7 STEPS TO SUCCESS FOR STARTUPS

By: Keith Hearn

Since the dawn of time, man has always wanted to augment his lifestyle. Whether it’s graduating from stone tools to fire or from agriculture to industry, growth has invariably been the primary focus of every human. The same can be said for today’s startups.

Thus, it is only fair that the most advanced species on this planet, at the most technologically advanced period in history, take this culture forward. The one issue that plagues the modern man is dissatisfaction.

There is an ever-present dissonance with what one expects and what he/she receives. It is no surprise, then, that startups are on a meteoric rise. There is a reason, after all, why Silicon Valley is idolized by millions, and why so many countries spend millions trying to develop their own iteration of the tech hub.

However, when you take off the rose-tinted glasses, a dire reality stares back at your face. Most startups fail to make past the one year mark. A majority of the remaining startups struggle for years to break even and eventually succumb to the market pressure. The few that do make it often lose their sense of innovation and start acquiring smaller companies to increase their portfolio. Only a handful of startups manage to stay relevant while keeping investors hooked on their business plan and customers interested in their products.

So, what secret sauce do these companies use to check all the boxes and succeed? The truth is it’s not about the sauce. It’s about the ingredients. Just as in programming, the right code isn’t the one that gives you the desired output for a set of inputs but one that can tackle any kind of input efficiently; startups aren’t about ticking a couple boxes and improvising the rest, they are about planning ahead of time and to be prepared at all times.

Contents [hide]

1 There are a few steps one can take to ensure the success of their startup:
1.1 Know your worth
1.2 Save your IP
1.3 Keep your eyes on the prize
1.4 Be lean
1.5 Understand your market
1.6 Be prepared to pivot but try to avoid it
1.7 Surround yourself with capable people


THERE ARE A FEW STEPS ONE CAN TAKE TO ENSURE THE SUCCESS OF THEIR STARTUP:

1. KNOW YOUR WORTH

A startup needs funds to operate and investors (or Venture Capitalists) are the ones who provide the funds. But, in order to do that, the investors need to know what the startup is worth. Interestingly, the investors are also the ones who determine the value of a particular business in the market.

Gauging your startup’s worth can be a tricky task especially when you’re just starting out, but it’s an important task nonetheless. Few are as fortunate as Twitter to have investors lined up without any real growth. Remember, even the micro-blogging site is struggling now. Sooner or later, the “growth bug” catches up to your startup.

Your value will not be defined by the data or facts as none exist in your case. However, you can let the investors know what you think you’re worth. As tempting as it sounds, glossing over important numbers to inflate the supposed value of your business can be fatal for the future of your startup.

Do your research, read up on similar companies’ value, factor in your location, and other such parameters. Having a financial projection for your product(s) will help sway the investors in your favor. However, it is not a replacement for actual data. Show them that there is a huge demand for your product and the capital will come knocking. You can also bring in someone with financial expertise into your startup to help ease the effort.

2.SAVE YOUR IP

 Having a good product isn’t enough. Due to the nature of the competition in this fast-paced world, the winner takes it all. That is exactly why saving your work from legal entanglements should be a priority. Always file for patents as soon as possible. As soon as your product has a workable prototype, file the copyright claim. The US patent system favors the first person (or company) to file the patent rather than the first person to conceive the product.

Filing the copyright doesn’t only thwart competitors from infringing on your ideas, it also instills confidence in your investors. Patent approval is a long and arduous process and can take up to two years to complete. Thus, filing the application is only half the battle won. You need to continue developing the product while your application is being processed. Also, keep the product (or design) in question out of the spotlight.

Intellectual Property (IP) is an important asset that you’re going to want on your side. But, it is not the be-all and end-all. IP is barely the means to achieve your actual target. Bill Gates is reported to have once said: “Intellectual property has the shelf life of a banana.” And it stands true. You must keep developing the product and again file for copyright as it evolves.

3. KEEP YOUR EYES ON THE PRIZE

It is very easy to deviate from the defining goal of the company. A tempting new technology may come along that sways you away from your ambition. Do not let that happen. Your target should represent the ethos that your startup is running on. The ambition of your goal should be set in stone. Every employee in the startup should be reminded of the goal and their contribution to it.

An agile strategy for achieving the goal is vital to the growth of your company. Lay out a detailed approach to attain your startup’s objective. Set short-term goals, which, in turn, help in accomplishing the long-term ones.

A daily achievable target must be set for every employee with a reasonable increase in productivity expected every month.  A team meeting should be set up every few days to establish what has been achieved and what remains. The areas in which things are going wrong must also be brought to the fore.

Read More >> https://finepoint-design.com/7-steps-success-startups/