May 22, 2017
In this golden age of entrepreneurship, startups are sprouting like mushrooms all over the world. Unfortunately, only a handful of them are built to last. Statistics show that the failure rate of startups hovers around 50.4 percent – with reasons varying from emotional pricing to premature expansion.
Among those that flourish are tech startups that embellish the streets of Silicon Valley and the tech hubs around the country. Sure, many of these ventures still fail, but the ones that survive and grow great companies. If you’re an entrepreneur, here are three important lessons you can pick up from tech startups:
Forget About Being Right, Be Better
Going to college used to be the only dependable way of acquiring knowledge and securing a stable future. College dropouts Richard Werbe and Jiaming Zhong, however, believed that conventional teaching can be improved by breaking down subjects into “microtutoring” sessions and making the delivery of lessons more efficient through the internet. Thus, Studypool was born.
According to Werbe, startups must “bring down the establishment” and be innovative as well as disruptive at the same time. The company’s goal was simple: to provide students with answers that are tailored to specific questions. Since Google isn’t doing an ideal job in providing reliable, academic information, Studypool makes sure students only obtain specific answers from qualified tutors.
As an aspiring entrepreneur, remember that there’s always a better way. You only need to identify what innovations are possible with today’s technology, and which ones can be pursued for profit.
The phrase “location, location, location” applies to every startup – not just for real estate companies. It doesn’t even matter if conduct your day-to-day business operations online. You need a position where you can obtain mentorship, forge potential partnerships, and be visible to prospective customers as well as venture capitalists.
Just observe how Silicon Valley and its 2,000 tech companies grow. Since the State of California banned the non-compete clause, former employees are free to experiment with new ideas and start their own ventures. The proximity of companies also accelerates the sharing of resources, knowledge, and connections.
With the help of co-working and office finders, it’s not too late to jump on the bandwagon and launch your startup in Silicon Valley. Still, you should also consider emerging tech cities like Oklahoma, Charlotte, San Antonio, and the nearby Oakland where the startup ecosystem is yet to reach its peak.
Focus on Your Vision, but Broaden Your Market
Pivoting problems are startup killers, which is why you should always set the identity of your startup as early as possible.
“Think about what you’re really interested in as early as possible, without diverting to anything else,” says Artem Kuharenko – founder of NTechLab which bested Google in the University of Washington’s MegaFace Challenge.
However, take note that sticking to your key ideas doesn’t mean you should limit your market. For example, Workflow is an app for Apple devices that lets users create a string of actions based on certain triggers. While automation is the name of their game, their product can be applied in virtually endless ways. And thanks to their innovation, the company received the “Most Innovative App of the Year” award in 2015 from USA Today.
That said, you should keep developing your core offerings – but think about how they can help real-world problems as well. Should you release a new line of products, try to keep it linked to the brand you are known for. Having a powerful vision statement can help you put your eggs in multiple baskets without losing your brand’s identity.
Read more about successful entrepreneurs here on Tech.Co
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