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Kathy Larchian is the co-founder of Pensa, a Brooklyn-based design and invention firm she started with her husband, Marco Perry, a mechanical engineer and industrial designer. A few of their innovations include the first-ever public solar phone chargers, which were adopted by New York City parks, and the ultimate urban bike. Larchian runs the business side of the agency, managing everything from marketing and business development to the creative team.
Larchian put herself through much of undergrad and all of graduate school (twice) by doing a variety of odd jobs. But it was while pursuing an MA in anthropology and working as a studio manager at a small product design firm that she realized how much she enjoyed the challenges of running a creative business. After a few years, she transitioned to a much larger design firm and successfully grew that business. It was there she discovered that running a creative firm was her passion.
Larchian and Perry started Pensa in their living room just four months after having their second child. “At the time, Marco had been running his own small engineering consultancy, but was feeling frustrated,” Larchian said. “I could see the huge potential in front of us. I urged him to close shop and start a full-service design firm with me. After much convincing, Marco agreed to take the leap, which seemed no crazier than having an infant and a toddler while working full-time and earning an MBA at night! Pensa is now 11 years strong and the business itself is my greatest achievement. I’m incredibly proud of everything we’ve created.”
A few of Pensa’s latest projects include One Drop, a Bluetooth-enabled blood-glucose-monitoring system to help improve the lives of diabetics, and goTenna PRO, a military-grade device that helps everyone from firefighters to natural disaster rescue teams communicate off-grid, without cell or WiFi service. Pensa also just launched the DIWire PRO, the first-ever desktop wire bender, which transforms digitally drawn curves into actual bent wire with professional-level precision, allowing rapid prototyping and short-run production. Already, the DIWire has been adopted by MIT, NASA, and the Smithsonian Institute.
Recently, Larchian and Perry have founded and begun leading mentoring meet-ups for local entrepreneurs called Pancakes* with Pensa, as a way to help other people realize their life purpose. “We structure the meetings so that the group immerses itself in conversation, advising each other on everything from manufacturing and scaling to user-testing, fundraising and beyond. Through Pancakes*, we help entrepreneurs take their new businesses and product ideas to the next level. Already we’ve helped over 50 startups.”
The top entrepreneurs that Larchian and Perry have seen succeed follow these crucial tips, she said:
- Stay laser focused. You will be flooded with the many different aspects of moving your business forward. Do not lose focus on your goal.
- Be hard-core honest. And willing to make changes when something isn’t working. There’s a lot to the adage: “The best-laid plans of mice and men often go awry.” Expect that circumstances will change and you will have to adapt your plans. In design, one of the first hard lessons is learning how to give and accept constructive feedback.
- When fundraising, only take what you need. Hard goods are expensive to produce. They take an average of 18 months after conceptualization to launch, and usually require inventory. But the larger the ask on fundraising, the higher the investor expectation of a fast—and potentially unrealistic—return. The process for hard-good development and production takes time by necessity.
- Get out there and get talking. Sure, reading and listening to podcasts are great to learn about other business ventures, but to really apply these stories to yourself, you need to be able to ask questions and learn more. What worked for one startup will not necessarily work for another. That’s why meeting other entrepreneurs and sharing experiences is a must.
- Channel your inner chops. Beyond the startup idea itself, successful entrepreneurs must have solid attributes to push their businesses forward, whether it’s technical brilliance, marketing chops, sourcing relationships, or deep knowledge and experience in their industry.
- Own your decisions. Surround yourself with knowledgeable and capable people, but remember that even when someone has advised you, you still are responsible for your decisions.
The successful startups Larchian has worked with are quick to recognize and learn from their mistakes. But the three most common—and detrimental—mistakes she says that she has seen entrepreneurs make include:
- Leadership that lacks expertise and passion. We’ve had people come into our office with dreams of creating “The next Uber of….” But an idea, no matter how good, is not a business. To be successful, you must have a personal strength—whether it’s strategy, relationships, technology, or skills—to actually build a successful business. Additionally, if you’re only chasing the money without a passion for the product, it never works. Startups are so hard to get off the ground that if you lack passion you will never survive the hard times.
- Unrealistic or insufficient resources: A common mistake is not properly accounting for the time and money it takes to launch a new product. A typical timeline from concept to shipping is 16 to 18 months. Too often aspiring entrepreneurs come to us with a great idea and promises to ship within an unrealistic timeline, which sours the relationships they’ve made.
- No market or too niche. It’s a huge red flag when we see entrepreneurs with a product idea that’s really just for them. A market of one is too niche. It’s important to find out what people really value. The key? You must talk to your potential customers. And remember that your actual competition is not always a comparable device—it’s the alternative to not using your product. Often it’s not what you think. For instance, for DIWire PRO, our competitor isn’t a large-scale CNC machine; it’s a pair of pliers.
