a Startup a Building Vol 2020 / /

Building a Startup Vol 2020 1 different main segments:different mainThe content of this booklet isdivided into five Success to From Nothing 01 supporting material supporting Additional details, and resources. #5 Intro Overview, startups about and development #1 phases. Scale phase,Scale focus on scaling the business business the scaling and organization. #4 Formation phase, focus on about ideation and on about team building. #2 Validation phase, focus on validating team the and product/service and product/service #3 idea.

Building a Startup Vol 2020 2 Table of Contents 00/ /11 05 04 03 02 01 Formation (-2to 0) JourneyStartup What is astartup? How to Use this Booklet? Forewords → How should good mission statement mission How good → should like? look Statement Mission • rulebook of startup company Sample • valuesstartupcompany Sample in • Culture Company • of content part early SHA Co-founding Ideation & • journey of the General outline • How development use • to journey your phases in Development Startup • Phases Copycats and Competition • Investor• Communications →Types investors of investors Foundingand • resourcing Initial • Aboutexits• Value Exits and Building • Advisors • Bootstrapping• Media• Events• points Starting • busted Myths • reasons Some • startup leadingto 3 Building a Startup Vol 2020 Table of Contents 06 Validation (0 to 2) →Funding sources Accelerator → Programme Services for “Validation” Supporting Stages• Tools Planning • • Build, Iterate &validate (KPI’s) • Funding sources →Incubator Programme →Coworking Spaces →Hackathons Weekend →Startup Courses →Entrepreneurship Services for “Formation”• Supporting Stages • Types ofideas business →Shareholder Agreement (SHA) ownerships →Valuation calculatingco-founder tool in a as →How calculate to valuation? talks →Co-founding →Team Building team founding startupsneeda →Why m Tea • Initiate activities• Basic Strategy & Vision working together Mission, • • Strategy vision? ambition sethigh Why a → like? look vision How good → should Vision • 07 10 09 08 Scale (2+) tru Terminology ​Startup resources. & tools Additional GrowthBuilding • Startup Progress Startup Related• Terms Product• Related Terms Related Finance Terms• Terms Startup Basic • Ecosystem Startup • Terms Terms Basic • sources • Funding Stages Services for “Scaling” • Supporting Engagement Product Metrics and →Other Qualities Defining Other →Economicand Metrics Financial & →Business KPI’s • Marketing• channels whole funnel →Connecting paid adds (controlled funnel) to & option plans), & working with big companies working & withbig plans), option & • Funding &growth (advisory board, extended team

Building a Startup Vol 2020 4 Table of Contents successes and failures.successes via several and various hard roles with earned startups more than years 20 of experience, international startup volume?”, views and knowledge shared, are on based inhigherand to help create startups more successful “How to entrepreneurshipof: scale and innovation entrepreneurial quest and drive for solving aproblem entrepreneurof serial Valto Loikkanen personal knowledgeThe shared inthis booklet result isthe else interested startups. to about learn like mentors startups, and advisors and anyonewith team well As members. asfor working those closely co-founders and guidesupportive to new startups, developmentstartup aswell phases as to as act of this guide isto give and ageneral view of startups purpose The partners. GlobalCommons team and it’s Startup with incooperation This guide drafted has been Rishi Mehta @konnectrishi Eva Jimenez @evajimeneztubau RamirezOscar @oscar__ramirez Valto Loikkanen @valto Contributors: logo and brand. name, Commons to your oruse of Startup concerns details related pleasecontact us forservice, further commercially, of commercial product or oraspart youIf are unsure orare planning to use materials you endorses oryourcontributors use. orany Commons of the Startup that suggests changes your may have made, not inamanner but academy-development.html ( page related ,provide contributors alink to this license give and Commons appropriate credit to Startup However,or ascommercial offering. you must etc. onthis for content, based to offered free be education programs, courses eLearning platforms, for materials distributing for free. to Or create licensing for publishing, private and editing training materials “as is” under creative commons have right to Academy Growth education and Copyrights &Creative You Licensing. Commons http://www.startupcommons.org/growth- ), and to indicate any 5 Building a Startup Vol 2020 Intro Forewords /10 01/ Forewords very different, where of the history the very different, is than not truth more the but often “an became overnightstartup success”, Sure there are rare where cases some as ateam. level for of passion what you are pursuing commitment to your shared vision and not venture, asolo team requiring sport, nextthe level. isa Also building astartup and againthings doing required it with on improving to get things to next the level for measuring, practising, learning, ofathletes mindset required, type inthe level there are with alot of similarities amental On and long term commitment. requires alot of work startup a successful impression you may get via building media, one thing straight, regardless of the Before diving get let’s into this booklet, controlled.” currently resources to regard without opportunity of pursuit “Entrepreneurship is the can imagine.can world, etc. people, business more than you you more learn will about In startups referred asarollercoaster ride. are ventures called orjourney, and also and challenges, why that’s startups experiences, unexpected opportunities rewarding of new learnings, full with very motivating, inspiringoften and usually At is time, same the building astartup just expect luck to happen. you many luckier times that that those visible, be making importantly most but active, systematically and improve, learn your luck by design, isto committed, be founders.time way best The to improve even so or successes, more rare for first company orfounders include past failures

Building a Startup Vol 2020 6 Forewords an existing team. optionalso to build your own team orjoin togethermeaningful others, having with and motivation to build something new and due time. What you mind isacurious need idea orateam, at for time come will those you don’t to your need quit job have an -take step. at As beginning the first the it” path way iseasy and best isto “just do that and commitment -deciding to start require entrepreneurial hard mindset, work While ultimately path the to success personal journey.personal fewthat only steps comes after into your for decision the longer term commitment, challenging each step at atime, including by where gets step more it process, way the but isastep path the islaid out, commitment, and hard, serious with smart strategies that expect to plan and work In this booklet we focus onpath, tools and this Booklet? /10 02/ How to Use → Next

Building a Startup Vol 2020 7 Forewords this Booklet? this How to Use 02/ /10 Booklet? Use this How to a lot of irrelevant important and less there isalso sources online and offline, and knowledge available via many is tons and tons of relevant information get your head around and while there quite world alot be to can startup As everything relevant being at every phase. information available oroverwhelmed with youso don’t amount the get lost of with when they are relevant inyour journey, understand context the to what and to relevant most you so basic concepts, etc. level. at deeper You introduced be will videos youtube books, blogs, statistics, online inform of various expert authors, topics the and view coveredabout via relevantthe more detailed information help the ofWith this guide you find will journey. asyourevisit progress periodically onyour Something you keep can you and with other tools and materials. with used be for journey the and guiding companion to you make journey. the To your be map terminology that help and will concepts items at top level and introduce you to key isto introducepurpose key the all relevant journeythrough over startup the time. The This booklet isdesigned to help guide you your own journey. advise you get to relevant most stage of and link anyconnect other expertise and way, this guide, with but should able to be information the all get lost with along the map &guide on your journey, you so don’t’ of really everything”, but to as a general act This booklet isnot meant to “expertise be stage, making more it harm than value. from applying right methods at wrong the information and to avoid failures coming likely to overwhelmed by be too much sources online, inaway less that it’s from also variousbut experts and online on our expertise, research and validations, Including stages. these knowledge based methodologies to ineachof applied be relevant most the knowledge, tools and ofphases journey the and then connect gives an overview development of these more and complete holistic guide, that reasons we felt there was for aneed wrong phase of journey. the these For and even at applied advice harmful a if one stage, may actually totally be wrong information for and knowledge important evolve through various valuable phases, and areinformation. born Also asstartups 8 Building a Startup Vol 2020 How to Use this Booklet? main segments: is divided into five different contentThe of this booklet 1 and development phases. Overview, startups about 4 2 and organization. business scaling the phase, focusScale on team building. ideation and about Formation phase, focus on 5 and resources. material supporting Additional details, 3 product/service idea. product/service teamthe and focus onvalidating Validation phase, 9 Building a Startup Vol 2020 How to Use this Booklet? bigger visions and how marketsbigger work and generalis some of realities validation for regardlessall asthere But of timing. the something that isactually at not needed to separate from validationdifficult of giving uporpivoting too early. this As is for at targeted solution the and scale markets and validating there isnoneed to market timing of too being early in the quite bigOne failure common isrelated of startups. part also it’s Terminal failure even isnot but target, the that would of risk going to terminal failure. or too many failures time, at same the in various levels, while avoiding big failures accepted and expectedbe along way the and solutions and assuch, failure should validating various of startup the aspects for of learning and necessary is part of information the available. While failing made, unknowingly orknowingly, regardless decisions founders the made ordid not factors,outside simply but by actions and fail, not because startups Most success. avoided,be and optimizing for factors of risks that can as much of unnecessary the logic onthe booklet isbased of removing approach guidancethe The this with in with up front. risks that are hard to avoid orimpossible forof success what involve will still many founders,time to give asmuch change are by specially repeated to first often, logical to remove asmuch of risks the that aiming should for it about be success, anyone For proper actions upfront. serious to terminal failures removed be can by risks leading ofMost unnecessary the point. years of development to get past tipping early the adopters, isnormallyafter several inconsumeralso markets, real the market But solutions than inconsumer services. much slower to and onboard act new of markets,in B2Btype that are typically true to happen. This isspecifically starts real market validation data inenough scale really product until use the the and service, aware, totime become test and digest, launched, asmarketsis officially do need phasethe where product the orservice from year should given be for effort full customer,becoming aminimum of onefull and anatural curve of onboarding or solution, and it’s are your about startup how interested markets and customers Startup? /10 03/ What is a → Next 10 Building a Startup Vol 2020 How to Use this Booklet? What is aStartup? 03/ /10 Startup? What is a • Competition and Copycats and Competition • Investor• Communications →Types Investors of Investors Foundingand • Resourcing Initial • AboutExits• Value Exits and Building • Advisors • Bootstrapping• Media• Events• Points Starting • Busted Myths • ReasonsLeading Startup to Some • 11 Building a Startup Vol 2020 What is a Startup? self sustained business. self before tomarket significant it scaling fit, and product problem initial the fit solution skills to able to be and abilities validate commitment, founder necessary team with founder(s) co- isto establish acommitted Aim of initial the vision to work onit. and building an founding aligned team with solvingidea problem orameaningful worth even beforestarts asearch that of with the actual the developmentopportunity. Often apotentialwith for significant business foundersits around an idea oraproblem isa ventureA startup that isinitiated by as defining astartup In context the of this booklet we are is being generated.” being is what new value, to whom and how “Innovation -known and validated, model.” business scalable and business with an innovative solution create and grow acompany and of co-founders with atarget to entrepreneurial team an is “Startup an “exit”, assomething that isrequired for etc. to make round” orto a“funding make of venture angel business funding capital, informdependent onrequiring capital risk are nolongercrowdfunding, etc. startups API’s, app stores and other platforms, source open concepts, software, development of technology, internet, At time, same the due fast the reach, recognition,assets, etc.). company inother ways (market position, of the value opportunity the and scaling several years while focusing onbuilding the any oreven profit revenue even yet, for of people, regardless of making ornot to company ten oreven with hundreds idea even registered without company, to anything from few be guys and an of company. the are considered Startups etc., assets of age orthe people, profits, bycorporation, resources their ie. number companythe ie. SME,Mid Cap orLarge categorizednot simply be by size the of also can reasons these For startups termsbusiness orfeasible. until possible is not measured simply by traditional of creation and growth, where growth inprocess being so model” business to search for arepeatable and scalable company, an “organization but formed isnot asmaller versionstartup of abig to commonly that understood be It starts investors), not aterminal failure. it’s for possible termssome specifically (most scale, and while that afailure could be in just aregularbecomes company insmaller that startup the Naturally possible also it’s more valuable than unvalidated one. validated isstill model, idea orbusiness failure biggest the of Also all. afailed, but often at-making all “not starting” started morelearned that they if would have not if ofand venture everyone the part have failure, gets still model tested business the for Regardless big target. or of success the isto explorestartup unknown the and aim whole asthe for idea of the any startup Unfortunately failure isalikely outcome aswell.business investor would for for look good isalso your at laterto choose stage, asanything an strategy would to right the one out turn be have that option available that incase to also investable, business the be to anywayThat it said makes to sense build just onestrategy among decision others. external the choosing So investor route is of success. signals, should mixed it not be asmeasure of validation other along validation with round