he was running low on savings with no income, it was very bad for his mental health.

    • Just do it: If you’re single and in your early 20s, you have no excuses to not do it.

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    Hi @Fersh - I got a lot of value from this, so thank you for that! I'm curious if you're hiring at the moment and if so, would you consider remote?

    I'm looking to join a startup I can resonate with, and I know I could bring a lot of value to Recapped.

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      Hey @tyrelj13 - shoot me an email (mark at recapped dot io) and let's talk further

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    Hey @Fersh, really enjoyed the episode on my run this morning. Can you talk a bit more about your messaging. When/how did you settle on the sale/agency messaging? Was it by talking to some of the customers after your AppSumo launch or by getting insights from the cold calls you were/are making?

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      Glad to hear. Definitely by speaking with customers. Simply asking them what they think about the tool, problems it solves, what they like, etc all sums up to the new messaging.

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    This was awesome! I can't wait for the transcript! There were nuggets towards the end of the episode.

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      Thanks, what was your favorite part?

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    Really enjoyed this one. Thanks guys

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      Glad to hear!

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