Are you most interested in starting a software company to work for yourself – and be in control of how you make a living – or do you really want to build a large software company?
Having watched hundreds of small software companies grow their business; it’s become clear the ones with the “Trinity” are the ones that grow Big fast. My definition of “Big” is over 100 employees, revenue exceeding $10 million per year, and consistent annual growth exceeding 30% year over several years.
The Trinity is all about a management team that has a strong leader in each of three core areas – Technology, Sales, and Business Development.
If you are starting or have already started your business – which if the three areas is your strength? Do you believe you are strong in two of the three core areas? All three? Whether or not you believe you are strong in more than one of the core areas – you can really only focus and become great at one of the three skill areas required to grow your business into a large company – Technology, Sales, and Business Development.
The Technology Leader
The Technology Leader is insuring your software or web service is architected for flexibility and re-architected to be able to ride changes in platform technologies – whether that be the OS, Mobile, Cloud or whatever. Having a flexible and extensible technology foundation lets you zig and zag around technology obstacles and react quickly to changes in customer demands – as well as allowing you to jump on new market opportunities. If your Technology Leader is not someone who “just” delivers what you and customers asks for, and is not talking about how your solutions are architected for flexibility and extensibility, you need to find someone new to lead your Technology team – or you are going to hit the limits of your technology foundation before you ever get Big.
The Sales Leader
The Sales Leader is both closing every quarter insuring you are have flow positive – and looking forward at what is needed to continue to grow Sales at a high rate for the coming two to three years. Sales strategies evolve – and developing new sales avenues that are really producing and cash flow positive can easily take two to three years. Think you might want a VAR channel? Think it’s time to expand internationally? Need to hire some great Sales Reps in an under developed region or in a new market area? You have to start developing these additional Sales resources well in advance to keep that high Sales growth rate over a period of several years. Unfortunately many people believe high Sales growth “just happens” when you have a great product. It doesn’t. If your Sales Leader cannot tell you today what they are working on this year to prepare the foundation for growth next year, and is solely focused on sales this quarter and this year, you need to find a new Sales Leader – or you are going to hit the limits of your sales organization before you ever get Big.
The Business Development Leader
The Business Development Leader is scanning the horizon for market and product opportunities that can be leveraged to grow the business rapidly. This could be creating a partnership with a new elephant, insuring you are getting maximum value with the elephant you are currently dancing with, looking for mergers and acquisitions of companies with great complementary technology, going to tradeshows to spot new industry trends, and looking at how your business is organized – and might be better organized. The Business Development Leader is thinking big and broadly – how to grow the company by an order of magnitude over the coming five years.
These members of the Trinity are very very different personality types. No one can play more than one of these three roles really really well. The Technology Leader is intrigued by new technology, loves prototyping, but is a pragmatic software developer at heart. Will usually be an introvert. The Sales Leader is a highly disciplined and organized deployer of their Sales resources – acting very intentionally with one eye in the present and one eye looking to next year. The Sales Leader is not your stereotypical “people person” – being more organized and likely with some sort of Financial training. You might envision him as a very aggressive accountant. The Business Development Leader is thinking outside the box. Someone who can sound at times like a Wheeler Dealer – but is behind the scenes a steely eyed realist who makes for a great Poker player.
So to put a bit of a point on this post, which of the three members of the Trinity are you? Don’t say you are two of the three or all three. You are not. You need to start searching for the two other members of the Trinity that are needed to put your business on the fast track to “Big”.
If you are running a small business that is “stalled out”, take a hard look at your Technology, Sales and Business Development Leaders. If it’s not very clear you have those Leaders, it’s time for change. Don’t get me wrong, getting “Big” is not what everyone wants. It’s okay to decide to stay a small independent “lifestyle” company. If that is what you want. I know many happy independent small business owners making good money while very much enjoying themselves.

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