Simplify, Then Simplify Again
Another month, another first Monday and another start-up tip.
Startup Tip #4 – Simplify, Then Simplify Again
Many start-up entrepreneurs try to tackle too much too early in the life cycle of their company. While it is important to have big ideas that target huge potential markets, it’s equally important to figure out a simple place to start.
It’s much easier to grow from a well-reasoned single point of entry, than embarking on multiple initiatives and running out of capacity (and money) to execute simultaneously in many areas and directions.
As you develop and refine your business plan and strategy, rank the probability of success and simplicity of your initiatives and projects from high to low. Then, talk (under NDA) to trusted experts and mentors to get their opinions. This will help you distill initial business activities into a simple and elegant plan that will have a greater likelihood of long-term success.
Starting at a simple, but important point will also preserve capital. This is important for several reasons. First, to limit risk, always test a market before throwing too much capital behind any project or initiative. Second, if for some reason your assumptions are incorrect about the starting point, you will have funds in reserve to refocus on a different area or initiative.
Finally, if you can describe your business strategy to others in simple, quick and powerful fashion, chances are the message will resonate and others will be motivated to align with your business.