Hire with your head. And the trap of over-valuing industry knowledge.

A tech founder told me last week that he's burning cash on failed hires.  His mistake? He's been hiring for the wrong reasons.

Most founders do. And I used to as well.

They overvalue domain knowledge - thinking that if someone knows the industry or the technology or the accounts, they’ll succeed. They hire based on gut feel, looking for familiarity rather than fit.

The result? It's estimated that up to 25% of capital raised by startups is wasted on bad hires.

The biggest mistake? Hiring based on the wrong attributes.

❌ The best startup hires aren’t just those who’ve worked in your industry.
✅ It's the ones who can thrive in uncertainty, adapt to change, and grow into bigger roles.

Because the real cost isn’t just salary. It’s:
❌ Lost time – the months spent onboarding, coaching and managing someone who won’t work out.
❌ Rehiring costs – the cycle of firing, searching and replacing.
❌ Disruption – the impact on culture, momentum and confidence.

Hiring well isn’t just about filling a seat. It’s about building a team that can scale.

Some candid self-assessment.... do you hire with your head or your gut?