Guest column

Why this Houston entrepreneur stuck with startups over a corporate gig

When Microsoft came knocking on this Houston entrepreneur's door, he realized leaving the startup world was not something he was willing to do. Pexels

Several ago, Microsoft dangled a senior leadership role in front of me, which included a high-compensation offer and the chance to move to Seattle. It was tempting. On the surface, this might seem like an easy choice. This kind of senior management position at Microsoft is something many people only dream of. And Microsoft was making a hard push for me.

Then, while pondering the offer, I imagined how I would change the company's website to capitalize on an urgent market opportunity, and then I thought about the bureaucracy I'd have to go through, which I imagined would have been like trying to get a bill through Congress. I called the hiring manager and asked for an example of his team advocating for such a change, and he confirmed that it would require jumping in slow motion through layers of hoops.

I couldn't get myself to leave the high-flying startup atmosphere where I had the freedom to move the needle in quantum leaps, not increments. It's a big decision to choose to share your talents with a startup versus a large corporation. Both options include benefits and risks. But if you have an entrepreneurial mind-set, you will discover, like I did, that startups can offer huge benefits. Here are what I see as the top four.

1. Fewery barriers of entry

While big corporations often choose to hire the candidates who went to Ivy League schools, are well-connected, or have loads of experience at higher-level positions, startups are interested in something else. They choose to hire people who think creatively, show a willingness to work hard, and demonstrate raw leadership qualities that, once cultivated, can help the company (and the individual) achieve breakthrough success. Startup entrepreneurs are creators, not maintenance workers, and startups need visionaries at every level.

2. Versatility in roles

Most jobs in big companies offer a limited range of authority, meaning no single individual, besides perhaps the CEO, has the ability to influence the entire company in a significant way. When you get hired to fill a role at an established business, that's exactly what they expect you to do: fill that role.

It's rare, if not impossible, to find the freedom to experiment and try your hand at filling different roles within various departments. Most startups don't hire with a set idea of your potential or career path, because the startup is young and undergoing massive change.

Founders may find it hard to predict what the company's needs will be as it grows. This is the perfect environment to try on different hats and find your zone of genius — the area where you work best — then move up quickly from there.

3. Financial rewards

Go to work for a big company, and you'll get a paycheck — a paycheck and a 4 percent annual raise along with a formal review from a manager who dreads delivering it. The potential upside is far greater at startups. And the initial financial rewards might not be too bad either.

Depending on the size and cash flow, a startup may offer a competitive salary right off the bat, or it may start you off with a modest salary with the potential to own a piece of the pie through stock options. The stock options could lead to astronomical compensation later on, if the company is successful. In my opinion, always go for the stock options.

4. Upward mobility

If you have enough drive, it is possible to climb the old guard corporate ladder but be prepared for a slow climb. Incumbent companies are burdened with incumbent mind-sets. Barriers to advancement are high, and opportunities are few. If you have set your sights on making it to the C-suite of a Fortune 500 company, your opportunities are severely limited. Among those companies, there can only be 500 CEO positions, maybe 5,000 in the rest of the C-suite. That means your odds of getting a job in the C-suite of a Fortune 500 company are lower than the odds of being drafted by the National Football League — way lower considering the NFL drafts 224 new players each year,and people tend to linger in the C-suite quite a bit longer than that.

Compare these numbers to the 46,500 startups in the United States, and it's easy to see there are far more executive leadership opportunities at startup companies. If you believe your corporate destiny is to become a leader, you can find a startup with a dynamic, fast-moving environment that values initiative and offers the opportunity to move up quickly.

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Steven Mark Kahan has successfully helped to grow six startup companies from early-stage development to going public or being sold, resulting in more than $3 billion in shareholder value. He is also the author of a the book Be a Startup Superstar.

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Building Houston

 
 

Greentown Houston is asking its current and potential members what they want in a wet lab. Photo via GreentownLabs.com

Greentown Houston has announced it's building a new wet lab facility — but first, they need some help from the community.

Greentown Labs, which is dual located at their headquarters in Somerville, Massachusetts, and in the Ion District in Houston, has announced that they are building out a wet lab in their Midtown space.

"We have heard from several startups as well as corporate partners in the ecosystem that are looking for wet lab space," says Lara Cottingham, vice president of strategy, policy, and climate impact at Greentown Labs. "Greentown has experience running wet labs from our location in Somerville. We're excited to be able to offer wet lab space to climatetech startups as an additional amenity to the Ion District.

Although Greentown's Boston-area location has wet lab space, Cottingham says the organization is not interested in copying and pasting that same facility. Greentown wants to provide the tools that the Houston ecosystem needs, and that requires getting feedback from its current and potential members.

"We want to announce to the community that this is something we're going to build — but we still need a lot of feedback and input from startups so we can learn what exactly they need or want to see from the wet lab," Cottingham tells InnovationMap. "No two wet labs are the same."

Right now, there aren't any details available about timeline or specifics of the new facility. Greentown is prioritizing getting feedback from its members and having conversations with potential sponsors and corporate partners.

"Corporate partners are a big part of the ecosystem and the community at Greentown. They can be so many things to our startups — mentors, customers, investors," Cottingham says. "And in this space, they can help us sponsor and financially support the wet lab. We're still fundraising — we have some partners that have committed to funding, but we're still looking for more funding."

In addition to monetary contribution, Cottingham says they are looking for other options as well, from partnerships with equipment providers, hazardous materials management, and more.

Startups that need wet lab space are encouraged to fill out the online form, which will be open through the summer, and potential corporate partners can express their interest online as well.

Greentown Houston opened its doors in 2021 and has since grown to house more than 75 energy and climatetech startups, as well as several accelerators, thanks to support from dozens of corporate partners.

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