My biggest leap of faith

Taking risks is part and parcel of being in business, but some are particularly significant. Mark Williams asks five entrepreneurs to look back to a time when they took a leap of faith.

Wendy Tan White’s first major leap of faith wasn’t, as you might expect, when she started Moonfruit with Joe White and Eirik Pettersen during the first dotcom boom. It was carrying on when the dotcom bubble burst in 2001, she reveals.

“Funding ran out, so we had to cut the team from 60, to 10, then two, which was very tough,” she says. “But we totally believed in our mission to enable small firms to build their own websites.” By 2012, when the business was sold to the Yell Group for £23m, seven million websites had been built using the pioneering Moonfruit platform.

Tan White admits that leaps of faith still “bring the same vertigo and butterflies”, even after years in business. Her latest, 18 months ago, saw Tan White and husband Joe join Entrepreneur First (EF), the London tech accelerator started by Matt Clifford and Alice Bentinck in 2011. “We joined because we want to help the best talent to build world-class startups from scratch. We were also looking for something that was worth betting our time and money on,” she says. “Matt and Alice are exceptional people.”

In May, Entrepreneur First had its first major exit, when Twitter acquired AI start-up Magic Pony for $150m. “We’ve raised £40m to extend EF’s company-building programme from six months to two years, and invest further in companies. We’ve personally invested in 12 businesses in our portfolio of 20 – and mentor many more. Becoming investors has been a totally different leap of faith.”

I was continually being told people wouldn’t buy online, but the business grew to be worth £250m – Chris Barling

Software solutions

Tech entrepreneur Chris Barling was 40 when he took a life-changing chance to set up his own business. “I left a well-paid job with Cable & Wireless to set up [ecommerce software provider] Actinic in 1996,” he says. “My co-founder and I funded the launch and my family of five had to live on £8,000 in that first year.”

Software development involves considerable investment before any revenue comes in, he adds, often leaving owners short of cash. “It was a major leap of faith. I was continually being told people wouldn’t buy online, but the business grew to be worth £250m.”

Barling estimates £10bn of sales went through Actinic-powered websites before he moved on in 2014. He now sits on the board of a FTSE 100 company and two high-growth tech startups. And he has started Powered Now, a provider of invoice, estimating and scheduling mobile software for small trade businesses, such as plumbers, electricians and builders.

“Again, I’m told trades people will never be keen on technology to run their business. [But] they will, because now it’s mobile, like them, and simpler. It’s taken personal investment, but now we have more than 1,100 paying customers and 60,000 trade businesses have downloaded our app. Entrepreneurs must sometimes take leaps of faith. It’s hard, but can bring the biggest rewards. It should never be an [unconsidered one] though.”

Space man

“In 2012, after Airbnb started to take off, it just came to me and stayed in my head,” says 24-year-old Ross Bailey of starting his business Appear Here. “Maybe something similar could help fill the huge number of empty UK retail premises.”

To test this theory, Bailey and a friend took a short-term let on premises near Carnaby Street and sold T-shirts to coincide with the Queen’s Diamond Jubilee.

Others showed interest and the viability of the pop-up shop concept became clear. The company launched in February 2013 and is now a leading online marketplace that connects landlords with brands and businesses seeking short-term retail space in the UK.

My leap of faith was simply telling others about my idea. Some said it was rubbish, but one person said I shouldn’t over-think it – Ross Bailey

“My leap of faith was simply telling others about my idea,” Bailey reveals. “Some said it was rubbish, but one person said I shouldn’t over-think it. Try it out and if it fails, it fails.

“There’s something powerful about telling people about your idea. Many people want you to succeed. Ultimately, you win or you lose, but the initial momentum begins.” Appear Here now has offices in London and Paris and more than 40 employees, having raised some £5m in funding.

Growth platform

Saurav Chopra took a chance in 2014 when he cofounded Perkbox, a platform employers pay to use to provide employees with “access to more than 200 perks, an online reward and recognition system and a wellness hub”.

Chopra explains: “Parent company Huddlebuy was a highly profitable lead-generation business, turning over £1m-plus, but we wanted to build something we could scale worldwide. [Starting a new business] that wasn’t generating any revenue required a huge leap of faith.”

