How to Launch A Microstartup
How much Cash Will You Need?
We often see the news that a huge startup just got funded for millions of dollars or that a startup just got acquired by a tech giant for billions. Some of these startups may seem simple on the surface but, in reality, require a massive amount of funding, team members and a large amount of capital burn to get it to the stage of profitability.
Unfortunately, most startups will never get to that scale, yet many entrepreneurs aim towards these massive valuations as their ultimate goal.
What is a microstartup
Although there isn’t a ‘real’ definition of what a microstartup is, they often have a few attributes that make it one including:
- They are usually run by 1 to 5 people maximum
- They require only a small amount of capital to get started (so bootstrapped)
- Usually, the goal is to make some kind of revenue from it
Often, microstartups are set up to scale without the need for large teams and to produce income for its creator. These ideas often help tackle one major problem that users want to solve and are willing to pay money for.
Look to solve a problem you, a friend or someone around you has
Your goal is to figure out an easy problem people are willing to pay money for. If you look into the products in the Twitter profiles of the two previous entrepreneurs, the problems they solve aren’t world-changing but rather annoying ones that people are willing to take their wallets out for.
The goal is to create almost multiple sources of income by solving various problems separately. This could be in the form of subscriptions, ad revenue, or other sources.
This means more than often, software, apps or websites are a great way to help scale multiple products in your portfolio.
Does that mean I have to be a techie?
Well, it would help, of course, to be technical so you can build projects out, but there are plenty of ways to build successful simple applications without the need for technical knowledge.
We can help you build your Startup!
Mail us contact@iconicompany.com
