Every day, we hear about the latest and greatest startup. They’re solving a problem we didn’t know we had, they’ve got a better way of doing something that was already working just fine. And yet, these startups fail more than 95% of the time.
What makes some startups succeed where others fail? That’s what this article is all about; here are six things that make for an awesome startup.
1) A Passionate Founder
You’re not going to stick with anything unless you’re really passionate about it. It could be your own idea or someone else’s but if you don’t have any passion for it, there’s no chance that your company will last long enough to attract investors. According to Sleek, “If you want to run a local limited company in Hong Kong, there are a few steps you need to complete”.
This is why it is so important that you need to be passionate about what you do. You are building something from the ground up and it is full of steps and complex processes. In order to succeed in anything you have to put in the hours, and startups are no different. If you’re passionate about it, then there’s nothing more motivating than your own drive to make something work for the sake of the company. Everybody loves working with passionate founders because they never give up – even when things get tough.
2) A Compelling Solution
The best startups are the ones that solve a real problem. Sure, you can come up with a solution to a problem that doesn’t really exist, but it’s going to be a lot harder to make that startup successful. Why would anyone want to use your product or service if it doesn’t solve a real problem? It may be a great solution, but if no one cares then it’s not going to make it very far.
3) A Good Team
It takes a lot of people with different skills to make a startup successful. You need engineers, marketers, salespeople, and so on. If you don’t have the right team behind you, then it will be difficult to get anywhere. Sometimes, though, startups go in different directions than expected and the skill-set that made them successful in the first place just doesn’t cut it anymore. That’s when they fail because there isn’t enough support in any one given direction. So when choosing a team for your startup, choose well!
4) An Understanding Of What You’re Getting Into
It sounds obvious but sometimes people launch startups without really knowing what they’re getting into. If you don’t know exactly what goes into making something work – especially when it comes to building a business – then you’re not ready to do it yet. Learning what goes on behind the scenes is essential before diving straight into a startup. So, make sure you’ve done your research and know what’s involved before making any big decisions.
5) A Great Design
As we all know by now design is important. To attract customers, stakeholders and investors alike it has to look good. It doesn’t matter how good the idea behind it is if no one wants to use that product or service then it’s not going anywhere. Clever designs – like that of Airbnb – are very appealing; people want to give them a go and see whether they’ll actually work out as intended. If there’s a great design coupled with a great idea, then you’re onto a winner!
6) A Clear Path To Profitability
This one is a little more difficult to achieve, but it’s definitely not impossible. Investors want to know that their money is going to be well spent and that there’s a clear path to profitability. This could be in the form of acquiring new customers or reaching a certain level of sales; whatever the case may be, it has to be achievable and realistic. Without this key element, it will be very difficult to raise any money at all.
A good startup is one that solves a problem, has passionate founders and employees, understands the commitment involved in making it work, has an appealing design with clear path to profitability. The six things that make up a great startup are all interlinked; you need them all for success. That’s why every single detail should be considered when launching your own business – or if not then there will undoubtedly be problems down the line. If you want help creating a strategy for your company from scratch, there are plenty of online resources that can help provide insight on how these different factors play into each other at various stages in the process.