Skip to content

Simplify, Then Simplify Again

April 5, 2010

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.

Advertisements
No comments yet

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: