1) Patience, perseverance, Passion: Like any success story, Startup Success story comes with lot of ups and downs. Most businesses that ultimately succeed are the ones where the entrepreneurs had the grit, determination, patience and perseverance to succeed. Learning from their own mistakes and Preserving with patience is the key to success. All businesses go through ups and downs, and almost all businesses and teams will have a number of challenging times. this is where the term Passion is very important, if founders doesn’t have passion to succeed, the Entrepreneurship becomes just a routine work which may not give instant success.
2) Understand Limitations and Learn to say No : The most important word an entrepreneur needs to learn No ! Entrepreneurs are usually very confident and optimistic. Because they are willing to take on the world, they usually end up trying to do too many things at one time. This often leads to disaster, as they over-stretch themselves, and run out of money before being able to accomplish anything. Yes, it’s fine to dream big, but you need to focus on doing just one thing well at one time. You can grow over time, but don’t end up choking because you bit off more than you can chew!
3) When to raise funds? Start-Up companies need to learn when to be self-funded and when you go for much bigger investment. Many founders are obsessed about raising as much money as possible all at once because well, if you do raise a big war chest, then that’s one less problem you need to worry about. However, with a large amount of money come several potential problems. With more money usually come more investment terms and more due diligence. It is probably a fair statement to say that the more money involved, the more control provisions an investor will want as well as more diligence to make sure that their money isn’t going to be misused.
Best thing is raise as much as you can but understanding your monthly cash burn and map out your company’s important timelines and the cash you will realistically require to achieve them. Then have an engaging conversation with your potential investors as to how much they think you need based on their experience. As a rule of thumb, try and raise enough money so that you have time to go fund raising after you’ve accomplished your next key milestone(s).
4) Process Awareness: Most of the times, Start Ups thinks a process is not required for a startup because they think we are startup; there may be a debate how much process is required for a startup company, there should be enough processes defined at every stage. They just need to balance process with innovation. Companies that insist on building a world-class infrastructure before shipping a product are doomed to “achieve failure,” because they’re starved of feedback for too long. On the other hand, companies that take a “just do it” attitude without any process at all are also taking a major gamble.
Finding the right balance requires an understanding of the fundamental feedback loop that powers all startups. It begins with an idea, which is translated into a product via the “build stage.” Once the product evolves, you need a strong process. Adapting a process to this ever-changing reality requires a commitment to continuous improvement and incremental investment, Process can never be an overhead, more over it helps the people, companies to transform at the right time in the right way
5) Find a mentor, have a business plan in Place: Most starts ups starts with one or two co-founders who thinks they are experts in their own area where they are coming with a product; but sometimes what you think may not be right for the market or there might be various other work flows you may not be aware of; One way to set your startup off on the right path is to write a good business plan. Do a right market research, what market needs may not be what exactly you have in mind, so find a mentor and have a perfect business plan in place. Using this market research, create your plan of attack and decide what you want to accomplish with your new business. Determine goals and milestones, and what steps you need to make it to those milestones. Its easy to carry away by thinking what I have in mind is what the market needs and if you don’t take market feedback as early as possible into the product development, its becomes too difficult to realize the plan needs some changes which can introduce more challenges like the money will get exhausted, the business plans need considerable changes thus introduced too many challenges, risks into the cycle which sometimes becomes the first and foremost failure for a startup idea.
Even with the combined expertise of you and your co-founder, a mentor can provide deep industry insight and wisdom to help you navigate some of the challenges that come your way.