Why do startups fail?

Startups is not about only getting right founders, right mentors and right incubators to scale up, but it is more about a research on arriving at a business model for an idea. The business model needs to be a paying one or impactful.

We find multiple startups imitating and the clones too get successful somewhere only because the investors prefer investing in safe bets.

No one risks an innovation till it is proven. This leads to innovation moved back to government funded initiatives or individuals who are seriously committed to innovations and give grants.

Almost startups globally fail as any thing in excess becomes a waste. How many startups can we have in mobility space or e-commerce or wallet or anything for matter. The unique differentiator is missing

What should be an ideal cost of experimentation?

Create a market base through need and subsequently just have 1 feature MVP (Minimum viable product feature) and push it in market.. If it succeeds, you add more modules.

Startups fail because of too much focus on either technology or marketing and the right balance is missed out.. Apart from that for strange reasons mentors/advisors are paid /not paid at all.. or even in board, may get may be 0.5% etc, so it is not a lucrative proposition for them.. So next time another startup gets into a graveyard, it is not because an entrepreneur failed, it is because the market validation was inadequate and the competency skills to scale it up needed more attention.

 

 

Letter to Startups

Dear Aspiring Entrepreneurs,

Please do not try to seek employment in garb of initiating a company..  Startup is a search for an appropriate workable business model for a venture…

Here it the catch, we should not assume investors will invest in startup just to ensure business model will work or not, so what will an investor want…

a) Appreciate whatsoever links, contacts, network, legacy experience which Investors, Incubation heads will  bring to table..

b) Do not  try to close venture just because an Investor has stopped funding the venture as here your true capability of being tough entrepreneur is at test…

c) Bootstrapping calls for startup entrepreneurs to not take too much money in form of salary from investor’s purse.. It calls for spending the money wisely on all aspects of business.

d) Make the product a success story rather then a failure and be open to any client opportunity which comes to you..  If you are focusing only on product development and not marketing then you are going to be a risk of failure

e) For a change, startups should have courage to take loans may be excluding collaterals and run a business too

f) Have patience, strong will power and the project will do well for sure..

 

 

 

 

startup secrets

never begin approaching investors till you have not completed your product.

never focus only on seeking investments.

budget your startup with following economics

X – DEVELOPMENT COST

X – MARKETING COST

2X investments needed

X is something which can be decided by only you..

so with this economics, you realize you do need always a cofounder.

so 2 technical folks can get into initiating something, but partnering with 2 marketing folks may give better leverage

always remember.. the X component has to be as lean as possible.

 

Do you wish to be successful entrepreneur?

How many of us have been determined to be an entrepreneur?
How many of us decided to purchase a 100 buck product and tried to sell it at 150?
How many of us visit a technical book shop and show a natural inclination to read technology and draw a technology roadmap of products or project?
As a rest less soul, an entrepreneur needs to keep researching, using google, using every social media to identify competition around self.

Enterprise Solution
Imagine your product cost works out at 1 million
You wish to reach out to 50 potential customers..
The product pricing comes to 20000
and ensure you save on maintenance and travel costs through cloud solution etc

Aggregation Platforms
Imagine your product cost works out at 1 million
You have 10000 potential customers..in your universe
The product pricing comes to 10 only

You choose the currency of your country.

Can we really penetrate and get more clients?
Building a brand takes many years. Out of good will, out of marketing thrusts, out of strategy to reach out.  It happened for PASSION too..  1996, folks correlated PASSION with love and then.. slowly and surely PASSION got acknowledged in academic institutes and students as facilitator for live projects and then.. PASSION PRO came in.. Pune.. the vehicle brand and slowly and surely with even a news letter to push the brand, PASSION IT  got circulated and we found the business model working out and then the word PASSION kept growing.. it seeped into the entrepreneur eco system.
After the usual copyright and trademark in place.. and spending almost 30 to 50% of revenue earned in advertisement and marketing, decided to get lean.. leaner and more leaner.. and began using the social media power to reach out to people.

Is entrepreneurship tough?
Absolutely.. if you are not determined and are not passionate about your initiative and do not wish to make personal sacrifices, nothing can move ahead..
Many a time folks wish sleeping or dormant partners and it fails as only an entrepreneur needs to understand that overspending on media is meaningless and overspending on expansion too. As long as the first client sets do not accept you, nothing works out.
For free bee’s many come in.. charge money.. and all are gone.

Who can succeed in this journey?
The one who are courageous, become visible, push themselves and focus on quality product and services.