funding onetype be can successful and while a startup building asuccessful 12 Building a Startup Vol 2020 What is a Startup? unintentionally. toseem adopt intentionally or founders time more easilyfirst This isalso something that younger independentsignificant company. instead of product actual ora full other producton some orservice, considered to more of be afeature and simpler idea, that also could for somethingtypically smaller Fast exit This growth is business. venture. of visions for and ambitions building their of following the from two choose levels very high level founders typically startup models etc. business on verticals, business going toWithout variables the all of Startup to Leading Reasons Some 1 serial entrepreneurs.serial ventures, among specifically than previous intheir roles or &challengeambition level higher experience and to raise their differently, previousopportunities improvedtheir the to see ability more motivated to pursue, due more experienced founders are This issomething that usually venture. high impact significant and visionBig ambition for 2 great companies.” become to organization and business grow and etc. models business services, innovative products, ideas, “Co-founders and validations.and learning from opportunity, the iterations vision are updated along way the through develop and asstrategies, and mission planned, due how company and markets develop totally to as opposite the become total end upbecoming one can failure or outcome would asplanned, either be Naturally not mean this that does the 13 Building a Startup Vol 2020 What is a Startup? • Ican’t because of ______makes Money Easier • Things Possible make It Investors • Investors Need • Idea Start Needto an • • Order of Things in Progress before Spending Earning • • Need of Funding vs. Use of Funding even(or earning) smart vs. being buying Mindset Entrepreneurial • Routes Success Secret Tricks & Magic • Fast Success • Busted Myths • Spin Off Spin • Out Spin • not too sure do vague, but do) • Focus /Don’t keep Switchin Ideas Easily (if • Start as aProject • IWant To • IHave an Idea Points Starting 14 Building a Startup Vol 2020 What is a Startup? Events Big EventsBig Events Ideation Events Pitching (AS) Hack Event Events Team building Competitions Events Topic Related Events vs. Industry Events vs. Startup Inspiration Learning & Bootstrapping Media & • Startup Communities & Peer Support & Communities Startup • • Part Time &Consulting on the Side employees) not expert, (independent arrangements WI • Media Pitch to How • 15 Building a Startup Vol 2020 What is a Startup? advice, from simple opinions of and points to separate important expertise based valuable perspective, it’s but outsider’s is value and giving inoutsider support extensive There experience startups. with matter, they of unless course have also legal to specific business specifically limit expertise shouldwhile lawyer’s abusiness to givebest building advice about startups, experience real is startup with someone experience Ie.from specific the bases. When advice working getting advisors, with networks etc. organizations,from service different their get term advice you typically can or short long term basis for several years. time One topic ormore onspecific sessions advisory term “one time”phase, short occasional developmentterm basis during aspecific more needed inshort be advisors can The expertisearea(s) of advisor. the specific as well asto recognize and agree onthe for advisorthe isneed and at what phases, knowledgewhat orexpertise area specific to recognize important to it’s advisors, with When looking for, and selecting working in form of external advisors and mentors. knowledge for of your needs the journey It isvaluable expertise and to collect Advisors expertise contribution. This helps toexpertise contribution. set time, and/or network for advisor’s the agreedas the by compensation startup and availability of advisor, the aswell working relationship time and committed work basis of along the advisory with targetpurpose, and subject area for the stating the specifically work, advisory making an actual agreement for the program, always to it’s consider good availablethose of separate some aspart or services type Beyond advisory onetime networks and reputation. own ontheir position, based contacts even to doors open new ability their with have key some with aswell contacts, as relationships trust and personal they may value should contact their networks be expertise advice, advisors key additional subject matter Beyond specific the howalso recent expertiseis. the expertise inquestion, view and inspecific points ofpoints view. give an actual outcome and not opinions or approach astestbetter isto actually test, and always when suitable, faster the and views would relevant. be smaller For things, longer term orhard to reverse) more the decisions the (more bigger strategic,The judgementbest own co-founders. between internal views and make decisions by own owntopic with inquestions, combine those viewsdifferent from and perspectives the decisions isto get best multiple up with founders own way views. Agood to come should made be always onco- based exactly just advise and actual decisions When asking meant advice, to be it’s &advisors. startup between clear expectations and working relationship 16 Building a Startup Vol 2020 What is a Startup? and Exitsand Value Building not. In past big companies evennot. bought would competitors their companies so also long they term. In may cases some buy and increased value generate can it in venturethe for and buy it profit the levelthe of of impact and profitability improving of maintainingpurpose orfurther reach and resources. In later stagesfor the help the of customers, their with to it scale on team and validated concept business of team), the because next based phases teamthe &idea potential just (sometimes stages (early exit) bought to it’s acquire organization, invery early often most isbought by startup anotherIf independent of founding the team. to growth and operations sustain its considering potential exit, by ability the markets.in the Ultimately and specifically growth, revenue, and impact profitability isvaluedalong by startup the stages, its productthe In model. further and business previous factors, aswell asvalidations of isvaluednext by startup the stages, the commitment for reaching vision. their In potential concept business and the founding team setup and commitment, value isdetermined by of its startup the In early the stages of venture, the the for whatever reason. teamthe gives uponpursuing vision their simply failure the But put happens when sustaining. operations self did not become or pivoted, stopped growing too early or validated could not model be business the considered to a“failure”. be At that point, Anything reaching but vision the could be level was it able to reach. mature sustaining self organization at the failed along way, the a become itself will it venture startup the In case isnot or sold organization. motivation to of large continue asnew part founding the often teammost have noreal valuethe of build the venture (price) As is. are higher the from team the that build it, where dependent less the operations the remaining knowledge to new structure - founding initial the team isto transfer any boughtIf at later the role the stages, of that filling void. another startup soon abad strategy,be asthere would pretty be intoday’s worldbut that would likely most markets, the just tobusiness, get them off companies that were risks to own their 17 Building a Startup Vol 2020 What is a Startup? consider: relevant some we describe factors to doesn’tsuch exist success Following yet. when consider when selling your startup like this and there are reasons different to valuationvery good many but isnot times that have positive cases with in startups Normally, idea we the of associate exits Exits About very priority. term is etc.)issues, short inthe urgency,(medical divorce, legal get money due factors to different unpredictable urgency and the to may sometimes Life be You money now! need recover your investment. at least you able to will be partially moment to your sell company but is clear that this isnot best the resources to keep onpushing. It of hard nomore work and with failure few intense after years selling your abig company after It isquitefrequent to decide Failure 3 1 condition to invest.condition investment side, being akey This ismainly forced by the Investors require amandatory exit decide to leave business. the having many profits, founders good lackthe of motivation and even are factorsand burnout behind boredom long.so In cases, these into something for alleffort pouring that easily after can disappear requires high of doses motivation Moving forward your startup of motivationLack 2 4 18 Building a Startup Vol 2020 What is a Startup? interested to invest. situation the investorsis also are most forlook investors to grow even faster. This company tobig, may orchoose need still validated to model, business really scale company isalreadyafter growing with shareholders work and money. Also to resourced be by founders and other untilprofits, then company the needs takes years often until it As revenues and shareholders. other investment (ROI) for founders the and value, than then generate return the of revenue, and build company profits value for orcustomers users that generate isto of business the generatepurpose from real customers. Naturally whole the way the all through until revenue their investment.capital this song valid options inreturnmembers for or sweat equity team additional resourcesthe with for ownership. the founders increase can inexchange resourcesinitial for startup the In beginning the founders the grant the Resourcing Initial 19 Building a Startup Vol 2020 What is a Startup? Investors and Funding geographical etc. location, previous fund, their orcurrent investments, in product idea, size left time of fund, their investor for anew consumer afit be will doesn’t it alwaysgreat, mean same the onwebbased applications may have been working oneinvestor with idea for first their From entrepreneurs the point of view, while venturesmedia that since domain. istheir of while others building still aportfolio specialized inmobile applicationstartups prefer clean-tech the ideas, others may be ideal investor’. investors Some ‘their may islooking for while eachstartup startup’ ideal and islooking for ‘their portfolio investor has preferences their and target Investors are not same. the all Each Personal Investors Personal Venture Capitalists Lenders Peer-to-peer Investors Angel Banks InvestorsTypes of 20 Building a Startup Vol 2020 What is a Startup? planning to raise more. of out money,run and when we’re How much we time have until we Runway lastthe update. and progress/changemetrics since A quick rundown of 3–5 key Metrics Any relevant mentions. media Media/Press upcoming developments. Key product releases and Product New hires positions. oropen Team /Recruiting form: of emailsummary inparagraph orbullet details. below few Find specific sentence progress with big startup picture the about things that matter, helping them get the communications on periodic up them with to investor, to follow important isalso it communicate comes clearly when it but In general, isalways to it very important tions Communica Investor - more resources and customers. These togetherother companies to bigger be with stronger together or even merge orbuy asoneway tostartup grow and to be markets working seemingly with competing inthe join other forces some startup with may it evenSometimes be idea to agood of your resources anyway. use resources, limited this best isthe with as offering, your specific with your better improve factors that help to differentiate customers market and your to business isto focuscompetition onyour own market to go after. way best The to handle moreand also validation that there isa of business isnormal part Competition onsimilarbased logic orprocess. and enablers leading for new are solution markets conclusions times often and also experiencing orproblem need the inthe This issimply due reasons that many are aware ideas. same of others with some do get being orsimilar same ideas without unknowingly from each others. Yes many even Sometimes competition. as the inother marketsstartups that emerge other than not more it’s ideas, but often big companies going to their compete with In general new more founders about worry and copycats and Competition first. focus onown customers and business strategies while always asneeded, keeping there tomodel, time prepare good unproven with a new startup business already proven as so models, business obvious reasons they prefer to choose building something isthat original, for the copycats thing about A good for those genuinely more original. foundersmost prefer to build something ormore risk likely less be but to success, fast exitwith this can growth business, In pure terms business and specially to very company they copied. even cases some selling companies their focused inthis strategy,specifically in even known some founders and investors and language.another country There are to created be typically model, forbusiness idea and startups other (successful) strategy issimply oncopying based some copycats, where and whole business their isthe category moreOne specific new joint company shares). ownership changes (ie. buying using own or on money, even also but purely onequity merge based orbuy transactions be can 21 Building a Startup Vol 2020 What is a Startup? Startup JourneyStartup 04/ /10 Journey Startup • General outline of the journey of the General outline • journey your in How development use • to phases Development Startup • Phases 22 Building a Startup Vol 2020 Startup Journey navigate direction. the targets the milestones help between will to is heading to right the direction. Having are more subtle, assuming progress the gets higher. quality the Also changes the iterations cycles get can longer, while more validation with Overtime and learning and changes bigger. be can is shorter better. At iteration the stages, initial cycle iterated constantly to get work solution the plan onresults, and executionBased is very different. be can that process the orlaunching, you business are starting of company/depending onwhat type to understand, that important it’s First, you. to information for relevant you and when it’s to obtain what right isthe very difficult be muchso information there can out and it mysterious for process many. There are launchto and beyond successful isa from idea startup Building asuccessful and value build. developmentStartup phases phases. development startup overview to startups, of this segment purpose The isto give an 1 can be developed.” “Only the things that are understood, Beginning 1 2 3 4 5 Today 6 pushing specific solution. solution. pushing specific focus onsolving problem the and not just to important This why isalso needed. it’s enough flexibility for making pivots also if big enoughvision and choose market with on avery early stage to build ashared to focusis why are these important so entire team orentirely new market this things to change is the difficult most The product co-founders forth. and so investorspartners customers market idea components that are not working including make progress by changing any of the in place. Company continue can to make progress agreements consideringthe wanting people are and able to committed This progress continues for aslong asthere developing asexpected for. orhoped picture clear bigger the isnot becomes to make changes bigger ie. pivots, it if may it necessary be In cases some

