An Important Entrepreneurship Lesson From tbh
tbh, the teens’ favourite new social networking app, just got sold for a little less than $100 Million (Exact figure not disclosed) to Facebook just 9 weeks after its launch. This was a rush move by Facebook to scoop the viral app ,which is currently No.1 on the App Store, before it turns into a $1 Billion goliath or before Snapchat buys it.
However, Even though the app just took 2 weeks to develop, the parent company, Moonlight Labs, had to fail in producing over 15 apps and spend 7 years before thinking of tbh. Although the company initially raised capital from a few investors, including social app guru Josh Elman at Greylock, it was just 60 days from insolvancy.
It was during this period of finally hoping to achieve success while enduring the fear of failure that the company came up with its viral app. The company was even able to survive this long due to its extremely efficient use of money and resources to keep the burn rate as down as possible.
Nikita Bier, co-founder of tbh, credits the success of the app to its focus on spreading positivity while maintaining anonymity while simultaneously countering cyber bullying. It was made after carefully examining the shortfalls of Sarahah and Yik-Yak which received worldwide criticism for being unable to solve the issue of cyber bullying. “Improving people’s self-esteem — that’s been the most rewarding aspect of this product,” Bier concludes. “Raising a ton of money, all that other stuff, it’s just an accessory to the goal. The goal is, can we make this generation happier?”
Whatever may have been the true ingridient for success, I sincerely believe it was just the result of sheer perserverance. Perhaps, None other than this quote from ‘The Founder’ captivates this situation accurately –
” Nothing in the world can take place of persistence. Talent will not; nothing is more common than unsuccessful men with talent. Genius will not; unrewarded genius is almost a proverb. Education will not; the world is full of educated derelicts. Persistence and determination alone are omnipotent.”