Justifying the idea to his board, investors and employees was incredibly hard, admits Chopra, and Perkbox was one year in the making before launching in 2015. “Just two years after deciding to pivot, revenue has grown by 13 times, and we’ve gone from 15 employees to 100, without any external funding.”

Chopra believes that entrepreneurs must regularly take leaps of faith – these are mostly small, but occasionally very significant. “They key is to minimise risk,” he says. “Evaluate as much data as possible; get input from key team members; and feedback from potential customers. Once the decision’s been made, you must communicate your rationale and plan to the rest of the team.”

I’m a passionate Liverpool FC fan and the thought of a short drive to Anfield was too much to resist – Steve McGauley

Mersey paradise

Steve McGauley’s leap of faith involved relocating his marketing agency from London to Liverpool. “I started Liquid in 2000. Three years later, after growing steadily, moving to the north west seemed the next natural step.

“I’m Yorkshire born, but my dad’s a Scouser and my family live in the north – it’s where I feel most comfortable. I considered Manchester and Leeds, but I’m a passionate Liverpool FC fan and the thought of a short drive to Anfield was too much to resist,” he laughs.

While it was a big move, McGauley says agencies don’t need a London postcode to compete. “We have a high success rate of winning work against agencies regionally and in London,” he adds. “We have the same work ethic and creativity, but charge less usually.” Liquid now has 17 employees and an impressive client list that includes Levis, Warburtons and Liverpool John Lennon Airport.

The main reason for relocating was better quality of life, he says, particularly at a time when he and his wife wanted to start a family. “London consumes you; working very long hours is expected. Personally, I never had any doubts. I believed in my business and in Liverpool.

Moving to Liverpool has been one of my best decisions. The talent and drive here reminds me of London, but the people in Liverpool tend to do things with a smile on their face – Steve McGauley

“I’m thankful for my time in London,” he adds, “but moving to Liverpool has been one of my best decisions ever. The talent and drive here reminds me of London, but the people in Liverpool tend to do things with a smile on their face.”

While leaps of faith can be terrifying, when they’re taken with careful consideration of the risks and benefits on the line, they can be the push that a business needs to grow and thrive. What will your next leap of faith be?

• Written by Dead Good Content founder, Mark Williams, this feature appeared originally on the Small Business Network pages of The Guardian website in 2016.

Six key start-up truths I was reminded of while launching Dead Good Content

Lockdown was a double-edged sword for many of us. Although I enjoyed spending more time with my family and made a reasonable job of homeschooling my six-year-old (despite my appalling maths), work was severely disrupted and I qualified for very little government financial support. 

But I had plenty of thinking time and although for a while I’ve recognised the need to make changes, the lockdown and gloomy economic outlook added much urgency. No business can afford to stand still – the solution is evolution.

Rethink, reposition and rebrand  

With the market having become significantly more crowded since I started writing small-business content 15 years ago, I’ve needed to find a better way to set myself apart and highlight my expertise. So, shortly after lockdown began, I decided it was time to rethink, reposition and rebrand my business.

My ultimate aim is to create something more special, more robust and more entrepreneurial. Something that’s bigger, better and more scalable. The result is Dead Good Content, a brand new small business content agency that will provide accountancy firms and others with a much more cost-effective way to market their services to SMEs by using content marketing.

While setting up Dead Good Content, I was reminded of six key start-up truths…

“Starting a business without speaking to the most important people of all – potential clients – can prove disastrous”

1 Market research in a must

You can learn so much from basic market research. You don’t need to spend lots of money or ask complex questions. But starting a business without speaking to the most important people of all – potential clients – can prove disastrous.

You won’t solve your customers’ problems if you don’t know what those problems are. And things change, so, you must maintain your market knowledge if your new business is to survive and thrive. 

I contacted a sample of target customers, asking their opinions and attitudes on a range of issues via a concise questionnaire. The results gave me confidence in many of my existing ideas, but I was also able to make slight changes to ensure that Dead Good Content could better meet potential customers’ actual needs.