7 8 Target 23 Building a Startup Vol 2020 Startup Journey Phases Development Startup business, that “businessisaboutpeople”. important factor andalsomostpeoplein much allwould agreethatteamisthemost if askedfromprofessionalinvestors, pretty growing asanorganizationchallenges. Yet, entrepreneurship, teamfounding and much lessisavailableforunderstanding education toolsavailablefor productside, While therearemanyresourcesandself that capturesthevaluebeingcreated. a realgrowingbusinessandorganization and developbothofthesetogetherinto a strongandcommittedfoundingteam business model,startupsalsoneedtobuild from ideatovaluegeneratingproductand In additiontoinnovationprocessitself, understandable manner. team to organization” inbalanced and “idea to business” and from “founding stages and to help from develop Startup journey,understand startup key identify to share communication tool to help Development isfree Startup Phases the stagethe they to are get trying to. development or startup stage of aspecific communicate much faster around current get them can to point the and supporting entrepreneurs startup the and those both introducingBy framework, this simplified init parts to overall the help see picture and various journey variousthe and stages of astartup terminologycommon to and describe talk was asimple, to find and global holistic of mission such initial The framework 24 Building a Startup Vol 2020 Startup Journey Phases Development Startup structure yet. balance of skills team inthe commitment ornoright vague team; noconfirmed value. ora person One wouldand how it create ideaInitial onwhy business a big enough target market. idea forproduct orservice and/or potential scalable Entrepreneurial ambition Ideation What, to whom?What, Why and How? -2 Problem Fit /Solution Mission > Vision > Strategy > Vision > Mission Co-founder team formation roles & ownership. formembers additional Maybe have extended team balanced ownership plan. skillscomplementary and core co-founders with or three entrepreneurial 24, 366, 12, months. Two on how to get there, ->3, for at least next 3years key milestones defined strategy initial and with and vision mission Defining Concepting -1 Vision /Founders Fit vesting terms. minimum 3years with and moneytime use, for milestones, committed co-founders, including agreement signed between in place. Shareholder productinitial orservice resources, oralready have externaluncommitted dependency of without (Minimum Viable Product) productthe orservice Able toattitude. develop sharedwith vision and co-founding team and balanced Committed Commitment Minimal Viable Product 0 Lean Startup share revenue. orfuture for equity,equity) revenue resources (money orsweat investment based additional to attract start (KPI’s) Can identified. Indicators Performance growth and/or revenue. Key demonstrate user initial validated to solution assumptions until have Iterating, validating Validation Validate / Iterate / Validate (or pivot) Product /Market Fit 1 processes and implementingquality wanted. improving Hiring, in would able to be if do so or significant funding May, orhave will attracted Can and want to grow fast. fast growing target market. market traction inabig or revenue growth and/or growth inuser, customer KPI’s measurable, based ongrowth,Focus showing Scaling 2 Business Model /Market Model Business Fit Grow /Expand Scale Up Scale continue company. the with investors make exit(s) or Founders and/or startup”. culturally continue “like a toto grow tries and often continue will commitments, and on vision, mission resources. Depending and people financial continue. Easily attracts expectedthat be can to Achieved great growth, Establishing 3 25 Building a Startup Vol 2020 Startup Journey Getting overallGetting fastest. grow, eventually heading to failure. Avoiding to ability growth without first. by doing easier things ormore fun Avoiding invest and resources time at atime. Managing amount of balls air inthe Building order. things incorrect Measuring progress. Guiding focus along way. the to achievehelp startups that objective by: development Startup will phases impact. for model scalable business maximumwith of innovation the target -with to grow fast progress to validate and capture value the identifiable and investable form, in talent innovation with in inprocess, isateam of entrepreneurial A Startup Journey Phases in your Development How to use can be improved.” “Only things that can be measured, 26 Building a Startup Vol 2020 Startup Journey relevant now and next. what’s and howto to do identify what, what they should focus on,when to start, ecosystems, don’t know how and where and new other to people startup startups and potential entrepreneurs, future new most business, growing astartup entrepreneurshipabout and creating & and knowledge freely available online, While there are vast amounts of materials of the Journey General Outline several different meanings.” sometimes the same term have where used, terms and language the understanding fully not also in what order to read them. While and pages those information hold, page numbers or index to what random order, having without any in floor the scattered around ripped of from the book and where all individual pages are “It is like trying to read abook, various levels of detail on eachof these organization development and provide and of on phases business based order, divide them into clear modules key these all by right inthe putting pieces keyThe value isachieved and experienced success. organizationand effective from nothing to innovativeof building asuccessful business methodologies developed to various parts existingknowledge best with and future standard thisopen all connect framework, and advisors over years the and by using by entrepreneurs, multiple serial mentors leveraging key the all knowledge captured It minimizes “reinventing by wheel”, the booklet. reasoning for key topics covered the within expertise, research based and statistics knowledge and by providing global existing innovation entrepreneurship logical manner, known filling gaps between methodologies etc. link to eachother ina various existing leading global knowledge, languageas acommon and structure, how balanced and globally neutral perspective, fromThis a booklet isdesigned and built able to: an expert being becoming inthem, but and related methodologies, orabout details deeper all of underlying all levels This booklet the isnot journey about with journey etc. phase overall inthe advisor of specific looking to join aventure, maker, policy entrepreneur team member just starting, roles of audience the inquestion. Ie. new levels and depending needs onthe needed development paths, to cater for different to justify/reason “why so?” manner logical a in and convincingly how connect witheachand they other. understand key phases, related topics make to understanding audiencesgain detailedcontent in enough. level higher others train ator this coach and/or communicate understand, to 0)/10 05/ Formation (-2 → Next 27 Building a Startup Vol 2020 Startup Journey Formation (-2to 0) 05/ /10 (-2 to 0) Formation • Funding sources Incubator → Programme Coworking → Spaces Hackathons → Weekend Startup → Courses Entrepreneurship → Services for “Formation” Supporting Stages• Types• ofideas business Shareholder Agreement → (SHA) ownerships Valuation calculatingco-founder → tool in a as How calculate → to valuation? talks Co-founding → Team → Building team founding startupsneeda Why → m Tea • Initiate activities• Basic rulebook of startupcompany Sample • Strategy & Vision working together Mission, • • Strategy vision? ambition sethigh Why a → like? look vision How good → should Vision • statement mission How good → should like? look Statement Mission • rulebook of startupcompany Sample • valuesstartupcompany Sample in • Culture Company • of content part early SHA Co-founding Ideation & • 28 Building a Startup Vol 2020 Formation (-2 to 0) Designing healthy culture. commitment. &visionmission asdrivers for Understanding of principles the SHA. with commitment to capture value initial the and drivers and ultimately the confirming align interest. motivations Finding personal Aiming big visionswork etc. with. big, help potential markets and ideas to to go after shared and vision. How mission best to find how to communicate to work onbuilding potentialto identify team and members and what tools to use. How and where understand how to build effectively teams of this training purpose The isto help Content Part of Early SHA Co-founding Ideation & 2 1 company √ protect your culture and it will protect your correctedsomeone’s not be actionscan so there is atool to act on to fix things if √ protect the culture also with agreements values written √ culture is always based on actions not √ but in reality is defined by actions taken • Is planned by set and agreed values want it to be √ opt for design it and make it for what you always will there but one will, be √ You can design it or let it become what it • Every Company Have It Culture Company 29 Building a Startup Vol 2020 Formation (-2 to 0) asking for feedback. for asking • Active communication, updating tasks and box. the outside Thinking • leveraging and each other. others Including • Sense. common Using • care, why should anyone else. don’t you if work, passionate your Being about • • Being committed, proactive and taking charge. terms. monetary carry existing process or lines of code that may/not diagrams, improvementdocumentations, in wireframes, templates, design to limited not but include, can these value; measurable Deliverables• matter. Everyone add should Company Company Startup in Values Sample say you don’t know. • If you are unsure –ask. If you don’t know – processes. Iterative • Transparency honesty.• true and on how to improve. is not good, you should always have suggestion • Constructive criticism. If you think something 30 Building a Startup Vol 2020 Formation (-2 to 0) team member.team everyis earned day, task by task by every of this journeynot an obligation. part Being Working inour company isan opportunity, efforts. operationslocal to make of most the our operations,local we must leverage other take advantage of this vast knowledge. In continents, iscrucial that it we share and one. We have vast expertise onseveral consider ourselves ateam and work as internationally we but should always in several and locations positions Our team may have several people value for our customers and stakeholders. onethingcare above about building all, entrepreneurial team and of we people mishaps. and their Wesuccesses are an what they accountable do for and be their ownership for of tasks, their responsibility role.in their We expect everyone to take motivatingmost and valuable for them believe what finding innew isthe people inboxes, people in putting rather but we are highly streamlined. We do not believe We work asateam our and all operations Rulebook Company Startup of Sample be known/memberedbe from? exist What purpose”. “your do you want to Your company statement “why” ie. why you Statement Mission and cameras”. pictures” instead of “making film to capture and save moments in have “enabling been world the like of Kodak should incase it bare down essence to it’s stripped you are doing”? is mission agood explains why are you doing what issomethingMission that “clearly more intriguing and appealing. motivators, vision isalso bigger istoand easier align it various aswell be vision the can bigger clearerThe the mission the interests. hard toit’s have atoolto align sharedWithout statement, mission term vision and milestones. motivators and to help set long to help align isneeded Mission the mission. explored that stay to true the drives relevant new ideas to be Great proof and isfuture mission term vision and milestones. motivators and to help set long to help align isneeded Mission the 31 Building a Startup Vol 2020 Formation (-2 to 0) you don’t do!) don’t you definitionwhat by such as (and • what whom to • do you to: Answers also initiatives) Operative (help drive action & (memorable) Simple Short, Limit to 3to 4“things” Memorable & Inspiring like?look statement mission How good should Statement Mission What? How? Why? 32 Building a Startup Vol 2020 Formation (-2 to 0) Vision just moving forward are not avision. journeythe to term get goals there or short planning vision the you start defined can heading to california, when you have evenin siberia you if thought you were Ie.direction isright. you may yourself find forward asyou not know can the if moving avision you notWithout start can Aligned Vision? Today in the Futurein the 5-10 years planned and measured. such progress towards be can it to achievable be and as intheory visionthe issomething that should guide actions today and tomorrow, Where ismeant mission the to low. visions are set- most often too big enough, isbetter be bigger the vision should and assuch it also to set longIt isimportant term measurable. something more tangible and Unlike be vision mission, can needed. vision the bigger the ambition, the Like bigger the mission, meant “to givemeant “to direction”. of “scope focus”,the while vision is roleThe of isto mission the define You to build asyou need those go. resources for smaller vision either. you most likely don’t have the etc.), beginning asinthe capital (being skills, people, access, resources you onthe based have You should vision the not limit 33 Building a Startup Vol 2020 Formation (-2 to 0) Etc. Competitive (no. 1,best, biggest in x). Quantitative (x%, 100M, etc). of different be also types: can Vision like? look vision How good should Statement Mission 4 3 2 1 Descriptive Think Big “Envisionable” and Clear Futurecasting at your city. 100 customers world than the around veryIts different 000 10 handle to plan moon”. the for stars, on the land “Aim • often vision: withmodes more than And even if you don’t reach it, it’s still of working.models testand more scalable and tools willforce vision design to Bigger you vision. your beyond achieve rarely you would but achieve Modest mayfeel vision easier to you. Whatever set you itwillguide vision vision? ambition high set a Why Strategy where they are going. making achange to and/or getting going and strategy to achieve it. have where avision they about are also means they it � But should where they are going. making a change to and/or getting team beingvery about serious etc. indicating thatcommitment, � you get dedication, asense to…” onamission “They’re When you saying hear someone straying to true your mission. to help reach your vision, while policy and operations framework Your strategy isyour top level strategy. in place, you create can your and long mission With term vision 34 Building a Startup Vol 2020 Formation (-2 to 0) Do those fit to your strategy? fit those � Do of your mission?