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Nathan Kontny

About Nathan Kontny

I like to make stuff on computers. CEO of Highrise, CRM Software.

Why are some people so good at persisting?

Nathan Kontny
Nathan Kontny wrote this on 13 comments

By 1933, at 22, a Taiwanese-born entrepreneur had built a successful clothing business importing socks from Japan. Six years later, he moved to Japan, and his company was booming. During World War 2, he expanded his business empire to include selling slide projectors to the Japanese government for all the training they were doing during the war. And he kept expanding into other products – like charcoal mining and air-raid shelters.

The war was good to him, financially, for a time. Eventually, he found an accounting problem with one of his companies. The government was giving him raw material to manufacture engine parts, but inventory was missing – probably being sold by an employee on the black market.

He went to the Japanese military police to get help investigating. But they arrested him, and put him in a military prison where he was starved and tortured. Released 45 days later, the torture and starvation had taken its toll. When he finally recuperated, Japan had lost the war. The economy was in shambles. His factories and businesses were destroyed. He had little left.

But he started again. This time buying real estate people were now selling off at huge discounts. In just a few years, he was sitting on a million dollar real estate empire. His experience with starvation and inadequate food in prison inspired him to start a food business. He began paying young kids to collect sea water, which he’d evaporate, then sell the remaining salt.

But then, the occupying American force arrested him for tax evasion on the $50 a month he was paying the young kids – an amount he claimed was meant for their college scholarship (a non-taxable expense). He countersued, but the lawsuit dragged out, leaving him stuck in prison again, this time for years.

He was eventually released with a clean record, all charges dropped. But the government had already confiscated and sold off everything he owned – all the real estate, the salt company, the charcoal mine, his home. He was flat broke.

So he started again. He helped start a new bank, which got off to a good start. Except the company executed a number of bad loans. And the bank was forced to file bankruptcy. Depositors went after what little he had begun to accumulate.

So he started again. He still had a strong urge to create a food company. He turned his tool shed into a makeshift laboratory, and worked for a year trying to invent a new food product. Experiment after experiment failed.

But in 1958, at the age of 48, this entrepreneur finally hit on an idea that eventually became a company worth 700 billion dollars on the Tokyo stock exchange.

Momofuku Ando invented instant ramen noodles. Ando’s story is an inspiring tale of perseverance. And yet, I know most people reading this discount the tale: Ando possesses a willpower most of us will never have. We might be a little inspired by Ando, but we can’t possibly imitate his perseverance.

But, I don’t think that’s true. Ando’s story goes much deeper than that.


Why do kids drop out of college? A lot of reasons. Academic, monetary, even legal. It turns out though, there’s something much more fundamental.

Vincent Tinto is a professor at Syracuse University. He’s well known for his theories on students’ persistence through higher education. His research produced what’s known as the “Model of Institutional Departure”. He’s figured out why kids don’t succeed in college and dropout.

Tinto’s model informs us that, above all else, college is a transition from one community to another. Our success at college depends on how well we integrate ourselves into that new community.

What happens if we go home every weekend, to visit high school friends and sweethearts, instead of making friends in our new community? We don’t integrate. We don’t get help from new friends going through the same thing or academic advice from new mentors. Instead, we tend to drop out.

Tinto’s model has proven incredibly useful in improving how we educate, not just undergraduates, but even remote learning programs, and classes for adults continuing their education. And it extends far past education in describing how people persist.

The model wasn’t even unique. It was in large part derived from a model about suicide created by Emil Durkheim in 1897, who found that suicide rates were dependent on the group and society people found themselves in: if people fully integrated into their groups and communities, suicide rates decreased.

If people weren’t alone, they persevered.


While Momofuku Ando was in military prison camp the first time, a fellow prisoner, who Ando befriended, was released. Ando asked him to contact another friend – a lieutenant in the Japanese Army – who eventually arranged for Ando’s release. If it wasn’t for those two friends, Ando would have likely died in prison.

Then he started his real-estate empire. But that wasn’t even his idea. Another friend, Fusanosuke Kuhara, an entrepreneur who helped create what would become the company Hitachi, mentored Ando. His advice when Japan’s economy was ruined after the war? “Buy all the cheap real-estate.”

And when all of that fell apart, and Ando found himself completely broke but still able to start a bank, it was because he still knew enough people who gave him deposits to begin that bank.

And with instant ramen, he is indebted to the understanding of his wife who let him continue to work and chase his dream. It was her idea to create a laboratory out of their tool shed. And it was studying her cooking that actually gave him the idea how to create instant ramen.

Ando’s persistence didn’t come from suffering all by himself. It came from the people he surrounded himself with.


As I look back on the things I’ve accomplished in my life, I can point to obstacles and paths where I might have given up or not started at all. Then, I see the people who gave me a little nudge or lift to get to a better place.

When I wanted to start my first company Inkling in 2005, I applied to Y Combinator, an early stage investment program. Trouble was: the person I was originally going to apply with backed out at the last minute. And Y Combinator often requires its companies to have more than one co-founder.

This would have been an easy place to have just given up. But I had a lot of loose ties to other people who I started reaching out to. I thought of a friend, Adam Siegel, who I hadn’t spoken with in awhile, but who had mentioned a year previously over lunch that he was looking to create a new business. He might be game. And one lunch later, he was on board with my new business idea. We applied to Y Combinator together, got in, and away we went.

Years later I was trying to figure out my next project. I remember a lunch with another friend, Andrew Wicklander. We get lunch every 12 months or so. After a chat about how much we missed Basecamp’s Writeboard, I had the motivation to commit to something that became a pretty successful software project called Draft. And only successful because a lot of other loose connections and friends helped me spread the word.

With Draft, I had emailed a friend I’d stay in touch with every so often: Would he help mentor me a bit with Draft? And he did. And all that turned into him, Jason Fried, asking me to take over a software project he had started – Highrise.

I’ve gotten a lot of help from friends and loose connections I’ve cultivated over the years. And what I’ve found is that it doesn’t take becoming some schmoozing, glad handing, awkward-networking-event-attending extraordinaire. I’m one of the most introverted people I know. If there’s a conference, I’m in the back row so I can be the first to leave. If there’s a party, I’m probably not at it, or was there early and left before you even showed up.

But it isn’t hard to track the people you meet in something like Highrise or a notebook or even index cards. And keep those loose connections alive with an occasional email, coffee or lunch. Just think of all the people you haven’t heard from in a month. What’s stopping you from a just sending a quick: “How’s it going?”

And finally, don’t be afraid to be honest with all those connections and actually ask for help. Too many of us, especially those running businesses, suffer in isolation. While we create and run businesses, we tend to hide the pre-success from friends and people who could help. Why? Because pre-success can feel a lot like failure. It’s often not fun finding and keeping those first customers.

We’re told to fake it till we make it. Nonsense. I can’t believe how many people tell me how well their company is doing, and three months later it’s out of business. If only they had shared their challenges, maybe I or someone in their network could have helped.


On January 5, 2007, Momofuku Ando died from heart failure at the age of 96. Again, we have a chance to see how good Ando was with surrounding himself with people.

6500 people attended his funeral. It was held at a baseball stadium. It was invite only.

Stuck again

Nathan Kontny
Nathan Kontny wrote this on 13 comments

In 1949, Earl Bakken and his brother-in-law Palmer Hermundslie started a medical device repair shop in Palmer's garage. It was a terrible place to work – freezing in the winter, stifling in the summer.

We used a garden hose to spray water on the roof in a not especially successful attempt to cool the place down a few degrees. At least once during those early days, the garage was infested with flying ants.

Unlike your typical "successful" startup garage stories, they were in that garage for the next 12 years. In their first month of operation, they earned a whopping $8 of revenue. Even in 1949 money, that wasn't good. And, for the next several years, they just kept losing money.

In 1957, a chance encounter with Walt Lillehei, a heart surgeon desperately looking for a way to keep his patients alive during blackouts, led Earl to invent the world's first battery operated pacemaker. Earl and Palmer's company, Medtronic, would become one of the leading biomedical companies of our time. They invented the pacemaker industry. And for the next 30 years, dominated the market.

But by 1986, their company had fallen from a 70% market share to 29%. Despite spending many millions on R&D, the company couldn't compete anymore. The company was stuck again.

