Over hundreds of people I have hired at Albert, the banking app I run, I have found a counterintuitive principle: you save money when you pay people more.
Building a successful company from scratch to scale is, at least statistically, a near impossible feat. It can only be done with exceptional people. Exceptional in their work ethic, their desire for growth through discomfort, and their clarity of thought and purpose. You must hire bright minds whose run towards difficult problems.
When you find talented, driven people, you realize that individual performance follows a log scale: an A player does 10x as much as a B player; B player 10x as much as a C player; etc. Hire fewer people, promote great ones very quickly, and pay them very well.
This post is the fourth in a series of posts on how to transform a fast-growing, money-losing company into a profitable one, without sacrificing growth.
Hire carefully, promote quickly, and pay the...