� Are part those vision? the from further take those � Do you closer or way.the and ideas along opportunities team evaluate and decide on & strategy help your entire Clearly vision, mission defined get there. Your strategy isan framework to enough to last time. Your should mission flexible be and measurable enough. vision isclear,Good descriptive get there. plan ormake strategy agood to aclear vision youWithout can’t focus. vision you &mission With get Together working & Strategy Vision Mission, Activities Basic Initiate broader (yiu willget there faster). instead deeper but of needed “relevant now only” ie. as learn learning focus but on Start possible. alwaysbut present top level as Create more material and go deep, &improveout communication. applications etc. to get your ideas Use all“forms” bplan, pitch Website (weebly etc). Domain (domain tools). etc... media blog, social Online activities, 35 Building a Startup Vol 2020 Formation (-2 to 0) focus problem onthe solved, being than a to more important it’s doesn’t work out, idea than not first more the because often factor than actual the idea itself. And more important becomes often team itself factors of these Because founding the hard.become are things getting doneand abilities will what nomatter skills the right attitude to get thingsattitude done. the Without founders are expected to have real doer In to addition skills co- all and abilities team and members advisors. resourcesadditional inform of additional aswell model, and aswith business marketbalanced skill aligned with sets, by building astrong founding team with ways of thinking achieved that be can various skills different and and abilities requiresFounding and building astartup have hard keeping time pace. the upwith of pace the innovation, even big companies entrepreneurs, intoday’s world but with or may have upby built been initially solo thereand out big corporations that have there startups Historically are successful how they want to build startup. their alwaysIt’s own choice an founder’s Why startups need afounding team Team Here are few reasons: of venture. the responsibility co-founders, who are sharing ultimate the valuablewell, it’s but to have clear 2-3core there moreaddition be co-founders can as of that ownership. In significant portion of eachhaving ownership with majority team ormore of together two having and potential for isafounding success maximum of development speed ability datathe setup indicates that for best the ventures numbersthe for high startup risk founding agood team.or onewith And in by entrepreneur asolo astartup succeed; to of and odds what risk ismore likely to Also from external comes perspective it defined. long problem asthe isbroadly enough for main problem same the over time. As andadditional new and improved solutions This allows also to continue create and an approachsolution for problem. the problem the with until right the finding while solution continuingspecific to work business model. business validator idea & for startup the for ashared upside only, astrong and/or money time their inreturn with and contribute to commit More attractive to other people and moving venture the forward. viewpoints for solving problems easier and quicker to get different and ideas also internally, making it dialogue and to explain concepts toForces have averbal and written todecisions trying involve others. of makingreasons, also incase but not only accident from orhealth that isan obviousperson, risk. If everything isdepending onone emails back and forth). communication materials (even amount of documentation and made. This forces aminimum has eachcontacts person of what developments and each other interms loop inthe to keep need and alsothe Having shared roles to play company.the for skills needed &personalities founders and there are different contact network at reach all from knowledge), and alsoabigger skills, experience, contacts, resources available (time, money, Simply having ormore twice 36 Building a Startup Vol 2020 Formation (-2 to 0) shareholder agreement. that areal promise with confirmed to ashared venture and to have having togetherafter committed muchIt’s harder to simply give up than one. togethertimes iseasier for two time, going through tough the smallthe orbig wins. At same the venture understand and feel can ofas only the really those part developmentssuccessful together to genuinely share highs the of muchIt’s toable more be fun rushed orpressured deals. answer, helping to avoid making before giving first an partner time” -ie. Ihave my to with talk natural and valid reason to “buy situation you always can have a In atough external negotiation emails back and forth). communication materials (even Team various roles. in people independent with entity way, making more clearly it an asingle inanaturalfrom person Helps to separate company the lost one. to replace the anew partner find to keep pushing forward and/or to show must continue and are able thatothers) understand that the founder, there isanother (or If something happens to one can helpcan to strengthen team the needed. if they do for idea, the aswell ashow they more evaluating attention team, the than accelerators, angels, business etc. focus or other resources to help, like incubators, looking those phases, to provide support early inthe reasons these For specifically learning knowledge and skills needed. Including to willingness constantly continue insteadskills of idea. the and attitude isdependentsuccess onactual doing, of great big idea. part so Simply because teamand fail that will poor even a with create even success an average with idea, that said great the team often can It’s founders)the ismuch likely. less (giving uporfor something to happen to all going of andrisk total solo the failure right the team versus with areodds better really downit to comes simple things, the While overall arepoints really important. last the but few arepoints important, organization, naturally of all above the external investor, alender, oran support smallerwith ownership percentage, an member, whether an employee, apartner to comes anyWhen it extended team calculated. how ownership the balance be can methods more oftalk calculating about In shareholder agreement we segment, company isselling. generatedbeing asreal revenue from what resources.on acquiring Preferably money equity, until there ismoney to spend be form of payment, resources inreturn for It model. isasimply compensation a the other resources added, by as using equity applies forpercentages Same all work. instead of just thinking logic the of how tolearn appreciate value true the of team, making total number of shares So 2000. have asan example shares 1000 each actual number of shares, you could both lowering dependency the etc. risk Also in strength inboth areas, responsibility carry to brainstormability and iterate faster, much resources, not more if due increased as twice with asbig, company istwice should cofounders think two that the with availablethe 100%. However instead you are thinking of whogets how many %from founderstwo sharing ownership the you company Ie. needs. inpercentages with build upresources about that the it’s “giving away something”, when inreality creates suchAs it anatural feeling of way of dividing ownership the stakes. using percentages (%)aseasy and needed a cake This issimply because inpieces. founders team, feels it like you are dividing When building ateam, co- the specially Team Building 37 Building a Startup Vol 2020 Formation (-2 to 0) Mentors Board Members Advisors Startup a About Titles in Shareholders TeamOther Employees & Founding Team Members Founder and/or co-founder(s) Typical roles in astartup Team to join venture. the looking for potential co-founders to while others, time at same the independently and thentalking an ideaComing upwith team. ideathe continue vague asinitial of discovery the who were of part event, orinbar, trip, where those brainstormed together at some beginning, the havingfrom met and by isbuilt team the startup The together. come co-founder typically Generally of ways there are types a two venture. entrepreneurial skills of and appeal the sign done atrue isalso of it getting Building ateam but isnot asmall task, 2 1 At the same time committing with aco- with At committing time same the opportunities. once, opens upawholeit new world of you have after stepsthose that, passed expanding pastthis isoneof Getting out. than are what potential the of benefits meet inreal life has way more limitations level only you people with have met orcan to hesitant being If work inany serious inquestion etc.mission motivatorsattitude, of vision & for type for, and not only inform of skills, also but founders or team you members are looking of co- what type toand also describe online to and to job post also boards etc. information online and inyour profiles looking for team and members to this list solved. recommendable active It’s be in theyif like idea the problem orthe being oraremembers to open join other teams they isif arethis about looking for team minimumThe thing everyone should foundersinitial team ontheir building. organizations alot bring of can value to programs and events support by startup really think Here contacts. of business and don’t of friends, or friends friends, fromperspective, meaning they start from abusiness potentialbest partners entrepreneurs, time tofirst go for try the Very contacts. suitable few, at least from to among for look own their network start In other the entrepreneurs most model hackathons etc. weekends,such like outcomes, startup events with so catering for specially and evenhappens quite often more isarandom it situation, first but The owners. this gives much more fair way to divide the regardlesstime paid ornot. of getting the everyone’s and over initially contribution divide ownership the logic onthe based of have ago through and discussions these have. to important for reasons these it’s overtime founders different commit may expectationsdifferent to and abilities the as a surprise comes it and often shareholder and founder discussions When going to more these detailed overcontributions this. as well commitment and astheir other overcontribution to time watch future the should taking be into account everyone’s and to give everyone an equal share it shares onhow many based isinvolved meaning that instead of just simply dividing a problem journey asthe progress, lightly and insimple ways that become will many this thought isalso times to out createdbeing at early However phases. longthe journey together and culture the considering team commitment, principle ownership. ingeneral this isagood target to get fair and equal way to share a ownership with stakes, oftentimes dividing about co-founders comes also When team talking question the about online oroffline. in place regardless relationship the if isvia always have and clear agreements good orwhenend going and if to business togetting know eachother other onthe founding team isto spendenough time rushed into. way best The to build astrong founder, isnot something that should be 38 Building a Startup Vol 2020 Formation (-2 to 0) and divide to %. for time commitment contribution Calculate everyone’s time 2-3 years to founder earn shares). at that levelcommit (should be Agree onhow long to initially contribution. Agree oneach member financial weekly hourly contribution. time Agree oneach team member TalksCo-Founding Team 4 3 2 1 team. raise or shared remaining between for new team capital members, used be got themcan back from leave,If people shares that are give back all. continue. leaver Bad isto penalty able to not be if in nominal price are tosold back to be company year keep 1/3shares and others each in 3year agreement, after terms leaverput that good can shares onthose Then should be forused this purpose). valuation500k at this stagebe can at agreed valuation (like around Additional %for money contribution 6 5 7 contributed. and options is astime are earned agreement strict thanless SHA for team additional with members new shares, used options be can asoptions.used Also instead of reserved to be be %can allocated From of total shares initial part createdbe for investors. just asnewneeded, shares would shares orstock options if allocated created be and can new period After SHA initial vesting new period, 8 9 from their shares their from are deducted. that portion sharestheir or accept, each founder should guarantee per guaranteespersonal by founders, � If company takes loans that need ownership %. should paid equally be the per deducted %OReveryone from ownership stake and should be not counted when calculating moneywork paid should with customerfrom revenue), this investments, most preferably but (money asgrants, that comes paid money to work venture inthe isactually� If and when someone 39 Building a Startup Vol 2020 Formation (-2 to 0) therefore value the iszero. is noplace for value to and to attached be there is noshareholder agreement, there value. of that isthat if Then other the part there anything, isnoproven does nobody shareholder agreement isalways zero. If valueThe of company the before you have stages. “dealtool” at startups all development, considered being asacore ameasureIt reflects of company the etc.) investments contacts, (for services, work, ownership %estimated and sweat equity disputes, etc. for It needed isalso founders such asdivorce, loans and legal factoring, forneeded other calculation purposes investing money to company also but Valuation and know used from istypically ownerships co-founder Valuation as atool in calculating How calculate to valuation? Team valuation. happenswhen actually it validates the In any case, only transactional the value reviewedothers, being every three months. you want to give shares for mentors orfor asteam orif members add new partners Youneeded. you if asabase useit also can internal the but oneisoften purposes There asmany be can valuations as company registered. that be will says that value the all belong will to the 6 months later, shareholder the already you may actually register company the now even there’s if nocompany and youOnce have shareholder the agreement, Shareholder Agreement (SHA) • Rules Governing Rules Disposal Share • Exit Situation Partner normal in Back Option Buy • bad Leaver & Good • situations exit & entry Partner/shareholder • Vesting & Commitments • Structures Ownership Tasks Rolesof Partners & Market Value Determination Governing and LawDisputes Agreement the to Partners among Communication clauses,Competition Confidentiality Rules (IPR) Intellectual Rights Property 40 Building a Startup Vol 2020 Formation (-2 to 0) all together:all individually out combined orbe carried be are essentially three ways to think that can When searching for ideas, there business Ideas Business of Types possible ornew needs/problems?).possible of changes those (what isthen that takescenarios advantage �Develop ideas business to overlapping impacts); megatrends (consider also in 5-10 of these years because how willthings differently be society, etc.); �Imagine biz, development (technology, patterns 2-3megatrend �Choose (big) opportunities: future Identify for �“Über [x]”; today; tools would of build it with be if �How would like [x]look industry Disruption thinking: for problems. those ideas solution �Find/design best customer &problem); online →Search (industry/ (people/companies); →Ask target from customers problems: real �Find and interesting aproblemFind asolution: to find different perspectives: different and createneeds ideas for growth from Instead, you have to focus market onthe etc.) and eventually isnot astrategy. hope strategy, to hope find needs, meets it hope markets, to (hope are find onhopes based justinitially looking for ideas of asall them In general, makes it to nosense start testing. building oreven ofand some them worth ideas iszero ideas all are but not equal approach inany but value the case of Looking for ideas isalways asystematic needs. areoutcomes) customers the (ordesired metrics �these execution of a job; successful to the “metrics” define use �customers “at heart” done”; and emotional “jobsfunctional to help themget& services �customers buy products market opportunities; a canvas image) (see to identify �mapping customer in needs stability, �speed, output; successfully; �quickly, productively, �50-150 customer metrics needs (customer process/journey); �focus “job onthe done” �95% have need the not defined Customer needs: cheaper, better). get job the done better. (faster, executors xwillingness to pay to →Jobdone. number of job �Market Size (right): xproducts xbuyers →price �Market Size (wrong): Attractive market?: 41 Building a Startup Vol 2020 Formation (-2 to 0) � opportunities dictate strategy. dictate opportunities � product improvement?; breakthrough orradical, sustaining, �low disruption, cost Strategy Product better. �Will pay more to get job the done done onasingle platform; �People want to get whole the job done significantly better; �Get it �Get more of job the done; job done; �Products rarely get whole the get done?; �What job are customers to trying Jobs Done: Ideas Business of Types forward. one to move onbest Focus ideationOther methods testing. canvas model Business play. Team/resources/skills required. potential.Business doing this?). (why arePersonal you criterias are: them to criterias down. cut Some to generate, you to and prioritize need filter Whatever number the of ideas you are able risks. and would efforts how it impact oncosts, or create new criterias new processes, strategies, how idea the would force to modelsorgo tobusiness market impact onexisting features, platforms, like cases different how that idea would growth, then you apply can them to youOnce have created your ideas for value. togetheror all inorder to demonstrate its through methodologies/techniques some idea the must validatedAfter that, be Not Scalable Market Push Market Shrinking Small Market Potential Less “Love the problem not your solution.” one.” invalidated “Even failed idea is more valuable than Business PotentialBusiness Market Growing More Potential More Market Pull Big Market Scalable 42 Building a Startup Vol 2020 Formation (-2 to 0) Strategy Operations Planning Marketing and Team Building Leadership Law Finance entrepreneurship are: course topics that aretypical covered along this launch ofsuccessful anew venture. The from creation process the of an idea to theoretical and practical perspective of entrepreneurship, explaining from both organization tosupport teach basics the orpublic orprivate schools business It isusually by run universities and What isan entrepreneurship course? Courses Entrepreneurship Stages “Formation” for Services Supporting your business. your make sense offormethods financing realistic of a what understanding Gain plan. winning used for and how to construct a Understand what are plans business what market the really wants. how to test it, and how to adapt it to model, business a Learn how build to opportunity. between real a business ideaand an difference the assess howto Learn spotto them. market the how in and businesses arise forUnderstand how new opportunities who entrepreneurs. are typical Learn what entrepreneurship and is to: addressed are topics these All economy. of entrepreneurial the part to become In any case, there must apassion be potential high-growth or enterprises). already practicing (e.g.owners of small who are entrepreneurs those and These targetenterprise. potential startoperate skillsto or and an knowledgeusually focus building on courses training Entrepreneurship students. education target higher secondary or entrepreneurship skillsabout and and knowledgeusually focus building on courses education Entrepreneurship objectives and target audiences. distinguished from oneanother by their drive entrepreneurship they but are of them are oriented to stimulate and training programs inany but both case under education and classified be can Typically, entrepreneurship these courses target? Who courses 43 Building a Startup Vol 2020 Formation (-2 to 0) community ornotable names tech inthe community startup respected of members local the (generally panelists coaches, well- Warriors’), event the speakers, attracts known as‘Weekend (otherwise attendees have averaged Into addition 13–300+). (although eventsparticipants past inthe and are generally of 60-120 composed of aweekend (approximately hours), 54 WeekendStartup events span course the entrepreneurs. involving135 countries, over 210,000 WeekendJuly 2015, Startup has reached organization aglobal presence. with of As WeekendStartup has grown into an demo, orpresentation by Sunday evening. work to develop aworking prototype, form teams around ideas, and those companies, ideaspitch for new startup marketing and more gurus, graphic artists enthusiasts, managers, business startup event, during which groups of developers, WeekendStartup weekend isa54-hour Weekend?What isaStartup WeekendStartup Stages “Formation” for Services Supporting how many startups arehow many launched. Rather, startups Weekend realthe value inaStartup isnot entrepreneurship and communities inlocal istomission teach and promote Weekend Startup to se per build startups. WeekendStartup events are not designed Outcomes Potential right in. to and open new ideas you’ll fit or startup scene, you if motivated to build aproduct entrepreneura serial ornew to startup the (marketing, finance, law). Whether you are designers) and 50% business coders, are roughly 50% technical (developers, Weekend backgroundsStartup attendee WeekendWho Startup targets? like minds. experiencebootcamp of and anetwork and others take them the with startup weekend tostartup operating build afully teams end upworking together beyond the company representatives. share Agood of and various and industry), sponsors step into entrepreneurship. and for many, taking about first the it’s experimenting inarisk-free environment, potential cofounders, validating ideas and networking event,than atypical matching creation, developing relationships deeper learning through about of act the it’s predicted. performing as is business the until loop Repeat build-measure-learn the customer messaging). channels, (product, model the Optimize model. Measure performance business of the product.Ship Sketch model. business a version. team develop to a Build first product a Attendees how learn to: 44 Building a Startup Vol 2020 Formation (-2 to 0) organizing companies. and new ideas for or sponsoring software in many goal the isto cases create usable although purposes, educational orsocial hackathons are intended simply for is ahardware component aswell. Some projects. Occasionally,software there managers, collaborate intensively on designersdesigners, and project interface hardware development, including graphic involved development insoftware and which computer programmers and others hackfest orcodefest) isan event in hackathon known (also asahack day, What to comes software-oriented Who Hackathons target? have aparallel track for workshops. to solve problems. hackathons Most also and aweek) where together come people aday last(hackathons between typically A hackathon isany event of any duration not haveIt does technology. to about be Hacking iscreative problem solving and What isaHackathon? Hackathons Stages “Formation” for Services Supporting software being created. being software of there type onthe isnorestriction cases, internal company hackathons. In other demographic group of programmers, the application, an API, subject orthe and the language operating the used, system, an includewhich can programming the Hackathons tend to have focus, aspecific Hackathons of Type problems are interested they in. make to participants headway on for Provide time a space and a somethingnew. learn to forProvide participants opportunity an newcomers. Refresh the community with hackathon for. is that the community the Strengthen Potential Outcomes: 45 Building a Startup Vol 2020 Formation (-2 to 0) prototypes. external views onyour ideas, challenges or forto or visit team be building orgetting other. such As are these great also places working place alongside same inthe each from working whovalue people with interested synergy inthe that happen can whosharebut values, and whoare whoarepeople working still independently, gathering social of the is also agroup of up working inrelative isolation. Coworking whotravelor people frequently whoend professionals, independent contractors, isattractiveTypically to it work-at-home Who coworking target? spaces ventures.support a programme of events orlearning to other ventures orentrepreneurs, and to meet meeting space, opportunities A coworking flexible space offer desk and What isacoworking space? Spaces Coworking Stages “Formation” for Services Supporting entrepreneurial programs that help both of developmental series as well offering & but space not only hosting SMEorStartups where coworking we find can in oneunit, “Coworkingconcepts &Entrepreneurship” ideathe of overlapping new the two havespaces implementing, reflects started and programs that of most co-working the of activities arespaces changing, type the In many of coworking activities the places, Key Activities building business. apthe evenlocations while countries, indifferent invariousteam isscattered physical where inastartup, other team position including even those inaco-founder or distractions the of home,them escape at home, while letting time at same the working experience people while working of isolation that many independently Coworking to asolution problem the offers until project the alone. could stand at years least for his/her project, first the toentrepreneur’s skills stability and bring entrepreneurial programs that unleash the networks and developmental different & by inspiring entrepreneurs ideas, with entrepreneurial &sustainable communities they but areelse- helping building -you get can that somewhereoffices Coworking are spaces not only offering SME. entrepreneurs & the startups and their 46 Building a Startup Vol 2020 Formation (-2 to 0) guide student teams toward success: Examples of resources provided to help What an incubator programme offers? co-workingmodels with spaces. is more and more overlap incubator with and through of There network contacts. its incubator business inthe both and offered orchestrated by incubator management programme are usually developed or by offered incubator the services The stages of development and change”. them through by early supporting startups and grownurture new and potential designed to infrastructure and people,processes, combination development of business “Incubation isaunique and highly flexible What isan incubator programme? Incubator Programme Stages “Formation” for Services Supporting Technical resources Technical resources Non-equity seed funding Advisors experts Exclusive withguest Office Hours entrepreneurs withvisiting Founder Dinners Mentor-matching program roundtablesIndustry-specific Private workshops spaceCo-working vesting terms. and money use, for minimum 3years with time including milestones, committed agreement co-founders, signed between inplace.product Shareholder orservice external resources, oralready have initial dependency of uncommitted without (Minimum Viableor service Product) able being to developattitude, product the founding shared team with vision and and balanced co- produce committed incubator‘sA business main goal isto Outcomes rolesadditional &ownership. have potential extended team for members skills and balanced ownership plan. Maybe complementary core co-founders with 36 months. Two orthree entrepreneurial years onhow to get there, 24, ->3,6,12, key for milestones defined at least next 3 strategy initial and and vision with mission Typically teams that have already defined Who programmes target? Grants Scholarships Competitions Startup Projects GrantsR&D and Universities Founders Family Friends & Founders Funding sources Funding Company valuation 0-100 EUR 47 Building a Startup Vol 2020 Formation (-2 to 0) Validation (0to 2) 06/ /10 (0 to 2) Validation • Funding Sources Funding • Accelerator → Programme Services for “Validation” Supporting Stages• Tools Planning • • Build, Iterate &Validate (KPI’s) 48 Building a Startup Vol 2020 Validation (0 to 2) on passing throughon passing this phase fast. validate isenough. Learning to focus learn. enoughfinding customers to able to be of validatingpart team the commitments. validating this product/service, the isalso for used be these. Whilecan focus inon framework and tools that prioritization of MVP thinking,Understanding benefit the previousbetween stage and this phase. change inmindset that to needs happen how to build right the KPI’s. What isthe and used and methods that be can of validation understand importance the of this training purpose The isto (KPI’s) validate & Build, Iterate Pivot Iterate Rebuild Build Define Target/KPIDefine &Test Validate & Evaluate Measure is Key.” ofIteration Validation“Speed / Cycle 49 Building a Startup Vol 2020 Validation (0 to 2) The RightThe Way WrongThe Way Viable Product Minimum a How Build to launch.before Universal and after funnel. Understanding opportunities funding the (KPI’s) validate & Build, Iterate 1 1 2 2 3 3 4 4 fast and crappy for feedback.” create, make so version first super the “It’s always easier to iterate than A/B Testing Funnel Logic FrameworkPrioritization for Features Inbound & Outbound Marketing Outbound & Inbound learnings. Askabout d. volume of activities; c.Ask from new strategies and numbers; the Always keep b. asking a.Getting to 2; Advisory Part: Validation b. Engine. a.Lean Startup; videos, etc.): Terminology for (blogs, SelfLearning Typical (vanitymetrics) Myths / Issues Growth Engine FrameworkPrioritization for Testing Wireframing Tools ValidationReal VS. Selling Opinions MVP Workshop Content 50 Building a Startup Vol 2020 Validation (0 to 2) deeper plans and assumptions after that. plansdeeper and assumptions after level fundamentals right and then develop to model, of business get the top the parts ofdifferent dependencies between and to and iterate see process, inbalance asawhole,model validation along with easily visualize and iterate business the canvas, model Business allows to more business. the tools, until reaching phase scaling the of canvas orlean canvas asmain planning focus onusing tools like model business morefor reasons valuable these it’s to validations have done successfully, been plan business a meaningful until enough to write ideas, there possibility islimited means testing plan the unvalidated isabout repeatable it model, and scalable business are insearch of startups Because inmore business the detail. and plan plan, for adescription Business s Tool Planning � Optimal asplanning &learning tool. onmany based assumptions; startups) � Optimal for unvalidated models (ie. business model; for suited highlighting� Best overall business very space; limited with � All visible time topics allthe in“one pager” Topic 1 Topic 2 Topic 3 Topic 4 Canvas as aTool Topic 5 fit) ie. before business becomes “known”. ie. before becomes business fit) and during validation (building product market most relevant inallstages, but � Useful before (ie. investors, advisors, team build); ecosystem”“startup external communications � Most revelant asinternal for tool and startups Topic 6 Topic 7 Topic 8 Topic 9 51 Building a Startup Vol 2020 Validation (0 to 2) assumptions for validation content. based to clearly good also separate It’s is run. manual”, documenting how business the evolve more central asthe “operating to could reallyIn phase scaling it start etc.) than of a simple business. description actual plansabout (of strategies actions, should nameas the more indicates, it be onunvalidatedbased assumptions. Also to keepuseful light oncontent and limited validationthe phase progress. However it planbusiness onaside build being upas value inhaving aiteratively building draft At needed. be there time same the is aversionso plan of abusiness may for applications funding orother purposes, However, plan business may needed be s Tool Planning � Eventually onallvalidations plan business based you able alsoagood to willbe compose and learnings. � Always and take see ie. model” into business relations account “whole the of each of boxes; the � Validate and build each of boxes the oneby one; Canvas as aTool Topic 1 Topic 2 Topic 3 Topic 4 Topic 5 Topic 6 Topic 7 Topic 8 Topic 9 52 Building a Startup Vol 2020 Validation (0 to 2) (lenders &grants); externalspecific communications � Most relevant in for startups tool; � Not optimal asplanning &learning ols Tool Planning business becomes “known”. becomes business (product market ie. when fit) most relevant validation after becomes inallstages, but � Useful onassumptions;based models (ie.business startups) � Not optimal for unvalidated indetail;business for suited explain� Best “known” unlimited space; ina“longothers with document” � Topics layered ontop of each Tool a as Plan Business Topic 3 Topic 9 Topic 8 Topic 6 Topic 5 Topic 4 Topic 2 Topic 7 Topic 1 53 Building a Startup Vol 2020 Validation (0 to 2) The ValueThe Canvas Proposition canvas: model business and different pitch visualize startup below setFind of tools widely to used s Tool Planning

