Sales author Pete Kazanjy explains why early-stage founders should handle initial sales rather than hiring external reps.
Insight
Startups cannot outsource sales for their first couple dozen customers
“And so the founder is like, Hey man, I'm going to like pour a little bit of sales on this, hire some, you know, sales leader or whatever, some sort of seller and outsource this. And you really just can't do that. Not for the first, like couple dozen customers.…”
Insight
Early startups must hire pioneer AEs before a VP of Sales
“Generally what you want to do is you probably don't want to start with like a VP of sales to start like a sales leader. And there's a couple of reasons why they're like, even if you figured it out yourself, that's required. Right. You gotta, you have to get to…”
Insight
Founders need a 15% to 25% win rate before hiring reps
“It's going to be like, you know, that you can reliably at like a, at a pretty okay win rate. So like maybe 15% or 20% or 25% turn first meetings into eventual customers, right? And like do that in a reliable fashion. It's not like, you know, I engage 10, Arm's…”
Insight
Product-led growth companies eventually stagnate if they avoid building sales
“There are a lot of PLG or self-serve motions out there that have really kind of like, they stagnated themselves because they didn't add the sales piece.”
Opinion
Dropbox is a prime example of delaying enterprise sales too long
“Probably, like, the most famous example of an organization that, like, maybe didn't get sales religion as quickly as they should have would be would be Dropbox.”
Insight
Remote work severely harms junior sales rep coaching at early startups
“Having asynchronous distance is really problematic for that, especially for junior folks, like SDRs, junior AEs, all of that, it really is problematic. Once that sales motion is baked and can be like distributed, okay, that's potentially a different situation,…”