You already know the statistics for the number of tech startups that fail - most in the first year. The point is, starting a tech startup is downright challenging, which is why it's in your best interest to verify that your stellar idea is viable enough to succeed.
Here are a few things that you should know before you start your tech startup.
Take a close look at your industry
While you are in the beginning stages, you will want to seek out as many industry veterans as possible to gather their expert advice. Probe them for their opinions on your idea, and ask them if they believe it has potential.
Check out your competition
Purchase your competitor's products, use their services, visit their store locations ... whatever you need to do to find out exactly what you will be competing with. You want to familiarize yourself with the quality of their operation from top to bottom. How do they deliver their goods? What are their customers saying about them? Whatever you do, make sure that you are prepared to deliver as good, or better, to your customers.
Don't assume your idea will be successful
It takes a great deal of enthusiasm and belief in yourself to see an idea through to fruition. That can sometimes encourage overconfidence - a fatal mistake. You want to slow down and take a cold, hard look at reality. Ask yourself where you are going to get your funding from, what are your plans for marketing and building a brand, and how will you deal with partners, employees, and customers. Where will you find the talent that you will need to make your tech startup a reality?
Make securing funding a priority
Lack of capital spells the death of many tech startups. It's not a subject you want to ignore or put off for another day. Now is the time to consider: will you be able to bootstrap this startup? Will you take out a small business loan to see you through? Do you have any budding entrepreneurs or angel investors in your family who would be willing to invest in your company? It is a good time to expand your network and begin seeking venture capital.
Decide what you will name your company
Sometimes the name of your company will come to you fully formed - a lightning strike of creativity and genius. Most often, though, the process of coming up with the perfect name for your business is a cause for stress. The perfect name can't be cutesy and inconsequential - it has to have weight. It will influence how the world sees you. Not to create too much pressure, but you need to choose a name that helps your company stand out from the crowd without drawing unnecessary attention to yourself for the wrong reasons (such as your name sounds goofy, it's too difficult to pronounce, it's a double entendre or has another meaning that you weren't aware of.)
Get your marketing strategy in place
Marketing is one thing that is very tempting to put off until later. It's an art and a science - it's confusing and troublesome, and without it, your idea will never go anywhere. You can't just throw money at it and expect it to work. In order to get your marketing strategy in place, you will want to do some research on your target market. Get to know that one ideal customer who needs/loves/wants your products, and find out where they spend their time. Don't waste money going into markets that don’t correspond with your customer.
Sara