Value Propositions & Services & Products Gain Creators Relievers Pain

Customer Segments Gains Pains Customer Jobs 54 Building a Startup Vol 2020 Validation (0 to 2) ols Tool Planning Cost Structure Cost Problem List yourList fixed and variable costs. howList these problems EXISTING ALTERNATIVES yourList top 1-3 are solved today. problems. Key Metrics Solution List theList key numbers taht Outline a possible solution tell you how your business for each problem. is doing. Proposition Value Unique List yourList X for Y enology e.g HI-LEVEL CONCEPT Single, clear compelling Youtube = Flickr for ideas. message that states why you are different and worth paying attention. Revenue Streams List yourList sources of renevue. Channels AdvantageUnfair List yourList path to customers Something that cannot (inbound or outbound). easily be bought or copied. Customer Segments List theList characteristics of EARLY ADOPTERS yourList target customers your ideal customers. and users. 55 Building a Startup Vol 2020 Validation (0 to 2) � multiple products. � product market fit; � problem fit; solution for: good and More focused products Lean Canvas s Tool Planning Cost Structure Cost Problem List yourList fixed and variable costs. howList these problems EXISTING ALTERNATIVES yourList top 1-3 are solved today. problems. Key Metrics Solution List theList key numbers taht Outline a possible solution tell you how your business for each problem. is doing. Proposition Value Unique List yourList X for Y enology e.g HI-LEVEL CONCEPT Single, clear compelling Youtube = Flickr for ideas. message that states why you are different and worth paying attention. Revenue Streams List yourList sources of renevue. Channels AdvantageUnfair List yourList path to customers Something that cannot (inbound or outbound). easily be bought or copied. Customer Segments List theList characteristics of EARLY ADOPTERS yourList target customers your ideal customers. and users. Business Model Canvas Model Business � business asa whole.� business market model � business fit; for good and focused model More business Cost Structure Cost Key Partners Key Resources Key Activities Value Propositions Revenue Streams Channels Relationships Customer Customer Segments 56 Building a Startup Vol 2020 Validation (0 to 2) ols Tool Planning Cost Structure Cost Problem Key Partners Key Resources Key Activities Key Metrics Solution Value Proposition Revenue Streams Channels Relationship Customer Unfair AdvantageUnfair Customer Segments segment, highersegment, price; big audience,� low price smaller being aplatform; instead other� feed platforms of competitors; � merge with � “online growth”; price, indirect, freemium; indirect, price, fixed subscription, rent, � sell, faster incore biz; to scale noncore activities � cut � buy others; partnerships; � models are: examplesSome of business businesses; for others aplatform � be � franchising; � organic growth; 57 Building a Startup Vol 2020 Validation (0 to 2) following structure: An accelerator programme usually has the What isan accelerator programme? Accelerator Programme rather than individual companies. or‘classes’ of startups � Cohorts and intensive mentoring; programmedcomprising events to three sixbetween months, usually support, � Time–limited individual founders; � Afocus on small teams not usually inexchange for equity; � Provision investment, of pre–seed toopen all,yet highly competitive; that is � An application process Stages “Validation” for Services Supporting for money to buy resources.” buy to money for you need, not only chasing investors “Use equity to get resources what Speculations.” “Test & Measure -Minimize for equity, revenue share revenue. orfuture resourcesbased (money orsweat equity) investment additional to attract start can Indicators (KPI’s)Performance and they or revenue. They have Key identified to demonstrate user growth initial and/ assumptions until have validated solution Teams that are Iterating, validating Who programmes target? missions. For example: For missions. reasons, and therefore have different Accelerators are created for different accelerators of Type technology. an ecosystem around acore Nike+ Accelerator) to help develop of the or else case (asinthe research issues, tackle specific tomay help established either be accelerator� Corporate–sponsored available; where there isnoprivate one overall ecosystem offering, service development agap orto inthe fill economic goal the of local with accelerator may established be � Agovernment–backed deal flow for investors; existtypically to provide better � Venture–backed accelerators 58 Building a Startup Vol 2020 Validation (0 to 2) implementing processes. wanted. improving Hiring, and inquality orwouldfunding able to be if do so May, orhave will significant attracted target market. Can and want to grow fast. or market traction inabig orfast growing in user, customer revenue growth and/ showing KPI’s measurable, based growth strong with focus ongrowth, Startups Outcomes Stages “Validation” for Services Supporting Inbound Channels Total ?% ?% ?% ?% ?% ?% ?% Customers Segments awareness “website” “demo” buyin use % % % % % % Outbound Channels Outbound 59 Building a Startup Vol 2020 Validation (0 to 2) Valuation 100-500 EUR � Early stage VC’s. Loans;� Business � Company Grants; crowdfunding; � Crowdfunding and equity �Early stage angles. business equity); �New team (sweat members � Accelerators: orincubator grants; � Startup partners; � Business � Customer revenue; new opportunities. In to addition previous the ones, Sources Funding Scale (2+) /10 07/ → Next 60 Building a Startup Vol 2020 Validation (0 to 2) Scale (2+) 07/ /10 Scale (2+) with big companies with big working & extended plans), option team & • Funding &growth (advisory board, 61 Building a Startup Vol 2020 Scale (2+) exit. exit. for yourself big customers. Setting with ofinternationalization. working Benefits this phase. Strategies effective of cost previousto happen between stage and What change isthe inmindset that needs to scale.possible How to adjust KPI’s. past managing,and to getting make it them and building teams. delegating learning validating to build processes, methodsthe orgrowing organization, of this stage isto purpose The understand companies working big with option plans), & & team extended (advisory board, Funding &growth � Prioritization Framework. � Prioritization Tools; � Communication Framework & � Competition; Leadership; � Delegating, Management vs. � Taking Care of Culture; the Validating,� Hiring, Firing; � Cash Flow =King; � Option plans; Easy to Implement Highest Priority Highest Improve Idea speculate on.” at various levels would otherwise you “Apply ‘mvp thinking to everything’ High Impact Towards Targets No Impact Towards Targets General Prioritizing C A D B Ignore Method Implementation Improve Method Implementation Improve 62 Building a Startup Vol 2020 Scale (+2) Building GrowthBuilding 08/ /10 Building Building Growth • Funding sources Stages Services for “Scaling” Supporting • Engagement Product Metrics and Other → Qualities Defining Other Economicand → Metrics Financial & Business → KPI’s • Marketing• channels wholeto funnel →Connecting paid adds (controlled funnel) 63 Building a Startup Vol 2020 Building Growth new/improved inbound; ie. point 1.to generate(processes) improvements and new ways Ongoing that seeks for process inbound; Ongoing that generate process(es) seemingly similar separate but functions. to separateIe. important also to it’s presentations versa orvice etc.) to other channels to (from calls online to &tested applied that then be can better what works and why works better it continuous about learningAlso and it’s improvements and cumulative growth. significant where bring combined those percentages here &there time, the all found),if to but keep improving few naturally are those more than welcome big leaps to (even find trying about General building not about growth. It’s Growth Building 2 1 Automated Outbound. toaddition existing ones; in to new run inbound processes new resources should added be OR processes/methods performing to better, be by giving uponleast that haveprocesses proven been moved 1.Shouldfrom be to do new With fixed resources, resources 4 3 whitepaper or readwhitepaper more (covert “synapsis”with and download value question for that specific landing page deliveringspecific question to i.From specific b.Build funnel funnel onefull with i.Start segment further to key phrases ingoogle ads / a.Convert top ten question connection): sales questions of first typical point (ie.information at specific of customer islookingtype Target key phrases what specific VALUEOffer willfollow; sales first, funnel) to whole funnel whole to funnel) Connecting paid adds (controlled 2 1 d.Build next one... Track c. measure improve type). “whitepaper” email as expectation iscaptured is (except step where funnel at initial than alot isbetter once” often to “contact more sales” -“short relevant reading) and naturally link value, again with links for further easy to read/extractemail” (short, one. Ie. “one key one point per more value ontop of previous each email isreminder and build weeks” (orsimilar cycle) where segment” two list per on“1per automated follow upemails mailing iii. “add to email captured” to track conversions from infunnel ii. funnel previouswith steps overall inthe content to that specific connects and click download,address, takes that form to isbehind give email blog to etc.) posts white papers Automate “email to to Add “goals” google analytics 64 Building a Startup Vol 2020 Building Growth � Own Market� Own Research � Traditional Media � Engineering asMarketing platforms Media � Social � Email Marketing � Content Marketing Ad’s � Offline &Display� Social Ads � SEO � SEM � Unconventional PR � Traditional PR � Viral Marketing Channels Marketing � Partner Channels � Partner � Own Market� Own Research � Traditional Media Building� Community � Speaking Engagements Events � Offline � Events &Trade Shows etc.) stores, portals industry Existing� Other (app Platforms � Affiliate Programs Sales � Outbound Development� Business � Online forums � Target Market Blogs KPI’s Business & Financial Metrics Financial & Business Annual Contract Value (ACV) � Total Contract Value (TCV) vs. Rate� Burn Turns � Sell-Through Rate &Inventory � Gross Margins � Average Revenue Per User (ARPU) � ARR ≠Annual Run Rate � Total Addressable Market (TAM) Inorganic … Blended vs. Paid, Organic vs. � CAC (Customer Cost) Acquisition and Billings Revenue orDeferred � Unearned … Revenue vs. � Gross Merchandise Value (GMV) � LTV Time Value) (Life 65 Building a Startup Vol 2020 Building Growth � Economies (“Scale”) of Scale � Virality � Network Effects Qualities Defining Other and Economic KPI’s � Downloads � Churn � Month-on-month (MoM)growth � Active Users � Customer Concentration Risk of Traffic � Sources � Active Users � Registered Users Analysis � Cohort � Net Promoter (NPS) Score Metrics Engagement Product and Other Sources Funding Valuation range: 1M-10M+ EUR � Venture capital angels and international� Bigger business 66 Building a Startup Vol 2020 Building Growth Additional tools & Resources & tools Additional 08/ /10 Resources Additional tools & tools UZrTl16hZdk vs bad strategy· Good http://youtu.be/ Richard Rumelt XtyCt83JLNY statement· Mission http://youtu.be/ YSOKBtY · Vision statement http://youtu.be/ioY- Olsen Erica http://youtu.be/XlVBD4PmcTg · What make statement: mission good b2MyaR0gMo0 http://youtu.be/ · Vision vs. Mission Johnson Bruce market-creation www.slideshare.net/Strategyn/new- · http://youtu.be/-QVhW_rZiBA &http:// · https://strategyn.com/ Tony Strategyn Ulwick, · http://youtu.be/qp0HIF3SfI4 action. How greatSimon Sinek: leaders inspire watch?v=0zCtHDPRlog · https://www.youtube.com/ Ideation Framework Josh Wexler with · https://strategyn.com/ · http://youtu.be/-QVhW_rZiBA Tony Strategyn Ulwick, · http://youtu.be/Kjcx87JmhvM Clayton onjob Christensen todone be www.youtube.com/watch?v=_zWgGX71Iws of Entrepreneurship· Six Myths https:// youtu.be/NExvTgq5IM4 · Ways entrepreneur to become http:// be/1mw_Uo5ba58 · Varieties of innovation http://youtu. Bill Aulet, MIT watch?v=A5rO8M5zd68&nohtml5=False https://www.youtube.com/ (there isno“silverProcess bullet”) Great Systematic videoabout Approach &

67 Building a Startup Vol 2020 Additional tools & Resources A/B testing, unbounce and-topics/ � http://thestartuptoolkit.com/blog/series- Rob Fitz � http://leanstack.com/blog/ Lean Canvas, Ash Maurya � http://steveblank.com/ Customer Development, Steve Blank � http://theleanstartup.com/principles Ries Eric Lean Startup, Google Analytics � https://quickmvp.com/ Quick MVP validationboard/ · https://www.leanstartupmachine.com/ Validation Board · https://strategyzer.com/ Canvas (Strategyzer) and online tools and Value Model Business Proposition watch?v=0zCtHDPRlog · https://www.youtube.com/ Josh Wexler Harvard i-lab Ideation |The Framework with · https://www.launchrock.com/ LaunchRock founders-shareholder-agreement.html · http://www.startupcommons.org/ SHA shareholder-agreement.html · http://www.startupcommons.org/pre- Pre SHA · http://startupweekend.org/ Weekend Startup · https://angel.co/recruiting Angel list jobs.html · http://www.startupcommons.org/startup- For LookingSites Team Members AkQ1kWWsh0E · Company Culture http://youtu.be/ InkinenSami Term-Sheet-Series-Brad-Feld � http://www.scribd.com/doc/50277123/ Funding term sheet 34f4ded5f176#.2s671q40m � https://medium.com/swlh/how-to-hire- WardHenry onHiring � https://www.intercom.io/ onboarding etc.) Customer relations (automating at scale � https://growthhackers.com/ Growth hacking � http://mailchimp.com/ Newsletter tool &tons of tips scaling-business-sales/ � http://schoolofherring.com/2015/12/28/ � https://www.pipedrive.com � http://blog.close.io/ � http://close.io/free-sales-course/ tools &knowledgeSales � http://www.pipefy.com/ Managing Scaling and-resources � http://www.nirandfar.com/past-articles- Building NirnFar habits � http://unbounce.com/blog/ � http://www.avc.com/ � www.techcrunch.com � www.venturebeat.com � www.mashable.com � readwriteweb.com � http://blog.guykawasaki.com/ � http://abovethecrowd.com/ � http://www.feld.com/wp/ � onstartups.com (podcast) � http://ecorner.stanford.edu/podcasts.html (podcast) startups/ � http://thisweekin.com/thisweekin- � http://www.bothsidesofthetable.com � venturehacks.com � news.ycombinator.com Blogs 68 Building a Startup Vol 2020 Additional tools & Resources Startup TerminologyStartup Terminology 09/ /10 ​Startup • Startup Progress Startup Related• Terms Product• Related Terms Related Finance Terms• Terms Startup Basic • Ecosystem Startup • Terms Terms Basic • 69 Building a Startup Vol 2020 ​Startup