Launching a successful tech startup is not for the faint of heart as it requires an enormous amount of hard work, dedication and business expertise. The majority of startups fail within a year of launching because the proper steps were not taken to increase the chance of success or the market just was not there. Leaders in the tech industry must endure many challenges to grow and sustain a startup successfully. The following characteristics are essential if you want to build a tech companies from the ground up.
Technology has exploded in last two decades. Founders of tech startups are responsible for harnessing that technology and using it to solve problems in a new and creative way. Mark Bowles, the founder of ecoATM, is a prime example of this characteristic. If you perform an internet search for “What is ecoATM?” you will find a company that solves the problem of people cluttering their homes with outdated, unused electronic devices. EcoATM has kiosks all over the country that allow people to recycle their old devices in exchange for cash. By offering a significant incentive that varies depending upon the value of the recycled device, the business encourages people to turn in unused electronics and declutter their homes. This innovative way of solving a common problem has made the company successful.
Passion will fuel your business in its early stages. You may not turn a profit at first, and it can quickly become discouraging to put in long hours with little to show for it. Your passion must be strong enough to fuel your desire for success. This characteristic will shine when it is time to pitch your idea to potential investors, as they are usually more apt to take a chance on passionate entrepreneurs. One way to fuel your passion is by giving your company a purpose. EcoATM does this by encouraging people to recycle.
You will hit many roadblocks during your journey to startup success. Some of these issues may happen as a result of financial instability, while others may manifest as prototype malfunctions. You will be turned down by some investors, so it is a good idea to have several lined up to pitch to. Regardless of how many setbacks you encounter, you must be able to persevere if you want your company to be successful. The hard work will continue long after your startup launches, so you must be prepared to navigate the business toward sustainability as it grows.
If you are convinced you have the next technological gold mine, you should lower your expectations. Regardless of the products and services your company offers, not everyone will like them. Instead of trying to please multiple markets to cater to everyone, identify your target audience and gear your advertising campaigns toward it. You may expect your startup to explode immediately after launching and to appeal to a wide variety of people, but this is not likely. Be pleasantly surprised if you achieve quick success, but never expect it.
It isn’t enough to just have a good idea for a new tech startup. If you launch a business without a clear vision for how the company will operate and scale, it is almost guaranteed to fail. You should have specific goals in place and a solid business plan developed to help you reach those milestones. This vision will allow the company to thrive in a competitive industry and help you navigate setbacks efficiently.
Running a tech startup is challenging, but these five characteristics provide founders with the tools they need to grow their tech companies. Cultivate these qualities if you are interested in launching a new tech companies.