Could someone save it?





Mars, similar to Earth, rotates around its own axis every 24 hours and 39 minutes. And when a solar-powered rover lands on Mars, most of its activity occurs during Martian daytime. So engineers on Earth studying Mars rover data, adopt the ~25 hour Martian cycle. Laura K. Barger, Ph.D., an instructor at the Division of Sleep Medicine at Harvard Medical School, wanted to know what kind of effect that has. Does 39 minutes really make that big of a difference?

What she found from her studies was that NASA engineers who could correctly sync their own wake/sleep schedules with the 25 hour day did fine. But they had to make a concerted effort to adapt using countermeasures – take the right naps, alter their caffeine intake, use light exposure, etc.

But those people who couldn't adapt, or didn't bother to try, suffered significant performance problems from fatigue. She also found that on the first Mars rover mission, The Sojourner, engineers were so exhausted after a month that they formed what NASA managers called a "rebellion" and refused to work on Martian time any longer.

We spend billions of dollars on space exploration and engineering, lives are at stake, and simply getting our circadian rhythm synced correctly with our tasks and with our team could make or break an entire operation.

It underscores the importance of what appears trivial: achieving the right rhythm.





In 1987, Mike Stevens was assigned to be vice president of Medtronic's product development. When he looked at what was happening at Medtronic, he noticed that there were actually quite a few good ideas in the pipeline. But when they were just about ready to launch, a competitor would spring up with a similar product. Medtronic would delay the launch, debate, discuss, and try to figure out a superior version to launch instead. The company was in a cycle that led to a decade of no new products.

Steven's solution was incredibly simple. He put the whole company on something he referred to as a "train schedule". He and his executives set dates far into the future for when new products would be invented and launched.

I chose that phrase "would be invented" carefully. Because these weren't product ideas they already had and now just needed development. They didn't even know yet what they would develop and launch – just that they would launch something, anything, on schedule.

The effect was tremendous. The company could still debate and plan, but employees knew decisions needed to be made by a certain date or else they'd miss the train.

Medtronic's market share climbed back steadily from Steven's promotion date, and in 1996, they were back above 50%.





Years ago, I was sick of not having a bigger audience around my writing and software products. My Twitter account was stuck at 200 followers. And I didn't know yet what to improve, how to differentiate myself, or how to market my products better. So, I committed to writing and publishing at least one blog post every 7 days. That's it.

The first post, crickets. The next post, more of the same. And the next and the next. Very few people read what I was writing. But the rhythm got me through the points where many would have given up. And to the points where I started getting better.

And years later, I had gotten so much better that hundreds and then thousands of people began reading my blog posts at Ninjas and Robots. The new audience helped me launch a product, Draft. But of course, I had a familiar feeling of being stuck with Draft, writing software amongst a sea of other writing software.

I had no idea how I was going to compete, what I was going to build, how I was going to market the thing. But I did the same thing I did with writing, I committed to a cycle of launching as many new features and improvements as I could every few weeks. That's it. But the momentum fortunately caused a lot of excitement.

Some folks even compared it to Christmas :)

No matter what my revenue looked like, or how terrible my user growth might be, I knew I had to release something. The rhythm trumped everything and kept propelling me forward.





Back in February of 2014, 37signals announced they were renaming themselves Basecamp to focus on their project management software. They would look at selling off their other products, especially their second most popular product, Highrise, a small business CRM tool.

You can imagine what that kind of announcement did to customer growth of Highrise. Even worse, as soon as the announcement was made, more than a few competitors took the approach of putting up mini-sites that read: "Goodbye Highrise. Highrise is shuttering; here's how you migrate your data to us." Highrise wasn't going away, but that didn't stop them.

So when Basecamp decided to spin-off Highrise as a subsidiary, I faced quite a bit of negative momentum as Highrise's CEO. But this looks like a challenge previous versions of me has faced before on a smaller scale.

On day one, I established a train schedule – we'd make major announcements on a regular basis. If something isn't ready, it misses the train. But an announcement is going out; something better be on it.

I didn't start with a big team. It was just me and one more developer, Zack Gilbert, but we were going to ship whatever we could ship in one month, and make a big deal out of it.