Terminology Entrepreneurship isthe Entrepreneurship and Profitable. Innovative, Unique, Problem solving a promising idea business are: of characteristics The business. of buildingprocess asuccessful milestoneidea inthe first isthe for money. offered that be can An centered onaproduct orservice for gain financial that isusually used thatidea be can isaconcept In context, business abusiness Idea orunderstood. defined used, termsmore are variety onhow specific international context, there even be can evolving. isstill definition within Specially they are orasarecent used term, the of terms the have can variety ways inthe build ininnovativeness inthis sector, many relatively young with combined history ecosystems and startup Also due startups they havestartups meaning. more specific general language orthat incontext of and terms, that not commonly in used ecosystems havestartup alot of words Like any markets orsector, and startups TermsBasic drawn to opportunities, innovationdrawn to opportunities, entrepreneurial mindsets are often Individualsand outcomes. with towards entrepreneurial activities which orientates human conduct stateRefers of mind to a specific Entrepreneurial Mindset employees. and, more than likely, without boundaries without business their grow others, collaborate with go into by business themselves, A professional to whochooses EntrepreneurSolo more than at atime. onebusiness entrepreneursThose whoown Entrepreneur Portfolio new businesses. starts new ideas upwith and comes An entrepreneur whocontinuously Entrepreneur Serial venture.business for risk the and assumes a whoorganizes,A person operates, Entrepreneur business. idea into and turning it aprofitable groundthe an up—coming upwith development of from abusiness such aspatents. ownership of intellectual property and knowledge. R&Dmay result in problems orcreating new goods at discoveringaimed solutions to basic and research, applied and combiningSystematic both activity R&D techniques. products, or new processes, solving problems ordeveloping at usingaimed basic research for and b)Applied research iseffort increasing knowledge, scientific at aimed research isinquiry general a)Basic categories: new facts. It isdivided into two current knowledge by discovering employed to increase orrevise Systematic investigative process Research rewards. challenges, incentives, and of and responsesto action, influences an individual’s choice orsituation. Attitudeperson, towards idea, object, acertain respond positively ornegatively oratendencyA predisposition to Attitude and new value creation. enterprise. to their much capital financial they may unable be to contribute ventures, start-up in their since for entrepreneurs cash-strapped preferred of mode building equity work by owner(s). the It isthe is created result of asadirect hard interest, orincrease invalue, that ownership isthe toil. Sweat equity and form inthe ofenterprise effort to aproject or Contribution equity Sweat customers. and expectationsneeds of the the satisfy in order to further ideas are by applied company the innovation when results often into products. In useful business, are generated and converted by which newprocesses ideas and includes resources, from all deriving greater values ordifferent imagination and initiative in application of information, Innovation involves deliberate need. aspecific and must satisfy cost replicable at an economical an innovation, an idea must be customers willpay. To called be that creates value orfor which or invention into orservice agood of translating process The an idea Innovation 70 Building a Startup Vol 2020 ​Startup Terminology instruments, for money or barter. orcontracts or services, goods, through to intermediaries) trade interactand sellers (directly or operate, and where buyers forces of demand and supply An actual ornominal place where Market conversation. email, letter, oreven an impromptu investors, an alsobe though can it topeople an investor or group of Apresentation by one ormore Pitch (IPO). issuing public an offer initial New company, such one asthe NewCo model. business for arepeteable and scalable organization designed to search It isacompany ortemporary ​Startup TermsBasic or action. A natural to excel ability at aduty Talent (interpersonal skills). (technical skills), and/or people ideas (cognitive skills), things involving orjob functions activities and adaptively complex carryout to smoothly and sustained effort through deliberate, systematic, acquired and capacity An ability Skills intrinsic value. of product the than onits worth of perception the customer’s the It commonly depends more on it. willingness tocustomer’s pay for orwants,needs measured by customerits to meet his orher isperceived by orservice a good In marketing, extent The to which Value only approach to selling. inventory turnaround, and acash- operating fastpossible costs, and savings, sweat equity, lowest rely usually income onpersonal strappers nothing.or virtually Boot Building of out very abusiness little Bootstrapping company isin. stage The of astart-up financing Funding round overall firm’s in the plan. ​ and maydecision included alsobe planned of at time the investment Generally(or losses). exit isamove stake to realize inafirm his gains a venture sells his orher capitalist) Point at which an investor (usually Exit 71 Building a Startup Vol 2020 ​Startup Terminology startup companies, form teams startup and more ideas pitch for new marketing gurus, graphic artists enthusiasts,managers, startup groups of developers, business A weekend event, during which WeekendStartup toused get data for own needs. that is and performance activities A measure of ecosystem’s the Metrics of information. Individual oritems facts, statistics Data Foreign Investment. Direct ​FDI regional ecosystems globally. other between results Comparing Benchmarking individualits parts. rathera unit than asasum of all wholeThe ecosystem isstudied as ​Holistic Terms Ecosystem Startup control. patents orother mechanisms of copyright, from restrictions and republish asthey wish, without availablefreely to everyone to use ideaThe that data some should be Data ​Open and process. outcome the sharing risks the and rewards of acompany outside those by Innovating with inpartnership InnovationOpen fabrication. workshopscale digital offering laboratory.Fabrication Asmall- Lab ​Fab software. Usually goal the isto create usable intensively projects. onsoftware hardware development collaborate involvedothers and insoftware which computer programmers and adaybetween and aweek in An event lasts that typically Hackathon evening. demo, orpresentation by Sunday to develop aworking prototype, around ideas, those and work An entity comprising multiple comprising An entity ​Organization companies. and oneormore private sector of governmenta partnership and operated throughfunded venture,business which is A government orprivate service PPP (Private Partnership) Public competition. for field inaparticular startups A concentration of interconnected ​Cluster advancing knowledge. developmenteconomic and intent of creating high technology government the collaboration with university-industry and supports promote innovation, that in amanner designed to It isaphysical place managed ​Techpark group of startups. An entrepreneurial ecosystem or Community ​Startup hierarchy. communicationopen and aflat values creative problem solving, A workplace environment that Culture Startup his/her startup. orexpanding of starting process entrepreneur, whoisusually in the Venture inan brings firm Capital that is usually temporary. The inaVentureposition, firm Capital Entrepreneur inresidence isa ​EIR companies they invest in. in exchange inthe for equity invest funds capital in startups Venture companies. growth stage, emerging and emerging Money provided early- to seed VC (Venture Capitalist) debt orownership equity. usually inexchange for convertible for start-up, abusiness capital individualAn affluent whoprovides Angel Business working etc. spaces, by incubators, accelerators, co- offered such asservices startups, that to gives A service support service Support environment. goal and is linked to an external that has acollectiveassociation, oranpeople, such asan institution 72 Building a Startup Vol 2020 ​Startup Terminology numbers fall below certain limits limits numbers fall below certain personnel Their Enterprises. Small Sized and Medium SME rational outcomes. to guide decisions and achieve A deliberate system of principles Policy growth. may issue their tostartups fund means orresourcesthatDifferent Funding Instrument industries. and focus on awide range of privatelyeither orpublicly funded or demo day. Accelerators be can culminate inapublic event pitch and educational components and Programs that include mentorship Accelerator space. training oroffice such asmanagementservices companies to develop by providing A company that helps startup Incubator Terms Ecosystem Startup funds forfunds growth. How fast/slow utilising astartup RateBurn hubs. physical centralised and digital for establishingbusinesses both markets, universities, local and big ecosystems, international internationalCollaboration with Collaborative Networks havecan an edge inmarket. technology, ideas and innovation players whohave those new to market,Not every isfirst startup MoverFMA -First Advantage startups. which aims to support builders, incubators orany agency ecosystem. Community startup Organisations which help inbuilding Key Agency Nodes/Nodal conventional for-profit business. of agovernmenta part nora An organization that isneither Non-governmental organization. NGO in many sectors. economic driving innovation and competition and are to responsible said be for website across alldevices. for built A site optimal viewing of a Responsive Design profit. Revenue channels for making makesHow money. astartup Monetization something. changes way the does society Something that completely Disruptive Technology features to customers. the away to upsell and thentry for free give basic the product Startups Freemium rewards of various kinds. encourages with to people use it or product experience that Adding agame layer to awebsite Gamify plans, and trusts. companies, employee benefit individuals, banks, insurance Accredited investors include Governmentalby certain filings. for protection the need provided sophisticated and have areduced Investors whoare financially Accredited Investor out detailedout legal documents. sets groundwork the for building made inacompany. Aterm sheet of an investmentaspects to be agreement major the that outlines and voting Anon-binding rights. they inincluding put %ownership Investorsthe willget for what documentThe what that outlines Sheet Term 73 Building a Startup Vol 2020 ​Startup Terminology the agreement.the An NDA creates a informationdisclose covered by agree not to which parties the It isacontract through parties. to orby access thirdto restrict wish but purposes, for certain wish to share oneanother with or information that parties the confidential material, knowledge, that outlines least parties two legal at contract between NDA (Non Disclosure Agreement) or take for credit it. the will stealcompetitor idea the and / innovation fear the that a without isto encourage property reasoningThe for intellectual via enforced alawsuit. by acourt rights maysecrets. These be patents, trademarks, and trade includerights can copyrights, of time. These period for aspecific at least of competition, worry the or other intangible without assets ownrights to plans, use its ideas, by acompany to have exclusive A right that ishad by or aperson IPR) Rights IPR (Intellectual Property Terms Startup Basic Legal document recommended Agreement) Pre SHA (Pre Shareholder founders. co- the company, they are referred to as involved creation inthe of the If multiple entrepreneurs were Co-founder business. a entrepreneurThe whostarted Founder advertising, etc. payroll, information technology, such asaccounting, services employees, for standard rather thanbusinesses, paid subcontractors orother of practice The using Outsourcing ​ exchange for payment. to in others service which offers Organization, orindividual business Provider Service information.business such, an NDA protects non-public information ortrade secrets. As of confidential and proprietary to protect any parties the type confidential relationship between your career, work projects specific who ishelping youSomeone with ​Mentor engineer. orsoftware coder software programmer, programmer, developer,software computer A developer isalsoknown asa application. of asoftware code debugs and executes source the applications. Heorshe writes, builds and and create software A developer isan individual that Developer and valuation.credibility have abig impact onyour startup early phase and beyond. It will venture,startup to move beyond it as atool and afoundation of your than just an idea oradream. Use it making more to your start startup shared venture - asco-founders team to to the commit startup keyThe toolto use to get your SHA (Shareholder Agreement) potential team members yourfor from commitment initial agreement and you are looking which you have noshareholder to buildof ateam process the in in very early middle stages, inthe for entrepreneurs those that are appreciation. a steady income, and capital investmentoriginal principal), (the objectives are preservation of the rewards) primary onewhose but of total for loss of out proportion a gambler (whotakes risk onthe on high risks for high rewards) nor aspeculator (who takesNeither Investor orproperty.an asset transfer, of dispose and otherwise enjoy,benefit-from, convey, exclusive right to hold, use, the that possesses A party Owner company ororganization oversee of a activities the appointed whojointly members of or that elected isabody A member of aboardof directors, Member Board investment advice to manage orprovide assets by an individual ormutual fund ororganizationA person employed Advisor of his orher heart goodness or general life advice of out the 74 Building a Startup Vol 2020 ​Startup Terminology other sectors—whose valuationother sectors—whose has now but morefocused, inclusive of software- originally and often denotes company— astart-up and venture that industry capital A term U.S. inthe investment Unicorn established by board the and implement policy, corporate as major of duties aCEO isto maintain or failure. success firm’s One of the is held solely responsible for the orlevels, variousfirm’s parts and board)anddirectors the (the main board of the link between serves as the leader of firm, the Heorshe isthe performance. overallfirm’s operations and executive responsible for a Chief executive officer. Top CEO is issued. namewhose share the certificate more shares inacompany, and in organization that owns oneor An individual, group, or Shareholder Terms Startup Basic A board typically includesA boardtypically investors oversee of acompany. affairs the byelected stockholders, to chosen A group of influential individuals, (BOD) directors of Board company’s interests. the that are with conflicting working orinitiatives onprojects Use to ensure employees are not Interest of Conflict not shared others. with secrets are proprietary startups employeeswith and ensure Use to protect information shared Agreement Confidentiality company.the belongs time toduring “work” their inventions created by employees Use to ensure allinnovations and Invention Agreement in. put that amount plus investment the cash. “Post-money valuation” is takebefore investors’ astartup “Pre-money valuation” value isthe isbeing valuedWhat astartup at. Valuation value of $1billion. exceeded somewhat the arbitrary