How Investors Make Better Decisions: The Investment Readiness Level


Here’s the 3rd post related to the Investment Readiness Level by Steve Blank.

1st post here: It’s Time to Play Moneyball: The Investment Readiness Level.

2nd post here: Is This Startup Ready For Investment?.

Steve Blank

Investors sitting through Incubator or Accelerator demo days have three metrics to judge fledgling startups – 1) great looking product demos, 2) compelling PowerPoint slides, and 3) a world-class team.  Other than “I’ll know it when I see it”, there’s no formal way for an investor to assess project maturity or quantify risks. Other than measuring engineering progress, there’s no standard language to communicate progress.

What’s been missing for everyone is:

  1. a common language for investors to communicate objectives to startups
  2. a language corporate innovation groups can use to communicate to business units and finance
  3. data that investors, accelerators and incubators can use to inform selection

Teams can prove their competence and validate their ideas by showing investors evidence that there’s a repeatable and scalable business model. While it doesn’t eliminate great investor judgment, pattern recognition skills and mentoring, we’ve developed an Investment Readiness Level tool that fills in these missing…

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Why Build, Measure, Learn – isn’t just throwing things against the wall to see if they work


Latest on Lean Start Up

Steve Blank

I am always surprised when critics complain that the Lean Startup’s Build, Measure, Learn approach is nothing more than “throwing incomplete products out of the building to see if they work.”

Unfortunately the Build, Measure, Learn diagram is the cause of that confusion. At first glance it seems like a fire-ready-aim process.

It’s time to update Build, Measure, Learn to what we now know is the best way to build Lean startups.

Here’s how.


Build, Measure, Learn sounds pretty simple. Build a product, get it into the real world, measure customers’ reactions and behaviors, learn from this, and use what you’ve learned to build something better. Repeat, learning whether to iterate, pivot or restart until you have something that customers love. build measure learn

Waterfall Development
While it sounds simple, the Build Measure Learn approach to product development is a radical improvement over the traditional Waterfall model used throughout the 20th century to build…

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11 People to Get You Inspired


Here’s a list of inspiring people that greatly impacted the way I view the world:

Who inspires you?

9 Great Books to Take Your Startup to Success


A few very interesting books have been published lately about Agile philosophy and Lean manufacturing applied to startups, and more in general books related to improving the chances of success in starting a company.

I suggest the following ones, together with some classics:

Which other great books do you think are missing?