3 Simple Steps To Startup Success

Do you know how many startups are launched each year?

According to findings from the GEM Global Report, the number is around 100 million.

That’s 11,000 new startups per hour.

In other words, new businesses are being launched at a rate of around 3 startups per second.

Despite a high number of new launches, a statistic that we’re all too familiar shows us just how few of those startups make it — A staggering 90% of those new ventures fail.

So, how can you make sure your new startup falls into the 10% that make it?

Although there’s no magic formula to startup success (otherwise everyone would be doing it, right?), there are three simple steps that will give you the best chance at building a successful business.

1. Get your product right

Before you start throwing money into a product, it’s essential that you take the time to ensure it provides genuine value to the intended user. This is the most important piece of advice I can give to anyone looking for startup success — it sounds so simple, but so many people get it wrong.

At the end of the day, you are likely to think that any idea you come up with is the right product. What matters, though, is whether the intended audience does.

So, rather than jumping into ‘production mode’ as soon as an idea has formed in your head, the first thing you need to do is validate your idea.

“Don’t find customers for your products, find products for your customers.” - Seth Godin

It doesn’t matter how you reach people — call, email, or meet face-to-face. Just make sure you speak to the people who you plan to eventually market your product/service to. Does your product/service offer value to them? Would it make their life easier? In other words, is there is a demand for the product/service you’re planning to sell?

Once you’ve established that your product can fill a real gap in the market, you’ll be able to establish a strong foundation for your startup and set yourself up to scale in the future.

2. Get your mindset right

Don’t be fooled by Insta-entrepreneurs and their overnight startup success stories. Building a successful business is not easy and the entrepreneurial lifestyle is not for everyone.

You have to be able to motivate yourself through it all because you won’t have a boss or a supervisor checking in on you. If you don’t do push through, you won’t achieve your targets.

You have to keep expectations realistic because the first few years of your journey will be tough. During this time you need to figure out what works, continuously refine your product/service to better suit the needs of your customer and build your brand.

You have to put in the work because the journey will make you quit, start again, change direction, adjust your product, make mistakes, break down and build up again. As long as you’re prepared to put in the work, you’ll be in with a shot.

You have to learn from your mistakes because they’ll give you the opportunity to better yourself and learn for the future. Provided you deal with any poor choices in the right way, they’ll be no more than small blips on a long journey.

You have to persevere because, as said by Rob Kalin, “The last 10% it takes to launch something takes as much energy as the first 90%.” Bad days (or weeks, or even months…) are normal, but the key to success is to continually bounce back and carry on.

Finally, you have to be versatile because, in your startup, you’re going to be everything from the receptionist to the marketer to the CEO. Flexibility and versatility are lifesavers in the business world, where unexpected challenges can pop up at any time.

3. Get your timing right

Another key element of achieving startup success that is often overlooked by so many entrepreneurs is timing. This can be broken down into two key areas.

Launch
A fatal error that so many new businesses make is not timing their launch right. Whether you jump in too soon or keep postponing your launch date for another tweak, missing that ideal launch time can set you up to fail.

Some people rush right in without planning things properly, which results in avoidable but costly mistakes. If your product is not ready, your customers will realise. You only get one chance to make a good first impression, so don’t rush. Make sure you create a fully functioning product that people can use, understand and evaluate. Once you’ve got it, then you can go to market.

The other side of this coin is those that wait too long and end up being beaten to the finish line by another competitor. Keep in mind that you’re never going to think you’ve got the perfect product. There will always be more you want to add, or change, or adjust… Fight the urge to keep changing your product. Get to your minimum viable product and then stop dawdling. You can’t make up for the loss of valuable market time!

Scaling
The other timing error that many startups make is premature scaling. Did you know 74% of startup failures are due to premature scaling?

If you’re thinking about growing your business, there a number of boxes you need to tick.

Before you look at taking your business to the next level, it’s imperative that you cover your bases in four key areas:

Firstly, you have to think about your finances. You need to make sure you have sufficient resources to scale. If not, it’s imperative you seek additional funding before you begin.Otherwise, you’re likely to run out of money during the process, which is a big issue.

Next, look at your marketing plans. How are you going to reach people during your first phase of scaling? Consider mediums, types of marketing and paid vs. organic marketing. Don’t worry about getting it perfect — create a strategy for yourself that you can adapt as you learn from your experiences.

The third step to consider is automation. There are so many programs out there to help you automate tasks and make scaling easier and more efficient. Think about data storage, marketing automation, CRM, organisation and time management. Streamline your scaling with the right software for your business.

Finally, you need to ensure your team is right. The people around you can make or break your business. Every person you choose to include in your startup journey is crucial to the success of your business. Their job role is going to be as varied as yours, so you need to make sure that they’re happy and able to take on a fast-paced, ever-changing role.

And there you have it. It’s no magic formula, but following these three steps will give you your best chance at startup success!

Thanks for reading — please 👏 if you enjoyed my post!

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I’m Zerin and I write about productivity and business. Read more of my work over on the eisedo blog. Follow me on Twitter @turkletonn

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