Why more startups should aim to become phoenixes 🔥

Dear Readers,

Happy 2020! Welcome to the new decade!

We had an online town hall a couple of weeks back, and quite naturally one of the questions was about Tech in Asia’s exit.

I thought it would be interesting to share my reply note here openly for you, so I plucked up my courage (gulp) and edited my note for extra clarity. I believe it could provide a refreshing perspective to everyone, especially to founders.

If you have any thoughts, please reply and share them with me.

Here you go.

Q: Any exit plans in the pipeline?

This is a very interesting and important question! There have been interesting chats with partners given our positive standing. But there’s nothing official, and we don’t have any timeline. After so many years and having gone through all the ups and downs, I’ve gone from “we should exit” to “no, we shouldn’t.” I’ve learned not to think too much about this because it can end up being a distraction from our own goals.

I do believe the only way to attract buyers is to build a solid, impactful, and lasting business, which is why we’re so focused on achieving our own goals and vision. If the perfect buyer and partner comes along in this process, then that’s great. Otherwise, we are happily building.

Also, I wouldn’t rule out going public. Tech in Asia will only get stronger as time passes. I’m super optimistic that we are on track to building a lasting, high-impact, and valuable company. Rather than rushing and gunning for “unicorn status,” Tech in Asia’s more inclined to become a “phoenix” – another mythical being, maybe, but one that is a lot more motivating for us.

Photo credit: Friedrich Johann Justin Bertuch (1747-1822), Heidelberg University Library

Reid Hoffman explained what a phoenix is in a recent episode on his podcast Masters of Scale:

“A phoenix lasts 100 years or more. And to be that kind of company, you have to plan for the long term. You have to build resilience. Like a phoenix, you’ll inevitably soar upward, crash, and then reinvent yourself from your own burning ashes. To be clear, phoenix companies don’t actually die. But they do suffer the inevitable slings and arrows of outrageous fortune. They last because they demonstrate an extraordinary ability to bounce back. We don’t talk about this much in Silicon Valley.”

Tech in Asia has already been serving its mission for the last 10 years, with more to come. And with only about 4% of companies surviving past the 10-year mark, I think that’s quite an achievement for our team. We should be proud.

The probability of surviving for more than 100 years is even lower at 0.0045%.