Did you know? Nearly 90% of startups fail. That means, for every 10 startups invented, only 1 single business succeeds. It’s a staggering statistic. But for many, the risk is worth the possibility of reward. Some of the most successful tech companies in the world, like Facebook, Apple, and Microsoft, all started as tiny startups with wild ideas. Now, they’ve each had their hand in shaping the world that we live in. The possibilities are truly amazing!
If you’re starting your own startup, it’s going to take a lot more than a crazy idea. Startups take time, money, and perseverance. You can’t be afraid of failure.
If you’re looking to launch your own startup and are wondering how to make it a success, you’ve come to the right place. Read on for our 3 top tips for growing a successful startup.
Develop a Clear Vision
Your company’s vision is its livelihood. Before you begin your startup, it’s imperative that you pinpoint your company’s mission. What problem does your company solve? How?
Once you have a clear mission in mind, you can work backwards to determine the steps to solve it. Break your vision down into clearly defined goals. Assign them timeframes and parameters. Break those down into individual steps.
Before you know it, you’ll have the basis for a strong and successful startup.
Make a Business Plan
A business plan is one of the most important documents that will be created in the formation of your startup. A business plan is like a blueprint for the future of your company. Not only will it be an important document to present to potential investors, but it will also take you through exercises that will be vital to your business. Be sure to include the following:
- Executive Summary: A high level overview of your business’s structure, offerings, team, and more. Potential investors and future partners should be able to read your executive summary and get a clear picture of your company.
- Company Description: Provide a more detailed depiction of what your company is. What problem does your company solve? How does it do so? Describe that here.
- Market Research: Market research involves investigation of two things: your customers and your competitors. By performing market research, you will be able to discern a) whether there is a demand for your offerings and b) whether the market is already oversaturated with supply for that demand. This can also help you ensure that what you’re offering is different from what’s already out three.
- Product or Service Overview: What exactly do you offer? How is it unique? How does it work? All of this information should tie in to your findings from your market research.
- Marketing: How will you get your product out there? What channels do you plan to use? Again, look to your market research for guidance. Take a look at your customers, the media they consume, and where they spend the most time, and then build a marketing plan to reach them in those places.
- Financials: This section will be especially important to future investors. You should include all pertinent financial information including: how much money do you have? How much money do you need? What are you seeking from investors? What equipment do you need? What do your forecast for sales for your first 6 months, 1 year, and 2 years?
Build a Strong Team
As a startup owner, you are nothing without your team. While you may have a brilliant idea, it’s worthless if your team can’t execute it.
The size and limited financials of startups makes building a startup team a unique challenge. Employees are required to wear a lot of hats and manage a number of ever-changing duties. Rather than looking for employees who have years of experience in extremely specialized skills, look for those who are sharp-minded and quick learners. A group of brilliant, determined people can accomplish just about anything.
Thoroughly vet any employees prior to hiring. Perform a thorough background check, including an MVR check. Ensure that you’ve armed yourself with the best team out there.
Furthermore, make education a central part of your company’s tenants. Constantly provide your team with management and job training. Give them the tools they need to expand their knowledge and allow them to explore new skills.