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Harvey defines its current stage as "teenage years"—past initial product-market fit but not yet a structured behemoth. This phase uniquely attracts talent excited by building scalable systems, filtering out candidates who prefer either pure ambiguity of seed-stage or the stability of large corporations.

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The deadliest startup phase is the 'sapling' stage: post-launch but pre-repeatability (under ~$5M ARR). Unlike the seed stage (planting) or scale stage (tree), this phase requires bespoke, non-scalable help to navigate the maze of finding the right customer and problem before the company withers.

There's an optimal stage for startup innovation. Companies are large enough for diverse customer feedback but small enough that product leaders are still interacting directly with clients. This tight feedback loop, where decision-makers hear problems firsthand, allows them to innovate faster than tiny startups (not enough data) or large corporations (too much bureaucracy).

In highly dynamic and unstructured startup environments, hiring for high potential ("slope") is more effective than hiring for deep experience ("intercept"). Experienced hires from structured companies often perceive the environment as chaotic and fail to adapt, whereas high-slope individuals see it as normal and thrive.

Early-stage startups thrive on rapid iteration. Seek hires who can 'get shit done at an incredible clip' and make decisions at '100 miles per hour,' even if some are wrong. These individuals, often 'rough around the edges,' are more valuable than candidates with perfect paper pedigrees from large tech companies.

Early-stage founders often mistakenly hire senior talent from large corporations. These executives are accustomed to resources that don't exist in a startup. Instead, hire people who have successfully navigated the stage you are about to enter—those who are just "a few clicks ahead."

Avoid hiring a growth leader with a big-name pedigree for your early team, as they are often unsuited for the necessary hands-on experimentation. Instead, seek young, hungry builders who are motivated by chaos and comfortable rebuilding their own work as the company's needs evolve.

The early days are about survival, but the mid-stage growth phase (years 3-10) is when founders are most likely to be swayed by outside investors and partners. This is the most critical time to trust your unique, hard-earned knowledge of the business.

High-growth companies create a virtuous cycle for talent. The faster a company grows, the more career advancement opportunities it creates, which attracts the best people. This influx of A-players then accelerates growth further. Conversely, stagnation creates a vicious cycle, repelling top candidates and making growth harder to achieve.

Scaling a company isn't linear. Founders first achieve Product-Market Fit. The next stage is "Company-Market Fit," building organizational structures for growth. Crucially, they must then cycle back to reinventing the product to stay ahead, rather than just managing the machine they built.

Startups first need 'machete wielders' to hack aimlessly in the jungle. As a path emerges, they need 'compass users,' and on a clear road, 'car drivers.' Salguero warns against replacing the early hackers with experienced 'drivers' too soon, as scaling companies need a mix of both grit and experience.

Startups in "Teenage Years" Attract System-Builders, Not Chaos-Seekers | RiffOn