Passion is fine. What else?

As I have been mentioning, every startup begins with a compelling vision and the unwavering passion of its founders. Vision and passion help deal with initial roadblocks, pushing the entrepreneur to find solutions to issues that may otherwise seem insurmountable.

But while passion might help us persevere and keep us motivated, it may not be enough to run a business successfully. For that, we need to connect with the external ecosystem, investors, bankers, mentors, and customers. And for them, their priority may lie elsewhere!

From my experience, normally, every external stakeholder looks at a startup and wonders about the unique problem it is solving. They are always looking for the genuine pain point or unmet need in the market that provides the foundation on which the startup has built its solutions. The more acute the problem and the more effective the solution, the greater the potential for success. That’s not to say that a startup cannot offer an existing solution; it needs something unique. Or else why will the stakeholders find any interest in a story they already know?

Once the solution is established, the next factor that helps the startup is to get market feedback. Achieving the right product-market fit is extremely important. If the solution does not resonate with the target audience, we can safely assume the future will be in the doldrums. For this, in-depth market research is indispensable. Thorough research helps startups fine-tune their product or service, tailor their marketing strategies, and make informed decisions. Startups must be agile and make course corrections if the market research calls for it.

Timing plays an important role in every solution the startup brings to market. Entering the market either too early or too late may decrease the chance of success. Several business solutions have failed in the past but come back to be a major hit. There are examples from the other side as well. The fact is that markets evolve, and customer needs shift. Those that can pivot easily have a higher chance of success. Startups should aim to launch only when they have a data-driven inference of a clear demand for their offering.

Ultimately, the rubber needs to meet the road. A brilliant idea is meaningless without proper execution. Startups may have a clear roadmap and planned achievable milestones, but they still need to execute the plans meticulously. For this, having the right team and mentors is critical.

This brings up another important factor that needs elaboration. I shall try to address it in my next blog.