PASSION will reach millions and no doubts about that.. It is the strong zeal to achieve an object and seek security from that object. Whether it is wishing to have a baby, or wishing to learn or wishing to have a boy friend or girl friend or marriage or whatsoever.. finally security plays an important role in mind of entrepreneur..

Can an Entrepreneur really scale up with no money?
Many did that successfully through small funds..  As long as willingness to return back debts exist, as long as courage exists to work in team and without being greedy and understanding pain points of a domain and solving a solution.. things will just work out for you. No point of end less discussions, thinking and not working an idea and taking steps to make a product or service

Just ACT, SCOPE AND SET  your initiative through right probing and innovation.
Nurture and Own your venture

passion framework

PASSION FRAMEWORK can be used in any of life goals. Try it out once

Amit

Amit is a winner all the way and always been a topper in his school and college.. and unfortunately for him, one day he looses both his legs in an accident.. and his one hand too damaged…

Amit ‘Doctor… never knew life could turn this way.. Am in best of hospital in Chicago.. my parents have put me in best of schools.. and now in US.. met with this fate’

Doctor ‘cheer up.. take life as it comes.. crippling is limiting.. but understand that god gave you the power to think and act’

Amit is silent..

Amit is reading a news paper..

His mom Swati and father Bob is besides him…

Amit ‘Mom.. both of you are so supportive.. but I have been always too ambitious.. so.. am thinking next what’

Bob ‘Son.. we are there to support you”

Amit ‘I want to have list of all handicapped individuals in world..’

Bob ‘done.. we can get that.. there are multiple associations’

Bob ‘why?’

Amit ‘Why not start an incubator program for handicaps… we invest in their brain to think’

Bob ‘you are brave.. others loose their self esteem so .. not sure’

Amit ‘am sure.. they can talk… so let us have them become story narrators.. and we tie each with different sector’

Bob ‘not a bad idea’

Amit ‘Amit means non perishable.. and I guess.. our voice will be heard.. as content, stories, technical training contents and so on’

Bob hugs Amit

Swati ‘enough now.. take rest’

Amit ‘god at times challenges us.. let us accept them gracefully and do what we feel will be in best interest of self and society.. Never leave hope’

Bob ‘Am amazed by your optimism’

Amit ‘if readers here feel they are a bit low.. cheer up, Amit requests all to be part of PASSIONIT movement.. PASSION is all about pain and endurance to give a product.. be it baby 🙂 or be it startup 🙂 or be it Love:) or be it Accident too :)’

Connected Vehicles

Have an idea in connected vehicle space?

Do you wish to excite your mind and heart to focus on building business focused on any areas of transportation?

Connecting people, product with a strong placement strategy and incubating budding startups, invest in scalable startups in India and US

All startups will undergo stringent evaluation process

http://www.autonebula.com/wp-content/uploads/2015/12/CTC-1.0.pdf

Do visit http://autonebula.com

An exclusive incubator/accelerator in connected vehicle space.

 

Marriage Proposal

Jose ‘can we get married today?’

Sim ‘I am still at work dear.. and you are saying it to so casually’

Jose ‘got in touch with a marriage maker, he can organize marriage in 8 hours ‘

Sim ‘what? how?’

Jose ‘I want to invest in his venture and thought what other way then to test business model in self.. ‘

Sim ‘why experiment on us? ‘

Jose ‘now.. please.. it is 10am.. see you at 6pm. They just charge US$100 for marriage, plus add US$500 for bride dress and bridegroom attire and for food.. you will be surprised.. any food company can launch their food items with them and even perfume retailers.. so for 50 folks free meal and with only 1 condition ‘in party reception, they will be put a board

This Marriage sponsored by ‘Ree… ‘, ‘Lo…’ etc and the sales representatives will be reaching out to each guest and try to sell their products’

Sim ‘see you at 6pm’

Jose calls Morris

Jose ‘Morris.. if my marriage succeeds.. you will get investment.. How much sponsorship revenue accepted..’

Morris ‘we get 20% commissions on total sales’ and marriage cost around 3000$ borne by them.. congrats Sir, for a free marriage and also being brand endorsement model for good brands’

Jose ‘who gave this idea?’

Morris ‘Do understand any path breaking ideas in story format.. who else can provide but…’

Jose ‘do you really feel this will work?’

Morris ‘trust me.. who doesn’t want free marriage?’

Jose ‘who gave this idea?’

Morris ‘PASSION for ventures need to exist.. ‘