In this article, I will try to give an introduction into the startup world. By no means am I a guru in this field after two months but rather somebody who is trying to learn and explain things to others as well. In order to get a proper understanding of what you are doing or trying to do it might be useful if you know about these issues already which is why I have written this little guide. However, after getting an idea to start a business, first thing you will need is to set up an office. If you have a tight budget, you can rent a shared office Finsbury park instead of building your own complete office in the UK. Also, if you need virtual space for mailing, you can contact SilverSpace. However, let’s get started!
What Is A Startup?
Well, it’s different for everybody! Many people say that a startup is a company that tries to find a business model. Some say it’s simply one person, others say it’s still an early stage company, thus meaning that there is no business model yet. The term startup is derived from the entrepreneurial movement of the late 90s and early 2000s, where it was common to meet people who built their own companies mainly in the internet area. Those started out as small projects that grew into big businesses which sometimes crashed or got bought by bigger companies like Google or Facebook (Google for example bought YouTube for 1.65 Billion Dollars).
A Real Startup Example?
An example for a real startup company is still a geek. They are an online-shop that sells geek stuff ranging from “The TARDIS Mini Fridge” to “Star Wars Boba Fett Hoodie”. I can’t tell you how successful the company exactly is because they don’t share their financial data but they’ve been around for quite a while and have grown to a considerable size, says Peter DeCaprio.
How Do You Find A Good Startup Idea?
That is actually hard to answer as different people might have different feelings towards specific things that others would dislike. In order to find out what you like you can try out multiple things from going on hackathons, go to startup events or just look at the market of today and see if there’s any interesting products or services. For myself I started looking into this field by researching a bit on hackathons which led me to lean about aspects of building your own business. After some time, I stumbled upon Bitcoin and asked myself “How come nobody has made an easy-to-use Bitcoin wallet in Europe yet?”. I dug deeper and found out about other crypto-currencies, mining, and other apps that make use of the blockchain technology etc. which led me to the idea of making my own startup or at least try to find a team or person who is making something similar.
What Is A Business Model?
A business model describes how an organization creates, delivers, and captures value. It shows what interactions are taking place in the system by describing who participates in it (subscribers or users) as well as how they interact with each other (service provider) as well as the way they are provided for (value proposition). Identifying a clear business model helps figure out whether the idea is worth investing time into it. You can either go for a classic business model, which includes the three main components of value proposition, user network and monetization or you can go for a more complicated one which incorporates technology, participation or even social systems.
It should also be noted that companies are not always trying to make money with your data. If you look at Facebook they are actually making their money by selling advertisement space. If you do not allow them to use your personal details then they won’t be able to provide relevant ads for you which would decrease their ad revenue. Other examples might be “Spotify” or “Netflix”. They offer all kinds of music/movies for a small monthly price in order to get enough income from subscriptions because it is hard to just earn money directly through advertisements if you don’t make your target audience annoyed by the ads you show them.
Signs
Signs are the main way that people get information in a public place. They give directions, advertise products, and provide information about local events. A sign is a physical indication of a word, idea, or event. Signs are commonly found in the form of posters, stickers, and banners.
How Do I Make Money?
This is indeed a very important question and it’s not easy to answer. There are mainly two ways to do it:
1) By creating something that makes you money directly such as an online shop,
2) By getting subscribers or customers who pay for either your product or services on a regular basis.
A good example for this would be “Google ” which gets most of its revenue through advertisements, Drop box which gets some income from subscriptions and Apple who sells products like hardware and software directly. As you can recognize they all have different business models and monetization strategies but at the end of the day they all have one goal.
Conclusion:
According to Peter DeCaprio, it is quite hard to find a good startup idea which you like, has market potential and something that can be turned into revenue. It’s important to know what you want to do with your business because it will then help you figure out the next step you should take. The “Lean Startup” methodology asks five questions about any prospective product or service.
Author Bio – Ombir is SEO Executive at Active Noon. He is a SEO and Writer who has an experience of 2 years in these respective fields. He likes to spend his time doing research on various subjects.
