Tech Climbers were delighted to host our first co-branded event with our friends at Baltic Ventures.
Over 50 people from the North West tech community flocked to Baltic Venture’s home at Baltic Creative’s Digital House to listen to the insightful experiences of exited founders Susanna Lawson and Neil Ruth. Although both successful, Susanna and Neil took very different founding journeys, which is highlighted throughout the chat with us.
Susanna co-founded OneFile with her partner back in 2005. From a back bedroom start-up, the two of them grew the boot-strapped business to a leading EdTech software, with over 1.3M users and a team of 80+ employees. After 16 years, Susanna and her partner exited OneFile, selling to Harris Computers, part of the Constellation Software group, the 2nd largest tech company in Canada. Since exiting, Susanna has gone joined a new tech start-up, due to launch later this year.
Neil on the other hand co-founded TapTrip, a self-serve travel platform aimed at SMEsoff the back of frustrations with historic travel management processes. After one year, the business was already listed as ‘One to Watch’ in the Buying Business Travel Hotlist 100, and they won the Business Travel Disrupt Award at the Business Travel Show and Best UK Startup at the HNT Awards. The business went on to raise £4.6M in investment before the founding team chose to exit, with Neil exiting the business in March 2022. Now, Neil is a start-up and scale-up advisor.
Due to their different journeys, both Neil and Susanna had plenty of learnings and insights to share with the group, let’s get into our favourites…
You’ll know when it’s your time to exit
When you’re gaining traction for funding, VCs might often ask about your exit strategy. However, Neil and Susanna are both proof that you can’t rely on things going to plan.
Neil explained that as TapTrip grew it naturally became a corporate organisation. As someone that’s creatively inclined, Neil knew that it was his time to exit, leaving the business in the safe hands of his other co-founders. Although earlier than expected, Neil’s best advice for exiting is to listen to your gut.
On the other hand, Susanna explained she had no original plans for exiting the company. Since the business was bootstrapped, Susanna and her partner had far less pressure on their exit strategy. Originally planning to sell a share of the business, the pair pulled out due to last-minute uncertainties with the deal. As one door closed, another opened with Harris Computers – this time discussing the acquirement of the whole business – and the rest is history.
All mistakes are a learning experience
When asked about their biggest regrets throughout their journeys, Neil reflected on dark moments involving cashflow uncertainties. However, he explained that he’d still do it again as it’s these experiences that kept them grounded and gave them the resilience to keep fighting.
Don’t be afraid to question VCs
On the topic of what they’d do differently, Neil mentioned a tip he realised later in his journey – interview the companies of the investors that invested. He went on to explain how this gives you an inside view on how they can support your business, helping you make that all-important decision. Susanna also tied into this, as she explained that it’s important to work with a VC with aligned values and business culture. Although at the start of your journey, funding opportunities might be slim pickings, it’s important to weigh up their values against your own before you sign on the dotted line.
Hire slow, fire fast
Recruitment was a key topic in the afternoon’s discussions. Both spoke about the importance of hiring people that are both culturally a good fit, as well as competent within the skillset required. Susanna and Neil both agreed that you should take time hiring the right fit for your business – especially in the early stages – but be unafraid to rip off the plaster if it’s not working out.
There were some other great tips from the discussion, including saving all recruitment notes to refer back to later down the line and making sure you hire, and review employees based on values just as much as performance.
Internal promotion or external hire?
Neil and Susanna both reflected on a familiar struggle for scale-ups – whether or not to promote from the inside or to recruit external skills. It’s important to think about what feels right: are you promoting somebody because they’re ready or because they want it? Ultimately, you need to think about what’s right for your business.
Neil also mentioned Hannah Power’s model of high performers and high achievers, explaining that you need both within a business to ensure all employees feel valued.
The North West is a great place to build your business
The final topic of the afternoon was of course about location. Both founders were in agreement that since COVID, home and hybrid working are great ways to access a wider talent pool. Neil recognised the North West as a great place to set up a business, stating that the costs are generally cheaper and there’s a large talent pool within the region. He also highlighted that investment is more commonly available in the region now, as opposed to being overly London-centric.
One thing is for sure, and I’m sure we’ll all agree: it’s a great time to build a business in the North West.
A special thanks to Mo Aldalou, Programme Director at Baltic Ventures, who kindly and expertly chaired our fireside chat.
Be sure to look out for future events – sign up to our mailing list for further announcements.