How to Avoid Common New Founder Traps in Business?
Hey Leader,
On September 5th, I had the chance to speak at Kasvua Yhdessä event inside Helsinki City Hall, in front of more than 300 entrepreneurs.
In my keynote, I told my story of leaving corporate life, starting again from zero, and building my own business around the 8 Steps to Growth Entrepreneurship framework.
The day was hosted by Anna Perho, with the main keynote by Saku Tuominen, who shared powerful insights on change and leadership.
After many interesting discussions during the day, I realized again that no matter the background, new founders run into the same traps.
Today I want to share them with you all and help you think bigger!
Fireside Chat at Helsinki City Hall 5.9.2025 (Photo: Jakob Johannsen)
The 3 Founder Traps
The Identity Trap
Your status is tied to your title, your job, and the story of your past success. People know you for what you have already done, and you define yourself the same way. This makes it hard to imagine anything new or more exciting. The identity that once gave you credibility quietly becomes the trap that holds you back.
The Burnout Trap
Pouring all your energy into the business without recovery. The drive that fuels your ambition ends up eroding your clarity, confidence, and capacity. Many ambitious founders hit the wall before they even see it coming.
The Freelancer Trap
Trading all time for money. The calendar is full, invoices are paid, but growth stalls because delivery always depends on you. It feels like progress, but it is really just another cage.
Mindset Shift
In my keynote, I reminded the audience:
“In the expert’s mind, there are few possibilities. In the beginner’s mind, there are many.”
Corporate careers reward the expert mind, precise, efficient, safe. But that same mindset limits you when building something new.
Entrepreneurship demands the beginner’s mind, curiosity, openness, and the courage to explore unproven paths.
Most businesses do start by selling a skill or time. That is normal and natural. It is how you get your first customers, your first cash flow, and build your momentum.
But the risk is staying stuck there, repeating what once worked, holding on to past success, and never moving beyond the trap of trading time for money.
Why Now Is the Best Time to Start
Despite these traps, there has never been a more exciting moment to become an entrepreneur.
AI: Small teams can now build at scale in weeks, while big companies struggle to even understand what is happening.
Social Media: Problems and solutions meet instantly. People can scroll, feel the pain, and purchase the answer in seconds.
Deglobalisation: Local production is gaining back strength, opening new doors for entrepreneurs who build close to their markets.
Companies like Lovable, Cursor, and Replit are giving solo founders the power to prototype software, content, and creative products in days instead of years.
The barriers to entry are collapsing. What once required a corporate team and a multimillion budget can now be done by a single entrepreneur with curiosity and courage.
And let’s not forget visibility is a major challenge for every small business. Without being seen, no one can buy from you, support you, or join you.
Mika Pyhämäki Keynote in Helsinki (Photo: Jakob Johannsen)
Founder’s Freedom Step 4 – Design Your Scalable Product
In the Founder’s Freedom Blueprint, Step 4 is all about creating the engine of your business.
As a corporate professional, you may have spent years selling or delivering products created by others. Designing your own is a new skill, but your ability to understand customers and communicate value gives you a strong foundation.
A scalable product is built to solve a specific problem and deliver repeatable value without being tied to your hours. Recurring revenue is the result of recurring impact.
Start small. Your MVP does not need to be perfect. Solve one problem clearly, prove people will pay for it, and let those first customers become your references. Early traction builds confidence and credibility, while systems and automation make the product repeatable.
Product creation can feel intimidating, but it is also where your creativity becomes leverage. Your story, experience, and perspective are assets that help you stand out. Protect your creative energy and use it wisely.
That is why I wrote my first eBook in summer 2025.
Setting Clear Milestones
One practical way to bring clarity is to set measurable revenue goals. Start by asking: what do I need to sell, at what price, and in what volumes to hit the next milestone?
To reach €100K ARR, you might sell 50 units of a €2,000 product or 100 subscriptions at €1,000 each.
To reach €300K ARR, you need to either increase volumes, introduce a higher-priced tier, or both.
To reach €1M ARR, you must think in systems: multiple products, recurring models, and repeatable acquisition channels.
Once you have the math, create a simple plan to fill the gaps. The exercise turns vague ambition into a concrete path.
Looking Ahead: Product-Market Fit
Designing your scalable product is only the beginning.
The next challenge is validating Product-Market Fit and, even more importantly, Product-Market-Founder Fit.
Because it is not just about having a product the market wants. It is about building something that also fits you as the founder.
That is where real growth begins.
And it will be the topic of next week’s Focus Forward.
Mika Pyhämäki Keynote 5.9.2025 in Helsinki (Photo: Jakob Johannsen)
Conclusion
As I looked out at the faces in City Hall, it was clear: some were stuck in identity, others burning out, many trading hours for money.
Try to recognise the trap you are in, or the one you are heading towards.
I have often said that business growth is often the result of the leader’s personal development. You should not skip the inner work.
Every system you build, every product you launch, every revenue milestone you hit, it all requires you to grow first.
Big thanks to Business Helsinki for having me on stage on 5.9.2025. I look forward to bringing my energy and story to your event too. If this resonates and you want me to share these insights with your audience, reach out.
To your freedom,
Mika Pyhämäki
