how i feel after failing as a founder (and burning $300K)

Summary

Louis Morgner reflects on a venture-studio experiment with his co-founder, Björn. They set out to support young founders and creatives by providing an environment to build new ventures. The team went to Cape Town with $500K in the bank and 8–9 hires, aiming to launch products, talk to customers, iterate quickly, and find product-market fit across three companies.

The model proved difficult to sustain. Louis found himself heavily involved in directing all three ventures, which drained rather than energized him. In January, the founders gave the team a 90-day test: step up to lead a venture and work toward significant revenue, or take $10K and pursue another path. The team gradually split up. Louis says the experience revealed people’s strengths and whether they were ready for the demands of founding a high-growth technology company.

He now plans to focus the remaining effort on Open Company, an ambitious AI venture exploring what is possible with AI agents. The team plans to go to San Francisco to meet customers and investors while documenting its progress publicly.

Frameworks, Processes, and Lessons

• Early-stage startup playbook: Ship products, speak with customers, iterate quickly, and search for product-market fit.
• Founder-fit test: Give prospective venture leaders a defined period to take ownership and demonstrate leadership and revenue progress, while offering an alternative to those better suited to a different path.
• Focus over portfolio sprawl: Concentrate resources on one company instead of stretching the team across three ventures.
• Founder role clarity: Relying too heavily on one central leader for direction can become draining and limit team ownership.
• Build in public: Share the founder journey and company progress through ongoing content.

Metrics and Timeline

• Capital at launch: $500K
• Initial team: 8–9 hires
• Initial scope: Three ventures
• Leadership test: 90 days to lead a company and make significant revenue; alternatively, receive $10K
• Reported loss: The video title says the founder burned $300K; the subtitles do not provide a breakdown.
• Next steps: Travel to San Francisco to meet customers and investors, and share weekly progress in upcoming videos.

Presenter and Source

Louis Morgner, who also discusses his co-founder, Björn.