The tech space may be cutthroat but every day there are success stories. Entrepreneurs with good business ideas and winning strategies are still winning the tech startup game. While every startup founder has their business idea and general vision, they also need to answer the following four questions.
Do I Have The Right Domain Name?
Think of every successful tech company, almost all of them use their domain name as their brand name. You need to be very careful when choosing whatever will come before your website’s “.com” extension, this will be the brand name your customers know you by. A good rule of thumb is to ensure that your chosen domain name is short, unique, and easy to remember. Also, as your brand name, it needs to be a name that can be trademarked. You need to spend some time on a trusted domain checker verifying the availability of your various options before registering the most suitable one.
Do You Have the Right Team?
In this instance, “team” doesn’t just mean employees, it means the partners who will help you with funding, distribution, and your various suppliers. You need to understand your business to determine the expertise that you need to bring your dream to fruition. Partner with third parties who have a proven track record of successfully delivering at the scale you require. Initially, when your payroll budget is strained, it helps to find employees with the versatility to contribute in more than one role. Also, working for a startup is different from working for an established company, find employees who understand the challenges and joys of being a part of a company’s founding.
Is Your Funding Strategy Flexible?
Most entrepreneurs beginning the startup journey already have an idea of their budget and where most of their funding will come from. But when implementing a business idea, the business plan changes and unforeseen opportunities and threats are revealed. Major strategic changes often cost and your funding strategy needs to be flexible. Don’t be afraid to engage a source of funding as a backup for unexpected expenditures. Also, you have to be comfortable leveraging your equity for funds or as payment for critical support services – such as legal services.
Do You Need a Startup Consultant?
Startup consulting is a controversial issue with people holding very strong opinions on both sides. On the one hand, a startup consultant has past experience with successful startups that most founders lack. On the other hand, they usually don’t share the founder’s vision, and their recommendations, while well-intentioned, can be contrary to the startup’s founding spirit. If your budget permits, and you lack startup experience, it can be useful to engage a consultant. They usually have valuable industry and market expertise. Most know the general pitfalls you should look out for and can help you scale back any unrealistic expectations that most founders have.
Conclusion
Beginning the startup journey can be challenging but your chances of success will be boosted if you can consider four key questions. Firstly, you need to know if your domain name is catchy, memorable, and available as a trademark. This is important for tech startups. You also need to consider whether you have the right team to deliver your vision. Given that your business strategy will change at various points, you also need to consider the flexibility of your funding strategy. Finally, you need to consider your expertise and decide whether you will benefit from hiring a startup consultant.