Customer-First Business Selection

A framework for selecting the right business by working backwards from your ideal customer and preferred sales method, rather than starting with an industry or product.

Core Philosophy: Work Backwards From Customer & Sales Method

• Pick customers you respect and want to hang out with
• Choose businesses where you enjoy the primary growth/sales method
• Focus on how you'll grow rather than what you'll build
• Remember: Startups = Growth (per Paul Graham)

Customer-First Approach

• Start by identifying customers you:
  • Respect and understand
  • Would want to hang out with
  • Are naturally attracted to
• Example: Hampton's success came from targeting business owners
  • Chose customers they liked spending time with
  • Selected audience they understood well
  • Built business around serving those specific customers

Sales Method Selection

• 90% of entrepreneurship is about growth/selling, not building product
• Key question: "What type of sale will I need to do for the next 7 years?"
• Common sales methods to consider:
  • Paid advertising (runs 24/7 without active involvement)
  • Content creation
  • Enterprise sales
  • Direct sales

Framework for Evaluation

• Don't ask: "What industry do I like?"
• Instead ask:
  • Which customers do I want to understand?
  • What sales method am I naturally good at?
  • Can I do this sales method for 7+ years?
  • Will I enjoy building a team around this sales method?

Warning Signs

• Avoid businesses where:
  • You don't connect with the customer type
  • The primary sales method doesn't excite you
  • Growth requires skills you don't want to develop
  • You'd hate doing the day-to-day sales work

The key insight: Your enjoyment of the business will come more from who you serve and how you grow, rather than what industry you're in or product you build.