In the first half of this solo deep dive, Alex draws on his background in mechanical engineering to explain why a business model is like a CAD (Computer-Aided Design) drawing. If you can’t simulate your business's "tolerances" digitally, they will surely clash in the real world.
Episode Highlights
- [01:25] The Emperor’s New Clothes Venture capital often rewards perception over value. Alex discusses why it’s easy to get funded but hard to build something that actually makes sense financially down the road.
- [05:22] Why Your Business Needs a "CAD" Model Just like in mechanical engineering, if a system is too complex to hold in your head, you must model it. Alex explains how digital simulations catch "part conflicts" before you waste millions in capital.
- [08:14] The Marshall McCall Test "Your outline is weak, and therefore you are weak." Alex breaks down the cognitive dissonance and "fear-based laziness" that stops founders from doing the rigorous math early on.
- [11:53] Transitioning from Startup to Growth The pivotal moment: realizing that your product is not what you’re selling—the entire business is the product.
- [12:38] The "One Column Model" Masterclass A simple, actionable framework to audit your business using three elements:
- Independent Variables: The inputs you control.
- Dependent Variables: The lagging indicators and outputs.
- Mechanics: The equations and "physics" that connect them.
Next Up: In Part 2, Alex moves from theory to the tactical math of "Units" and the "Blood" of business data.
Links & Resources:
About Very True: Hosted by Alex, Very True by Verisimo Ventures explores the honest, unvarnished stories of founders and the real problems they are solving. We look past the hype to find the truth in technology and entrepreneurship.