2 Launching a new business takes hard work

For the past 15 years, I’ve constantly written about how easy it is to start a business. Registering a new business is remarkably simple, but if you want it to succeed, you must work hard to lay good foundations and get it off the ground.

There are many tasks to complete, which can take time. Frequently, in recent months, I’ve worked late into the night (after writing or homeschooling all day) or at weekends, whether I’ve been doing market research, designing our corporate ID, writing and building the Dead Good Content website or producing marketing collateral. No pain, no gain. 

“Much depends on what you’re selling and whether you need stock or premises, but you can start a business for very little money”

3 You can still start a business on a shoestring

Another key start-up message I’ve communicated for 15 years. Much depends on what you’re selling and whether you need to buy stock or operate from premises, etc, but you can start a business for very little money.

When starting your own business, you must be prepared to roll up your sleeves and do many things yourself. I would have loved to hire an agency to build our website or create our corporate ID, but I had to minimise my start-up costs, so I did it all myself. I’m fortunate to have those skills. If you don’t, maybe you could swap skills with those who do. Making do with what you have can really help to reduce risk and minimise your start-up costs.

4 Not all ideas are good ones

I’ve had the name, Dead Good Content, for ages. I like it a lot, because it underlines our commitment to quality and says what we do, but it does it with personality. Other ideas have come and gone, because they didn’t work.

I love neon signs, and initially I planned to use a neon-like font for our new logo. A friend and talented graphic designer called Andrew Cothliff created logos for me, which all looked great. But, they didn’t work when used small, so neon was out. We went for a simpler typeface. We also tried different versions of our website, but scrapped them and started again from scratch. You must challenge your own thinking and listen to your gut instinct. And it usually pays to keep things simple.

“When starting your own business, there are people who will help you – often for free. If you trust them, listen to what they tell you and act on it”

5 Honest feedback from trusted sources really helps

I’m lucky to have a great network of friends and some work in media, PR, marketing, advertising, graphics and branding. I value their opinions and sought their advice on everything from our new corporate ID and website to our business model and prices.

Sometimes others see things that you can’t see, because you’re too close. The feedback I received was mostly positive, but changes were recommended. Acting on some of those has made a big difference. When starting your own business, there are people who will help you – often for free. If you trust them, listen to what they tell you and act on it.

6 Starting a new business is exciting

So, after many months of planning and hard work, Dead Good Content is up and running. I’m under no illusion about how much hard work it’s going to take to establish, especially in these uncertain and challenging times. But I’m up for it and initial response has been excellent. And for the first time in a while, I’m really excited about what the future may hold for my business. Life’s too precious to waste doing something that doesn’t excite you.

• With 15 years’ experience as a leading writer of small-business content, Mark Williams is the founder of Dead Good Content, which specialises in producing cost-effective bespoke and readymade content for accountancy firms and other organisations that want to market their services to small businesses.

How to come up with a "dead good" business name

Dead Good Content founder Mark Williams (left) with sisters and brother, Stanley Park, Liverpool, 1976 (clothes models’ own)

Coming up with a good business name remains one of the most enjoyable start-up tasks. I was reminded of that recently, while launching new small-business content agency, Dead Good Content.

Pleasurable as it is, it can be tough and much is at stake. If you get it right, your business name becomes a deadly marketing weapon that distinguishes you from your competitors, tells the world who you are and helps you to attract and retain customers. But get it wrong and it can really hold you back.

“You can always change a businesses name, but it’s better – and cheaper – to get it right at the start”

“Backrub” keywords?

Kabir Chibber, in his BBC News piece, The dark art of choosing a company name, likens new businesses to newborns. “And just like children, the wrong name can scar for life,” he warns. “Imagine if Google had been called BackRub, as in its first incarnation,” he reveals. Imagine indeed.

Before changing name in 1958 to Sony (which is far easier to say), for 12 years the business had been called Tokyo Tsushin Kogyo. Global sporting heavyweight Nike (pronounced Ni-key – derived from the Greek goddess of victory) started life as Blue Ribbon Sports.

eBay used to be called AuctionWeb and PayPal was Confinity when launched in 1998. Amazon supremo, Jeff Bezos, considered Awake, Bookmail, Browse and Cadabra as business names, but registered Relentless.com before settling on Amazon. You can always change a businesses name, but it’s better – and cheaper – to get it right at the start.  