It wasn't an announcement filled with very big ideas or changes. We only had 30 days to begin learning a large code base, and had plenty of other tasks and support requests to handle. But we had a schedule to keep.

And our first announcement went out. Then another one month after that. And then another. Now with a bigger team, and even more experience with the product and advice from our users, the announcements are getting more interesting.

The result? Highrise HQ LLC has only technically been in business a little over 3 months. But our rate of customer growth has increased by 39%! And we're seeing growth numbers that look a lot more like what the numbers were before Basecamp made their announcement.

It's far too soon to proclaim Mission Accomplished, we have many mountains to climb still and plenty of low points along the way I'm sure, but it's apparent what kind of effect a rhythm can have on creating a product, syncing a team, and communicating with customers. And things are starting to look a bit familiar :)

Monsters and Thieves

Nathan Kontny
Nathan Kontny wrote this on 9 comments

Good artists copy; great artists steal.
-Picasso

A famous quote about creativity often attributed to Picasso. But what can we actually learn about creativity from studying thieves? And did Picasso even say it?

Happy Halloween! I haven’t cared for ages. But, now I have someone in my house like this. My 5 month old ladybug :)
I find myself at the nearest drugstore constantly buying diapers, and I can’t help notice the holiday on sale. Candy, makeup, masks. Especially the classic: Frankenstein.
Most of us don’t realize our use of Frankenstein’s name is wrong. Frankenstein was the name of the scientist, Victor Frankenstein. The monster didn’t have a name.
In the book, he’s called monster, creature, fiend, even devil. If anything, the monster’s name is Adam.

I am thy creature: I ought to be thy Adam, but I am rather the fallen angel, whom thou drivest from joy for no misdeed

-The “monster”


But the big thing most don’t realize is that the story of Frankenstein was written by François‐Félix Nogaret.
Wait that doesn’t sound right. Wasn’t Frankenstein written by Mary Shelley?
Julia V. Douthwaite, a professor at The University of Notre Dame, recently uncovered a story by French author François‐Félix Nogaret, written years before Mary Shelley was even born. The story is about an inventor named Frankenstein who creates an artificial man.
Mary Shelley stole the idea of Frankenstein.


Cars were supposed to be the solution to lost or stolen horses.

When I leave my machine at the door of a patient’s house I am sure to find it there on my return. Not always so with the horse: he may have skipped off as the result of a flying paper or the uncouth yell of a street gamin, and the expense of broken harness, wagon, and probably worse has to be met.

-An excited new automobile owner from 1901, found in the book Stealing Cars


Instead, cars have been the object of thieves attention since they were first invented. Motor vehicle theft, also more popularly known as grand theft auto (amongst police and video game playing teens), is an enormous problem and a multi-billion dollar industry for thieves.
By many counts, a car is stolen in the US every 30 seconds. Of those stolen, only about 12% are ever recovered. And the problem is all over the world. 1 in 6 cars on the road in the Czech Republic are stolen vehicles or contain stolen parts.
But today, with the advent of Vehicle Identification Numbers (VINs), a stolen car isn’t that valuable sold on its own. If you had a stolen car and changed its plates, its VIN is still etched or stamped onto 20 or more pieces of your car. The dashboard is the obvious place you see it. But it’s on the engine. The doors. Some cars even have the VIN etched onto all the windows.
And so, a stolen car is easy to identify. As a whole.
Professional car thieves know that as soon as you steal a car, your next immediate task is to get it to a chop shop. A chop shop is an illegally operating garage that specializes in taking a car and almost literally chopping it into pieces. In less than an hour, a stolen car is chopped. Seats, windshield, airbags – every individual item is removed. Things with VINs are dumped, destroyed, or melted down.
Now, thieves have extremely valuable parts on their hands. Wheels, entertainment systems, air bags – all can go for hundreds to thousands of dollars on their own. Even melted down. A catalytic converter contains platinum going for $1500 an ounce.
And in their sale, they can’t be traced back to the original owner or the crime.
Professional thieves have figured out that there isn’t much use to stealing and reselling an entire car. The value is in deconstructing the car, and utilizing the individual pieces.


