Book Review: ‘Proficorns’ - It’s All About Profits
When the world in general brings about a new word coinage, say like ‘Unicorns’, one wonders who brought it up in the first place. But then, when a successful serial entrepreneur and the Founder of one of the original India tech-startup success stories going back 25 years coins a new word - Proficorns - one must pay heed.
Rajesh Jain is India’s first successful technology startup-to-exit story. His book ‘Startup to Proficorn’ is a must-read. Simply because he has shared his story and entrepreneurial learnings in an easy-to-read style, and luckily with no pompous writing.
An essential takeaway from this book is that profits have to showcase proof of entrepreneurial passion, business performance and path to valuation. This is a wake-up call to the Indian economy, considering the hype and enthusiasm around the valuations of its 103 Unicorns, and thousands of other startups. The book will be a glad-alternate reading material to entrepreneurs and startup investors who have been glamorously seduced by easy money availability (until recently) with equally frenzied valuation increases with every investment cycle over the past few years. This book is the antithesis to such sweet talk. Or should one day the seductive pillow talk of valuations?
This book hits hard at the very foundation of any business - the necessity to make profits. But then, there are only a few examples in the Indian startup community of such Proficorns. Those examples have been captured well in this book.
This book is a pleasant read with positivity of messaging and avoids negative connotations of scenarios. This book also reminds the readers of the actual concept, need and purpose of ‘Unit Economics’ in running a business. It highlights how focusing on unit economics would help avoid cash flow issues and debt cycle, and importantly avoid the need to constantly raise equity capital, thereby forcing the founders to become minority owners. The learnings also include :
* Obsession with customers and learning to unlearn the fastest
* Unemotionally cutting off unviable business lines
* Focus on cash flows
* Constantly upgrading technology and customer offerings
The book has many anecdotes of the author’s favourite books that helped him understand his own business journey. The book is rich with content as well as entrepreneurial context. The reader has to simply factor in their own context to their entrepreneurial purpose. Don’t miss this book.