company. is referred to stage” as a“seed and/or to build aprototype and out raising for funds proof of concept At this point acompany isusually round of for financing astartup. official round first isthe seed The Round Seed ofoutside area their of expertise. and thussectors tend not to invest investing related inspecific tend toCapitalists have experience technology.and enterprise Venture technology, cleantech, biotech, into. Examples include: consumer company fits product orservice marketThe that astartup Sector to themselves asastartup. until they stopa startup referring Acompanybusiness. isconsidered build fast growing company and to apurpose with model business innovative, repeatable and scalable founders to search for an An entrepreneurial team of Startup for an investment inacompany. require aboard seat inexchange investorsa board,but typically haveand mentors. Not allstartups 75 Building a Startup Vol 2020 ​Startup Terminology interests company inthe shareholders receive ownership In return for investment, the the selling company stockto investors. of method is the by raising capital Finance Equity many ways of managing this risk). marketscapital have developed not repay aloan (though modern that risk borrowerthe the may generally lender the has to bear fortime repaying aloan, and Usually, there isapredetermined point(s) intime. future at some money, usually alonginterest, with orrepay the to return property the borrower, borrower and the agrees togives a money orproperty An arrangement inwhich alender ​Loan oran individualbusiness entity, educational institution, anonprofit to often arecipient, foundationcorporation, ortrust, agovernment often department, products by disbursed oneparty, Grants are non-repayable or funds Grant Terms Related Finance their investment.their investors lose some, can orall,of company the also true, if so fails company do well. is opposite The shouldand stands to profit the ownership of acompanypartial that company. Ashareholder has market) inexchange for shares in that isnot listed onastock unlisted company (acompany “crowd”) (the people invest inan given whereby to process the crowdfundingEquity name isthe CrowdfundingEquity capitalists. owners, relatives and venture beyond traditional the circle of raised be can whomfunds from expanding of investors pool the to increase entrepreneurship by Crowdfunding has potential the investors. and attract business to get anew word the about out and LinkedIn Twitter Facebook, through websites media like social familyof friends, and colleagues of vasteasy networks accessibility Crowdfunding makes use of the anew venture.to business finance alargefrom number of individuals use The of small amounts of capital Crowdfunding expenses are deducted. organization before any or costs main the operationswith of an associated or assets, of capital orany other use orservices, goods generated income The of sale from Revenue orprofit. income additional expectationthe of obtaining an to an endeavoror capital with money of act committing The Investing scenarios. general brick-and-mortar lending than and risk the time, effort alsoinvolves it but process, more removes middleman the the from intermediary. lending Peer-to-peer asan institution financial official uselend the of an money -without enables individuals to and borrow ofA method debt that financing P2P Lending from. options for investors to choose there are anumber of investment forms This of means two. the that debt aswell financing ashybrid and equity both encompasses term ‘crowdThe investing’ Crowd Investing or growth capital inpromisingor growth capital professional whoprovides starting Usually, aformer entrepreneur or Angel Business realized use the from percentage of revenue orprofit mining), usually computed asa natural resource (fishing, hunting, ora patent,copyright, process) (brand,use an intellectual property fee paid for alicense orprivilege to consideration,Compensation, or Royalty ​ companies inan alliance. revenues resulting between employees, orof sharing the a company’s operating with profits generally, of practice the sharing More partnership. in alimited partners and limited partner general the between and losses of operating splitting The profits Revenue Share and obligations. purchases and pay current bills money actually available to make It refers to amount the period. of cash paymentsits inagiven company’s and cash receipts the between difference The ​Cashflow 76 Building a Startup Vol 2020 ​Startup Terminology buildings or equipment. suchassets asproperty, industrial to acquire orupgrade physical by used are funds acompany expenditure,Capital orCapEx, (CapEx) Expenditures Capital major financing. between loan toShort-term gap the bridge Also known asaswing loan. Loan Bridge million. orashighlow as$20 as$50,000 VCoccasionally investments for as to $5million., although there are rangetypically $500,000 from usually 3-5years. Investments overcapital frame, time alimited inexchangeof business the for ownership and controlpartial givesin which business the up A form of for financing acompany Venture Capital advice and contacts. ventures, and helps alsowith Terms Related Finance startup. more favorable to an entrepreneur/ rounds areUncapped generally raises another round of funding. to thatwhen company the cap percentage of acompany relative means investors will own acertain where notes to turn equity. This valuationon the of company the investors agree to place acap Entrepreneursfinancing. and investor notes inaround of Refers to a“cap” on placed Notes Capped companies. by late-stage performed typically interest. repaid It is be with promisethe that debt the will or notes to an investor with money by selling bills, bond, This iswhen acompany raises financing Debt and ameasure of potential ROI. investigation records of financial investment. Can include an factsthe and figures of apotential An analysis an investor makes of all Diligence Due period of time. period company the with for alonger incentive well and stay to perform year. This gives employees an wouldyears, units 20 vest each stockunites over 200 offered 10 For example, an employee if was predetermined amount of time. they value reach full their a after gain value (vest) over until time employer. rights typically The providedcontributions by the gains rights to stockoptions and When an employee of acompany Vesting a startup). a public company (and isnolonger aprivatepoint, company into turns or to general the At public. this exchange onasecurities offered shares of stock inacompany are time first The Initial public offering. IPO 77 Building a Startup Vol 2020 ​Startup Terminology can be increased ondemand increased be can ornumber of users performance, Facility, size, whose orunit plant, Scalable something software) (typically when utilizing/interacting with experiencesthe has aperson Journey ​User together. programmer blocks the then puts buildingall the blocks, where to develop aprogram by providing applications that makes easier it and tools for building software A set protocols, of routines, Application Program Interface. API and experience user. normal asthe you see of software the part the elements and visual ie. indicators, through graphicalsoftware icons, allows to users interact with Graphical User Interface that GUI (orUI) Design User Experience UX Terms Related Product and report problems they faceand report to few a select examine, to test, development that ismade available stillunder issoftware A beta ​Beta images. (4) placeholders, content text and headings to content and objects, labeling, page navigation title, links, navigation content bars, areas, (3) of elements, such assidebars, branding elements, (2)grouping footer, navigation, content objects, such location, asheader,and their includes: (1)key page elements Web wireframe site. Atypical how willinteract users the with that Web teams easily can explain elementsfunctional insuch away elements of aWeb the from site A wireframe separates graphic the content of aWebpage orWebsite. structure and functions, proposed visualization toolfor presenting inWebused development. It isa design tool isan important it Wireframe ​​functionality. or incost apenalty without understand explanation one-page or other creators. An easy-to- waive of recipients for benefit the reserve, and which rights they communicate which rights they allow licenses creatorsThese to of chargefree to public. the as Creative Commons licenses several copyright-licenses known organizationThe has released legallybuild upon and to share. works available for to others expanding range the of creative organizationprofit devoted to Creative Commons (CC)isanon- Creative Commons community the publish version their (fork) back to thendownload,can modify, and public under license. some Others ismerelycode released to the Typically this is not and case, the changes community. the within and share code source the the where programmers improve upon meant to acollaborative be effort, is design. code Open-source original its from or modification generalthe public for use and/ isavailable code source the to a computer program inwhich Generally, refers source open to Source Open and architecture to digital the of designon bringing principles of focused practice community and an emerging and findability; usability to support software online and communities and labelling websites, intranets, of organizing and science art information environments; the structuralthe design of shared Information is architecture (IA) Architecture ​Information licensees. and copyright both profiting owners copyright-management regime, agile, low-overhead and low-cost copyright owner. result isan The issoughtcompensation by the where nocommercial use cases standardized for licenses re- reserved” management employing a“somemanagement, rights with “all rights reserved” copyright under an which are necessary owner (licensor) and licensee, copyright rights between specific individual negotiations for They replace it. upon based not replace are but copyright, Creative do Commons licenses each Creative Commons license. symbols, explains of specifics the visual associated of with rights, 78 Building a Startup Vol 2020 ​Startup Terminology point for next the iteration. iteration are starting asthe used “iteration”, of results and the one an isalso called of process the repetition Each target or result. approaching adesired goal, aimof the with a process Iteration of act repeating isthe ​Iteration appearance. emotionally--solely through visual issayingwhat apiece visually and words, iseverything it but about issayinga piece literally through Visual what design isnot about Visual Design development. systemslibrary and database systems. include activities These details of complex information which requireactivities explicit that andto applied isused of information orconcept model landscape. Typically, involves it a Terms Related Product collaboration. emphasizes and adaptability incremental development and development that promotes A philosophy of software Agile 79 Building a Startup Vol 2020 ​Startup Terminology Culture Strategy Mission Vision yet. structure right balance of skills team inthe orno commitment no confirmed value. oravague Oneperson team; on why would and how it create target market. Initial idea business idea foror service abig enough or potential scalable product Entrepreneurial and/ ambition Ideation Research. referes to Milestone /R&D journey Startup commercial orother speculation a is risked of profit; hope inthe speculation inwhich something or enterprise A business Venture TermsRelated Progress Startup determining whether you have about stageFirst of startup Fit Problem Solution terms. for minimum vesting 3years with and money time use, committed founders, including milestones, agreement co- between signed inplace. Shareholderor service or already have product initial externaluncommitted resources, dependency ofProduct) without (Minimumproduct Viable orservice Ableand to attitude. develop the founding shared team with vision co- and balanced Committed ​Commitment rolesadditional &ownership. have extended team for members ownershipbalanced plan. Maybe complementary skillswith and entrepreneurial core co-founders 24, 36 months. Two orthree on how to get there, ->3,6,12, for at leastdefined next 3years strategyinitial and key milestones and vision mission Defining with Concepting customers, and finances. It assists It assists customers, and finances. infrastructure,proposition, value orproduct’s a firm’s elements with describing chart It models. isavisualbusiness new ordocumenting existing templatestartup for developing Strategic management and lean Canvas Model Business thatscale business deployed right the resources to and converting customers and methods for acquiring corrected customers’ tested the needs, product features that solve right the built your product, have market the identified for discover and validate that you It isafour-step framework to DevelopmentCustomer Market Model Business Fit representing asizable market demand by passionate users when aproduct shows strong MarketProduct Fit Vision Fit Founders into building asolution investing months oryears of effort solvinga problem before worth until have validated to solution Iterating, validating assumptions Validation resource scarce willing to pay form of insome a objective, are and users specific of features to achieve needed a fewest the A product with number MVP (Minimum Viable Product) development principles customermethodologies with iterativefast, development which combines A startup Startup Lean attributes. other important brand funding, name,personnel, or existence,its products, purpose, that avoids disclosure initial asto stealth company isanew company company develops and a insecret, A stealth product isaproduct a launch initiative. orother business to apendingcompetitors product in order to avoid alerting secretiveness, usually undertaken company’s temporary state of In isa stealth mode business, Mode ​Stealth illustrating potential trade-offs. inaligning byfirms activities their 80 Building a Startup Vol 2020 ​Startup Terminology projections. and cash flowbalance sheet, managementthe aswell asprofit, strategy, operating the plan, and marketing the competition, market the being offered, and analysis of product the orservice enterprise. It contains athorough and projected for results the current status, expected needs, venture,a proposed covering document detailing A written Plan Business onlearning. based model, hypotheses orbusiness of your customer-problem-solution means toit change an element(s) ​Pivot revenue share revenue. orfuture (money for equity, or sweat equity) investment resources based additional to attract Can start Indicators (KPI’s) identified. and/or revenue. Key Performance demonstrate user growth initial TermsRelated Progress Startup ​Funnel organization per KPIs differ ofto an organization. success the evaluate factors that are crucial to used metric is abusiness KPI’s (Key Indicators) Performance Testing ​A/B Inbound Engine Growth HackingGrowth implementing processes improvingHiring, and inquality would able to wanted. be do if so fundingor significant attracted want to grow May, fast. will orhave growing target market. Can and or market traction inabig orfast customer revenue growth and/ measurable,based growth inuser, ongrowth,Focus showing KPI’s Scaling Failure Gasel your model. business towardshifts growth, orscaling guaranteed. focus The at this stage level isalmost always of success After some product/market fit, ScaleUp 81 Building a Startup Vol 2020 ​Startup Terminology Startup a Building In p ar tn ership w Vol 2020 it h / / 82 Building a Startup Vol 2020