Evolution to a new, better model
I see a model in the near future where people can join multiple companies almost instantaneously.
In this article I’m going to talk a bit about where I see things are going. And I think the future can be very positive.
Which is some news that I think a lot of people need to hear out there.
Because I’ve known a number of folks that joined companies and were then laid off after short periods of time a number of times just in the past few years. And i can see that they’ve kind of lost hope in the system.
When you spend 6 months hunting for a job and then finally get one… and are laid off a few months later.. it is understandable why a lot of people are starting to question the employee model.
Especially given that the stock market is doing so well. It’s easy to think… “wow… if i’m having such a tough time with the stock market at record highs what are things going to look like when the market falls?”
And so I want to share some ideas that I think will shed some hope on the situation.
There are a lot of smart people not doing much out there
I see it everywhere - really smart people sitting on the sidelines right now. They're job hunting, but let's be real - the job market is pretty screwed at the moment.
Traditional entrepreneurship isn't the answer for most of them either. Building something from scratch is brutally hard, and frankly, a lot of these folks aren't cut out for it. They're smart and capable, but they're not ready to eat ramen for two years while trying to find product-market fit.
Many of them have families and can’t take the risk. Many of them are more complementary players and not the one to start something on their own.
Some try to find cofounder roles at existing startups, but that market is very tough because timing is everything. It's like trying to find a spouse through speed dating - the odds aren't great.
There are a lot of startups that have traction that could use these folks, but don't
Meanwhile, there are tons of early-stage startups out there that have found some traction and are staring at multiple growth opportunities. But they're stuck.
Why? Because they don't want to start hiring people and taking on a bunch of fixed costs. This can end up draining their precious cash reserves and handcuffing them later.
Also when you pay a salary the responsibility for that person adding value often falls mainly on the founders. They need to make sure these new employees are contributing the way they hoped.
Because if they don’t… the employee is likely to just kind of stay quiet and continue collecting their salary. Which is not good for the startup.
There is friction to startups using these available folks
What founders really want are entrepreneurial people who can own an opportunity and run with it. I'm actually in this position right now with my side business, Reviv. I'd love to have some hungry entrepreneurs who are mainly compensated based on the value they create.
But how do you define and measure value?
As the person joining a company you’re going to worry that you’re not going to be fairly compensated for what you do. Whereas if you’re the founder whose startup they are joining, you’re going to be worried that you will need to give them far more than the value they added.
Enter AI. I think AI makes for a great arbiter.
It can have an overall view on how much value is in the company and how much value the new person adds. Then it proposes a mix of cash/equity based on that value and both sides need to agree.
Sounds a bit hard to do i know… but i think AI will soon get to the point where it can be trusted with such high value decisions soon.
And if it does a good job than a lot higher quality people will be willing to test the waters with this model. Rather than just look for a job.
Imagine if this worked…
Imagine a different world. One where if you're available, you can jump into almost any startup immediately. No lengthy interview process, no salary negotiations.
Instead of a salary, you're compensated based on the value you create. And AI evaluates everyone's contributions to determine what they receive.
Startup founders would suddenly have access to an endless supply of high-quality people with no fixed costs. They only pay for value created.
And unemployed folks out there would have an almost endless supply of interesting options that could potentially compensate them. They can dip their toes in the water and see if it is the right fit.
And if it’s not a good fit..then they make a fast exit and it’s not much sweat off anyone’s backs.
Think about how such a liquid market would help people find a better fit in terms of company and role.
Think about how many more growth opportunities founders could pursue.
Operating like this would require a Beast Method-like system
By this I mean that traditional companies are not going to be able to plug in people easily like this. You need to have a system that is more plug-and-play.
You need to be able to quickly give these new folks a way of owning an opportunity within your business and tapping the right resources to support them.
Without having to worry too much about a lengthy onboarding or their cultural fit.
Beast Method is perfect for this.
You just add them to your clickup space, align on what tasks to focus on first, and let them know how they tap other teams for support.
Transparency is the key to getting this to work in my view.
I think the future will look more like this
I think we're moving towards a world where full-time employment will be a rarity. Because only the really stable companies will hire full-timers and only for the most stable roles.
Things are just too competitive these days to not have this be the case.
Moats are being eaten up by new startups tapping AI and agility is the name of the game.
I mean just look at how fast companies lay people off these days. People are losing faith in the old system.
And so I think more and more folks will be like independent entrepreneurs who own certain areas of the business that they grow.
No more bs salary negotiations. No more fixed costs for startups. Just people getting compensated based on what they actually contributed and achieved.
Closing thoughts
The old model of "get a job, get a salary" is breaking down. The future belongs to those who can create value and prove it.
And the technology to track and measure that value creation is getting better every day. Soon, we won't need complex compensation packages or lengthy negotiations. The data will speak for itself.
This to me is the future of entrepreneurship.
Not everyone needs to be a founder. But everyone can be entrepreneurial within a system that properly rewards value creation.
Ken, I'm excited at the concept you laid out! I'm in the beginning stages with Reviv, and am already sharing with people I come in contact with. I'd like to talk with you about this.