Today, anywhere we go there is a huge buzz about Start-ups. College Students to retired personnels every one wants to be an entrepreneur and believes he has a million dollar idea. It is really alluring. Phrases like Be your own boss, Starting something of my own, Disrupt the existing system etc. sounds quite fascinating. You have a brilliant idea, you execute it to perfection and you become a unicorn. It all seems pretty simple. Right?
Well.. Let’s check it!!
Answer to these four basic questions and by end you will come to know is it really. So lets check are you ready?
Q1) What is the big problem you are solving?Is there really a problem?
Most of the time people are wasting their time running to find a solution of a problem which doesn’t even exist. By this question as an entrepreneur you should do a lot of market survey realising is the problem you are thinking even a problem to the consumers. If you get to know out of 500 people 80% think it is a problem and they don’t have a very efficient /economical/convenient way to tackle it, you can assume it as good to go for now.
Q2) How are you solving it?
For answering this question, you have to think from the mindset of the customers and not as a product owner. Is the solution provided by you is feasible? Is it scalable? If you were offered something like this, would you have taken it? Is this solution efficient /economical/convenient for the consumer. If there is an already existing solution, how do you propose to better it? Be honest to yourself. The more you criticise your product at this stage, the better it gets in the future. Ensure that you are covering all the points. Make flow-charts, use cases, put yourself in your customer’s shoes and then figure out. Remember, the more effectively you plan the easier it gets to execute.
Q3) How will you earn?
Today, the start-up industry has evolved to the second stage. Having only a million dollar idea and solving a problem doesn’t work. It should be revenue generating. Now is not the time where investors easily put in their money just on your idea. They need to see that you have the ability to execute it and generate big bucks. So before going further, be clear, who are your customers, what are you charging them for, will they be willing to pay for it and more importantly had you been the customer, would you have paid for it? In long run will you be able generate profit from it?
Q4) How easily can your solution be copied? Why will the customer stay with you?
If you’re not innovative and if you think only because you can execute better, customers will come to you, think again! You have got to have a differentiator. Study and research about your competitors, what are their plans. If you think your idea is original and unique, just research properly and I’m pretty sure that you will be surprised by the result. Find out the reason behind “why nobody has done it till now?” Have they tried and failed? Did they not get a feasible solution at that time? When you hit the market, and your solution is good, how much time will it require your competitors to copy you? What could prevent it? Remember to differentiate between the core and the add-on features.
If you are able to answer all the above questions and are HONESTLY sure of your answers your are ready for the next big thing!!
Welcome to startup world.