Legal restrictions

There are legal restrictions when naming a business. According to government website Gov.uk: “Your name can’t be exactly the same as another registered company’s name.” You can search the Companies House register to find out if your preferred choice is already taken.

And your name: “Can’t contain a ‘sensitive’ word or expression unless you get permission; or suggest a connection with government or local authorities; or include a word that could cause offence.” Companies House provides detailed guidance on legal restrictions when naming a business.

Only limited companies can use the word “limited” in their name, and you can’t suggest national importance (eg British), patronage (eg Royal), special status (eg Association) or function (eg Trust) if it’s not true.

“Linking yourself too closely to a geographic location can limit your ambitions, as can using your own name. And don’t make your business name so obscure that customers will never know what it means”

Mistakes to avoid

Phil Davis, in his entrepreneur.com piece – 8 Mistakes To Avoid When Naming Your Business – likens a business name to a building’s cornerstone. “If it’s off, even just a bit, the rest of the building is off, and the misalignment becomes amplified,” he opines. Asking too many people for their opinions is a bad idea, he says, while making sure those you speak to have a creative outlook, otherwise “your name will end up too literal and descriptive”.

Davis isn’t fond of one-word business names that result from putting part of an adjective in front of a noun (eg “QualiWidgets”), nor words that don’t provide distinction or personality. Linking yourself too closely to a geographic location can limit your ambitions, he warns, as can using your own name. Avoid clichés (eg “Summit, Apex, and so on”), he advises, and don’t “make your business name so obscure that customers will never know what it means”.

Deliberately misspelling your business name to secure a URL isn’t wise, he says, because people won’t find you when entering the correct spelling into Google. And if you pick the wrong name, change it, Davis says, because the problem won’t “magically resolve itself”.

Short and sweet

In his www.123-reg.co.uk blog, 6 top tips for choosing a business name, Tim Fuell reinforces the idea that simplicity is best when naming a business. “Long-winded names are unlikely to become big-hitters,” he argues. “Apple, Dell, Google, Amazon, etc. Short, sharp and simple wins every time. It’s more memorable, easier to write or type and simpler to engage with,” he explains.

When considering business names, think about how easy your preferred options are to say and spell over the phone, particularly when speaking to people in other countries (you also need to consider whether your business name could cause amusement or offence in other languages). Choosing unusual words and spellings can backfire.

Boring is bad

Amusing names work well for some businesses, but they can be a terrible idea for others, as they can make you look unprofessional. You could pick a word that has no apparent meaning, a tactic that worked well for many successful businesses, including Kodak, IKEA and others.

Writing for Forbes.com, Richard Harroch cautions against coming up with business names that are hard to spell. Before making your final choice, he recommends carrying out online research, to see whether you can get the URL you want. Although “boring is bad”, he doesn’t believe in choosing something that’s too “out there”, pick something likely to resonate with target customers.

““Boss” or “sound” hadn’t quite entered the Scouse lexicon back then, great things were “dead good””

Dead Good Content?

So, how did I come up with Dead Good Content, the name of my new small-business content agency? I had the name about 12 months before starting up. Everyone I mentioned it to told me they liked the name (unless they were just being polite).

Quality has always been vital to everything I’ve done professionally and I wanted that to come across loud and clear in my new business name, but not in a predictable or pretentious way. I wanted something more authentic, more down-to-earth  – much more “me”.

So, I thought back to my childhood, as I often do, and asked how I would have described it growing up in Liverpool in the 1970s. “Boss” or “sound” hadn’t quite entered the Scouse lexicon back then, great things were “dead good”. “Content” was added so there would be little doubt about what we do. For the moment, I’m pretty pleased with Dead Good Content. Will it prove to be a wise choice? Time will tell…

• With 15 years’ experience as a leading writer of small-business content, Mark Williams is the founder of Dead Good Content, which specialises in producing cost-effective bespoke and readymade content for accountancy firms and other organisations that want to market their services to small businesses.