It takes a special type of entrepreneur to make a startup succeed
Based on our experience, the startups that thrive and outgrow the startup stage have some characteristics in common.
We are often asked what it takes to be successful in the marketplace. Here are the qualities that lead to startups not only surviving but thriving:
A reliable entrepreneurial team
A strong management team is a key to success. It must have the correct mix of experience and skills to sustain a bold entrepreneurial energy and commitment to make the company succeed.
The ability to exponentially grow
The startup must have products or services that are scalable to meet the needs of markets beyond a niche or small geographic area.
Proving the demand for the product
The company must be able to identify and quantify the need they are trying to meet and show that there are many customers for their solution who are willing to pay for what they are offering.
Challenging the status quo
A startup’s ability to succeed depends upon having the resources to bring forth a new way of doing things. It must also challenge its sector’s status quo.
Successful startups will show strong business momentum, including strong initial sales, repeat customers and a growing customer base.
Distinctive selling proposition
The company must show that it has a competitive advantage in the long run. To achieve this, they must demonstrate why its product or service is substantially better for its customers than the choices they currently have.
If a company plans to sell a product, it must develop an MVP (Minimum Viable Product). It must be is suitable for commercialisation.
For long-term success in a product market, a company needs technical knowledge and defensible intellectual property. To keep its unique position in its sector, a successful startup needs to protect its intellectual property with copyrights, trademarks or patents.
A credible exit strategy
An entrepreneurial company needs to develop an honest plan for investors to realise their profits, either through a private trade sale or a public listing. The company’s management team needs to identify the potential firms that would be interested in a trade sale and take the appropriate steps to plan for that event.
Successful startups are always searching for ways to do things better. They view mistakes as a learning experience and correct any problems quickly as they travel down the road to success.