Startup Advice from Method’s Eric Ryan

Licensing can be a strategic way to generate revenue. Eric Ryan discusses how licensing can provide free cash flow for founders. "

I think it's free cash flow, so that's a great, a great thing... I think it'll put pressure on you to build props into something bigger than just that feature...

" • Eric highlights the benefits of licensing for revenue generation. • Licensing deals can fund further brand development. • Founders can leverage licensing to expand while building their brand.

Choosing between organic growth and raising capital depends on personal goals. Eric Ryan suggests exploring options before deciding. "

You don't have to make the decision to raise capital. You can make the decision just to go explore it... Then you can make the decision whether you take the capital or not.

" • Eric advises founders to explore funding options without pressure. • Understanding opportunities helps make informed decisions. • Founders should align growth strategies with their comfort level.

Maintaining company ethos during expansion is challenging. Guy Raz emphasizes finding mentors aligned with your vision. "

You want to... find somebody from that world... Somebody from the hospitality business... who really believes in the business.

" • Guy recommends seeking advisors from your industry. • Finding mentors who share your values helps preserve ethos. • Industry experts can guide growth without compromising vision.

Scaling a product requires understanding market placement. Eric Ryan discusses tailoring products to specific use cases for better retail success. "

I would like ladder down of what you're talking about, be hyper specialized. So build, build these hyper specialized uses just like you said...

" • Eric suggests focusing on specific markets and use cases. • Tailoring products for different retail sections improves placement. • Hyper-specialization helps consumers understand and adopt products.

Founders often feel pressured to move fast, but patience is key. Eric Ryan advises focusing on building strong foundations over time. "

Be much more patient and don't be in such a rush, you know, building strong foundations takes time in entrepreneurship...

" • Eric emphasizes the value of patience in building a business. • Rushing can compromise the strength of foundational elements. • Taking time allows for sustainable growth and long-term success.

Focusing on exceptional product design can minimize the need for heavy advertising. Eric Ryan explains how creating desire through design pays off. "

I still think of advertising as a tax on an unremarkable product, and the better you get the product, the packaging... then marketing is really just gravy and jet fuel to be able to accelerate that.

" • Eric views advertising as less necessary for remarkable products. • Investing in design creates products that sell themselves. • Strong product design can reduce marketing costs and increase demand.

Navigating modern distribution requires an omnichannel approach. Eric Ryan shares how combining online and traditional retail channels is effective. "

I think today it's just much more of an omnichannel approach... The efficiency of scales working with them is still really important.

" • Eric believes in combining online and traditional retail for distribution. • Retail partnerships offer valuable real estate and scale efficiencies. • An omnichannel strategy meets customers where they are.

Transitioning from a single product to a sustainable brand is essential for long-term success. Eric Ryan emphasizes building a broader brand identity. "

I think it's really, really hard long term to build one product... I think you'd be in one category really well... but you've got to... ladder up, build a bigger brand that feels more elevated...

" • Eric advises expanding product lines within the same category. • Building a brand requires developing beyond a single offering. • Elevate the brand identity to create lasting customer connections.

Deciding whether to self-fund or seek investors is a critical choice for founders aiming to scale. Eric Ryan provides insight into balancing control and growth. "

You can either go for control or financial win... If you want to just continue to have full control... If you want to really scale up, you're going to have to... give up some control, and that's what is required when you bring in partners...

" • Eric highlights the trade-off between control and scale. • Bringing in investors means sharing control but accelerates growth. • Founders should assess personal goals and decide accordingly.

Seeking mentors can accelerate growth, but maintaining your vision is crucial. Eric Ryan suggests structuring mentorship to align with your goals. "

If you could... really build out what is your 3 to 5 year vision... then figure out... key areas that you feel like you need to bring some... people in to really help you... and then populate around a small adviser group...

" • Eric recommends clarifying your long-term vision before seeking mentors. • Assemble a small advisory board focused on specific needs. • Structured mentorship helps maintain ethos while gaining guidance.