Unicorns or horses?

Hi world,

Unicorns.

Magical, mythical creatures - mostly horse, or goat depending on your lore - with a single horn protruding from their brows. So why are we so fascinated by them and why have we taken to using the term to mean “improbable” or “very good”? There are countless articles telling you to “hire unicorns” or offering advice on how your startup can “become a unicorn”. The internet is full of ideas and recommendations, suggesting that if only you take these five steps, or hire these five people, but it is just as willing to say that if you do and don't become a unicorn, well, it's your fault. You didn't believe, or you didn't hire the right people or, or, or.

The reality is that most companies - 99.93% - do not become unicorns. Most staff you hire are not unicorns. Unicorning is not a realistic goal but a fluke, though those we call unicorns would not say so. So if we know it is mythical, magical, and are incredibly unlikely to achieve it, why do we chase after the dream? Is it an entrepreneurial trait, to go for the best? Is it part of our culture, where good or even great is not enough?

Say we go on the premise that we should never limit ourselves and always reach for the stars. Always looking ahead to what can make us or our companies stronger and more appealing for an exit can be tough work - especially if you're only likely to succeed .07% of the time.

Yet working toward a realistic goal is simultaneously lauded and frowned upon. If you say you do not want to be a unicorn, then you are not committed enough or don't care enough, or are setting yourself up to fail. And with a few social media exceptions, if you say you are aiming to be a unicorn, people generally look at you like you are delusional, and you are. So why not leave it out of the discussion altogether? Because it is the pink elephant in the room. It's on everyone's lips and everyone's mind.

So how do we navigate the situation with aplomb and grace, being realistic and yet not limiting ourselves?

Take a few simple steps:

• Take a read on the situation. Could your product/service, even with the best metrics and most perfect outcomes ever get to unicorn status? Most can't, and that is perfectly fine. If everyone could unicorn, it'd be called horsing.
• Are your business development plans realistic or overly optimistic? Have you given yourself time and financial contingencies? Are you hoping for the best and planning for the worst? As was illustrated in a prior post, the path to success is rarely a straight line. There will be setbacks and they will seem less colossal if you are as prepared as possible.
• Do you have the right tools to succeed, be that in manufacturing or employee team? The round block may be perfect for some things, but not if you have a square hole. Assess your core competencies, make a list of what you need, and compare the two. If you are missing any skills, they will need to be filled.

Ok, so you have looked at your organisation and decided you have everything you need in place. Now all you need is those unicorn venture capitalists – the ones that put up metric tonnes of money without question, guide and advise you without taking over at all, and work hard to make sure you succeed and then, if everything is just right, you may be able to grow and have a wonderful exit. But again, those mythical, magical beings are not just out there wandering around, waiting to be bridled and ridden into the sunset on a wave of dollar bills. The most adventurous VCs are still going to want something in return and thank goodness. That is what capitalism is all about.

Perhaps the best way to look at all of this is to do the sensible thing and just try to succeed to the best of your ability and leave the catching of unicorns to companies with bigger nets. Now this is not to say that if unicorning is an actual possibility for you that you oughtn't go for it; on the contrary, we would encourage you strongly to go out there and ride that beast home, because that would be succeeding to the best of your ability. Like it says at the top: Always be yourself. Unless you can be a unicorn. Then always be a unicorn. To the startups that are looking to earn a gross profit of >$500,000 p/a though, then we challenge you to horse it up.

Let that be the mantra for every entrepreneur, every startup, every company that is struggling to make it for that first little while and get on their feet: Stay on the horse. The old adage to get back in the saddle applies well. Perhaps unicorns feel like riding on a puff of cloud in flannel pyjamas, but riding a horse can be hard work and lead to chafing. So young startups, find your seat and buy chaps, because it's going to be a heck of a ride.

-SWW

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