Many people also don’t realize Mary Shelley’s Frankenstein is subtitled “The Modern Prometheus”, as the subtitle doesn’t appear on modern editions of the book.
Prometheus is a tale from Greek mythology, probably 3000 years old. Some versions of the myth have Prometheus as the architect of mankind, fashioned out of mud and fire. Shelley’s monster was created with flesh and lightning.
Shelley didn’t just steal from Nogaret. She stole pieces of work from a countless number of places. Like Greek mythology. Like Milton’s Paradise Lost, an alternative genesis story about Adam, God, and Satan.

Like Adam, I was created apparently united by no link to any other being in existence many times I considered Satan as the fitter emblem of my condition; for often, like him, when I viewed the bliss of my protectors, the bitter gall of envy rose within me.

-The “monster”


Like Coleridge’s The Rime of the Ancient Mariner. Mariner and Frankenstein both use a similar narrative technique of one character telling another character the story, and interrupting the narrative to make sure the reader is reminded of that fact.
She stole from Giovanni Aldini and Johann Konrad Dippel who were scientists in the late 1700s who were trying to sustain or create new life with electricity and chemicals.
Shelly even stole narrative and character ideas from her own mother’s novel, A Vindication of the Rights of Woman.
But you wouldn’t know these things unless you did a lot of research and could spot the elements. Nogaret and Shelley might have a main character with the same name creating an artificial man, but that’s largely where the similarities stop. The stories are completely different.
And that’s because Shelly did what these car thieves excel at: break things down, and find new value in the parts.


Amateurs tend to be poor at imitation. When they see an idea, they clone the whole thing and offer it as their own work. The pro knows to chop these things into pieces and find new uses for them.
One of my favorite books to recommend to developers who feel like they can’t design is Jarrod Drysdale’s Bootstrapping Design. He outlines a way novice web designers can do what Mary Shelley did:

  1. Find 3 sites that inspire you.
  2. Steal the layout from one, color scheme from another, and typography from the third.
  3. Combine those three, and you’ll realize you’ve created something original.


I’ve made something called Draft, software to help people write better. The homepage has served me well in getting traffic and getting people to sign up:


But it’s actually a combination of things I’ve stolen. The font I stole from Field Notes, these beautifuly designed notebooks from Aaron Draplin and Coudal Partners. They introduced me to Futura, and I fell in love.
The layout was stolen from Google. Simple, centered, almost nothing on the page, just click the button and get started.
There’s a little animation to the headline that drops in – stolen from DuckDuckGo’s previous design, a great search engine built by Gabriel Weinberg. Their logo had a similar animation when the page loaded.
Even the blue button came from some place I can’t remember now. But I was on a site, saw the blue they were using, and decided it would make a great link and button color.
On and on, I’ve deconstructed these other sites into pieces and mixed them together into something new. Something original.
Now, I’ve recently taken over as the CEO of Highrise, and as we look at things to improve and redesign, I see us doing the exact same thing.
I hired the very talented designer, Wren Lanier, and the first thing she asked me was: send me all the sites and designs that inspire you.
And as you’ll see, when we launch our new homepage soon, it will come off as original, because it is. But lots of elements on those pages are because Wren or I liked a button here, a color there, a font somewhere else.
Here’s an illustration that you might see soon on the new Highrise homepage, describing Highrise as a “Secret Weapon.”



A beautiful original “shaken” from a designer and artist I hired, Brad Colbow, but you can spot where inspiration came from.


That quote “Good artists copy; great artists steal,” is often attributed to Picasso. But that’s not what he actually said. According to The Quote Investigator, that’s Steve Jobs’ version as he was trying to quote Picasso.
Picasso has also been quoted as saying:
    Bad artists copy; great artists steal.
But a 1974 book, mentioned William Faulkner said:
    Immature artists copy, great artists steal.
But it was T.S. Elliot who in 1920 wrote:
    Immature poets imitate; mature poets steal.
And it was Alfred Tennyson in 1892 who wrote:
    That great poets imitate and improve, whereas small ones steal and spoil.


All these great artists, Jobs, Picasso, T.S. Elliot, stole parts, added their own, and inspired the next – just like professional car thieves, clever enough to deconstruct the originals, and use the pieces to create something much more valuable.