Getting into TechStars is hard. The acceptance rate is something like .000001% (lower than Harvard’s apparently). It was most certainly hard for Promoboxx because like most applicants, we didn’t get in. Well, we didn’t until we used this rejection as motivation to forge ahead, and then to our surprise we were accepted into the very program that rejected us.
Forget your logo, investor presentation, business model, or background. I’m here tell you that the single most important attribute of an entrepreneur is the ability to take a NO, then bank it, move forward, and use it as motivation. We didn’t even begin to learn this until we got our first big NO, from TechStars.
The Rejection
Just a few weeks after making the final selection group for TechStars Boston 2011, we got the super-nice “it’s not you, it’s a competitive program” rejection email from Boston director Katie Rae. We were shocked, we felt that we fought hard to get in. The team attended events, created a video, and sent weekly updates on our real business progress. Still, we hadn’t done enough to prove ourselves, and we had to accept our rejection. But, did we have the guts to rejoin the fight?
I first turned to the team, my co-founders Dan Koziak and Sonciary Honnoll were awesome. After a quick commiseration and a “oh well” they went about moving the company forward. They were still 110% committed. Then I had to look in the mirror. As CEO, I needed to get better. Investors (like TechStars) want a great team, but most investment choices come down to the CEO, and I had to step up my game.
The Opportunity
Ok, if we couldn’t get into TechStars we’d at least adopt the model, by attending events, connecting with mentors, and raising money. At our first event, David Beisel’s WebInno, I ran into Katie Rae. Instead of awkwardly ducking my head and avoiding Katie, I went right up and thanked her for considering us. Her response was amazing, she was excited to help and suggested other area programs such as Dogpatch Labs, MassChallenge and Open Angel Forum. In fact, there was an available slot to pitch at Open Angel that same week. After a quick email connect with OAF organizer Reed Sturtevant, we were on the docket.
I spent four strait days practicing my “I can’t believe you didn’t choose us” revenge pitch. Once I arrived at the event, I noticed that not only was Katie there, but also TechStars founder and CEO, David Cohen. Oh, it was on! I was determined to show TechStars – and everybody else in that room – that Promoboxx was for real.
When it came time for our pitch, I had to rely on my practice because I was way too pumped. It felt like being football player playing his first game against the team that cut him. With Dan operating the slides, we made it through. The post pitch feedback was OK. Most liked us, but we were missing that special ingredient. It was our first pitch. We were locked in and looking for more.
The Call
The next day, I sent Katie a quick note of thanks, simply expecting the standard response. What I got instead was a call that if it were part of a John Hughes movie, it would have been a bad one. I mean, the plot would be so ridiculous. Katie started in with, “We’ve never done this before, but…” (cue 80?s music). They wanted us to join TechStars! I could hardly believe it.
But, there was a catch. We had just 30 minutes to accept, and an hour to get down to Kendall Square for orientation. I called the team and we unanimously agreed to join. A scramble ensued, I headed right for the door and jumped on the T, Dan quit his job (also turning in his brand new iPad2), and Sonciary broke all sorts of traffic laws heading down from New Hampshire. Like some tech keystone cops, the Promoboxx team all converged on One Cambridge Center as fast as possible.
The Program
When we walked into that packed TechStars orientation session, the first to greet us was David Cohen who deadpanned “we had a case of non-buyers remorse” and then shook our hands. It was one of the coolest moments of my career. As for Katie Rae, we can’t say enough about what she did for us. On the day of her first TechStars class, she went way out on a limb to give us a chance. Katie truly is a Boston angel.
After three months at TechStars, we hit Demo Day a changed company. We not only pitched better, but we discovered that special ingredient to our company (apparently it’s called a business model). Those months of intense mentorship by some of the smartest tech entrepreneurs in the world had unified us as a team with a stronger product. We were a real company.
Since then we’ve raised our seed round (announcement soon) and landed clients like Wolverine Worldwide, Mattingly Sports, Flooring America, CAT Footwear, and PrimeSport to name just a few. We’ve had dozens of NOs since that first one from TechStars, and we still have hundreds (hopefully thousands) of NOs still left in us.
The Disclaimer
Please don’t try this at home. If you’re looking for the best way to get into TechStars, please read my buddy (and Kinvey CEO) Sravish Sridhar’s recent article. They did it right. But, if you do take away one thing from this article, take this: If you believe in your team and your business don’t ever, ever, ever give up. I can absolutely guarantee that you’ll get more NOs than YESes. Just take your hit, bank it, and move forward. Good things are bound to happen.
