Don’t Obsess Over Competitors: What To Do and Not To Do When Creating a Startup
by Arina Smith Startups 26 November 2018
It seems like the old, standard way of going to college, getting a degree and then (hopefully) applying it to the job market is becoming second fiddle to other career avenues. In today’s climate fueled by technology and innovation, many millennials are taking the entrepreneurial route instead, opting to start their own business. This includes anyone who would prefer to control their own lives instead of being at the mercy of an unsteady job market. Yet in order to start a successful business, you must first have an idea and, more importantly, a plan on how to execute it. Here’s some advice on how to win at the startup game.
Playoff of your current skill set:
There is no need to start fresh from a subject you know very little about. Take what you do know or what you’re passionate about and build upon that. This idea may be snatched from your former career, your college major or your favorite hobby. The old saying, “Knowledge is power,” definitely applies here and your chances of succeeding will be far greater. Next, apply your knowledge by identifying a particular need that may be lacking in the current market. Translate the solution into a product or service that people are willing to buy.
Get your finances in order:
Now that you have a viable idea, it’s time to get the finances to back it. Before pitching your business model to potential investors, you should first establish a relationship with a banker or accountant. Using a platform that has integrations with a bank will allow you to generate financial data while giving your investors a clear, up-to-date view on how the business is tracking and the company’s true financial position. Cameron Chell, a serial entrepreneur and co-founder of Business Instincts Group, advises asking only for the number of funds you need to get the business up and running. As Cameron Chell explains, you can always do a second round of fundraising once the company has been established.
Choose your teammates wisely:
Your team executes your idea and also plays an integral part in your pitch to investors. It’s important for entrepreneurs to display their ability to recruit a solid team and inspire the team to develop a solid product. Investors want to see the brains behind the idea upfront, not as an afterthought. What they don’t want to hear is that there is still a missing link. Staffing a diverse team with separate roles and strengths is what will turn an idea into reality.
Stop focusing on what your peers are doing:
This is potentially the best guidance you can take when starting up your own business. Stop comparing your success to how your friends are doing. Be aware of the competition but don’t obsess over it. Quit checking social media to gain information on other startup’s means of success. By refocusing your energy on the things that actually matter instead of filling your head with anxieties on what everybody else is doing, you will find yourself focused on what you sought out to do in the first place- become a successful entrepreneur.