1. Thoughts on Startups Louis R. Woodhill
President Scalable Software, Inc.
Scalable Software, Inc.
720 North Post Oak Road, Suite 500, Houston, TX 77024
Voice: Fax:
Internet:
11/30/ Startups_99304

2. Thoughts on Getting Ahead
You have to own something
Power is the willingness and ability to act in the face of uncertainty
You are going to make mistakes
1. <joke> As you know, it is considered unethical in the software business to mention any features that are not available now. In keeping with this tradition, I will confine my presentation to only those things that you can do with EA today.
2. The major productivity/cost reduction benefit of EA is distributed security administration itself. Distributed security administration is inherently more secure, more responsive to users, and less expensive than is centralized security administration.
3. <joke> You get all this plus our cool Marshal’s badge with its exclusive t-shirt-independent interface.
Scalable Software, Inc.
720 North Post Oak Road, Suite 500, Houston, TX 77024
Voice: Fax:
Internet:
11/30/ Startups_99304

3. Peter F. Drucker on Managing Yourself
Know whether you are a “reader” or a “listener”
Know whether your boss is a “reader” or a “listener”
Know whether you belong in a large organization or a small one
Know whether you are, by temperament, “line” or “staff”
Scalable Software, Inc.
720 North Post Oak Road, Suite 500, Houston, TX 77024
Voice: Fax:
Internet:
11/30/ Startups_99304

4. Four Principles for Software Startups
Always tell the truth (The Prime Directive)
The product must work
The product must be compelling
Software is a “talent” business
1. <joke> As you know, it is considered unethical in the software business to mention any features that are not available now. In keeping with this tradition, I will confine my presentation to only those things that you can do with EA today.
2. The major productivity/cost reduction benefit of EA is distributed security administration itself. Distributed security administration is inherently more secure, more responsive to users, and less expensive than is centralized security administration.
3. <joke> You get all this plus our cool Marshal’s badge with its exclusive t-shirt-independent interface.
Scalable Software, Inc.
720 North Post Oak Road, Suite 500, Houston, TX 77024
Voice: Fax:
Internet:
11/30/ Startups_99304

5. Ingredients for a Startup
Must have:
Valid market target
“Enough” money
Nice to have:
Contacts
Good idea for first product
Talented team
Experience
1. <joke> As you know, it is considered unethical in the software business to mention any features that are not available now. In keeping with this tradition, I will confine my presentation to only those things that you can do with EA today.
2. The major productivity/cost reduction benefit of EA is distributed security administration itself. Distributed security administration is inherently more secure, more responsive to users, and less expensive than is centralized security administration.
3. <joke> You get all this plus our cool Marshal’s badge with its exclusive t-shirt-independent interface.
Scalable Software, Inc.
720 North Post Oak Road, Suite 500, Houston, TX 77024
Voice: Fax:
Internet:
11/30/ Startups_99304

6. Financing Raise money when you can
Always raise more than you think you will need
Don’t fall in love with your stock:
10% of something > 100% of nothing
How you use capital is more important than what you pay for it
You always have to pay market price for resources
1. <joke> As you know, it is considered unethical in the software business to mention any features that are not available now. In keeping with this tradition, I will confine my presentation to only those things that you can do with EA today.
2. The major productivity/cost reduction benefit of EA is distributed security administration itself. Distributed security administration is inherently more secure, more responsive to users, and less expensive than is centralized security administration.
3. <joke> You get all this plus our cool Marshal’s badge with its exclusive t-shirt-independent interface.
Scalable Software, Inc.
720 North Post Oak Road, Suite 500, Houston, TX 77024
Voice: Fax:
Internet:
11/30/ Startups_99304

7. What Public Markets Value
Large market potential
Fast revenue growth
Profitable, but not excessively so
Good “story”
Consistently “Making the numbers”
1. <joke> As you know, it is considered unethical in the software business to mention any features that are not available now. In keeping with this tradition, I will confine my presentation to only those things that you can do with EA today.
2. The major productivity/cost reduction benefit of EA is distributed security administration itself. Distributed security administration is inherently more secure, more responsive to users, and less expensive than is centralized security administration.
3. <joke> You get all this plus our cool Marshal’s badge with its exclusive t-shirt-independent interface.
Scalable Software, Inc.
720 North Post Oak Road, Suite 500, Houston, TX 77024
Voice: Fax:
Internet:
11/30/ Startups_99304

8. How Venture Capital Works (From Bob Zider, Harvard Business Review,
Financing for commercialization, not R&D
Short time horizon (2-5 years)
High cost capital
What VCs look for:
Large, fast-growing market
Plausible team
Route to liquidity
1. <joke> As you know, it is considered unethical in the software business to mention any features that are not available now. In keeping with this tradition, I will confine my presentation to only those things that you can do with EA today.
2. The major productivity/cost reduction benefit of EA is distributed security administration itself. Distributed security administration is inherently more secure, more responsive to users, and less expensive than is centralized security administration.
3. <joke> You get all this plus our cool Marshal’s badge with its exclusive t-shirt-independent interface.
Scalable Software, Inc.
720 North Post Oak Road, Suite 500, Houston, TX 77024
Voice: Fax:
Internet:
11/30/ Startups_99304