For centuries, many entrepreneurs have achieved many great victories by focusing on a powerful objective and under a simple mindset that leads them to look where others do not see.
Startup; this simple word or technicality unknown to many, letters turned into a phrase, today is becoming stronger and more popular in the ecosystems of ideas and entrepreneurs, leading them to materialize through formulated and orderly processes, the possibility of putting their projects in the right showcase of entrepreneurship, investors, seed capital, national and international investment rounds, to realize that great dream and put it on the horns of Unicorns and Pegasus in the blink of an eye.
The term “Startup” also known as “startup company” is always accompanied by economic risk, but also, the promise of great reward and great growth possibilities.
Currently, there is an important number of consultants, firms and offices that design and structure correctly during several stages from start to finish each project, which they take after a previous analysis evaluating its potential or possibilities of success. For this is important the responsibility of the incubators of Startups where they have to identify the capacity, experience or knowledge of the environment where it intends to venture, in addition to the commitment of the entrepreneur that can be decisive for the success or failure of each project.
Ensuring the success of a Startup from its incubation, presentation and launch, has to be a process of synergy between the entrepreneur or founders of a project and the incubator to walk together through a wide range of resources and tools that will give a structured and reliable way to investors, as well as the same market where it will be launched.
Thus, the incubation of a project is a dynamic process that helps both to accelerate its gestation and development, and to increase its success rate (or decrease the rate of risk and failure). It is a bridge that enriches at the same time the entrepreneur or founders to mature them in understanding and knowledge to give great shape to their project.
Many Angel Investors, Venture Capital or Private Equity investors who bet on this style of business, usually prefer to invest their capital in the development of disruptive technologies, taking very seriously the creative stage, which is the one that triggers the birth of innovative products or services that are highly desired by the market looking at all futures.
A startup is usually structured and trained to operate efficiently, with minimal start-up costs and few personnel, yet they have the tremendous capacity to generate truly exponential profits.
The risk is evident and lies in the fact that investors are betting on the creation of “non-existent” products and not on the sale of something already present in the market, but that is the great poisonous taste they are betting on when they see projects grow and go up like rockets.
This type of betting is also characterized by the real possibility of obtaining great rewards, and often, global recognition in a short time.
This is due to the fact that, having a low implementation cost, the return of the initial investment in a short time with a strong profit and high yield is more likely.
As every phase in history, Startups needed to demonstrate over time, to be an ecosystem for entrepreneurs where the convergence of all the actors involved in the entrepreneurial processes, encourages innovation, creation and development of new startups, generating great results when everything was born as a simple idea.
The interaction of these ecosystems in national and international markets generates reliability. Even with the risk and the short time, achieving their first results, demonstrating their potential for rapid growth with a limited investment, is due to the fact of focusing on the creation of new market niches where many times they did not understand or see possibilities. This is where the great feeling or strength of the entrepreneur comes from; “believing in order to see”.
There are many great examples that started from simple ideas and came together with incubators or mentors:
MÉXICO
- KAVAK
- CLIP
- SOFIA
- JUSTO
- KONFIO
- WEPOW
- URBVAN
- KLAR
- BITSO
- MOONS
- OYSTER FINANCIAL
- GURUHOTEL
- CRABI
- KICHINK
- CALII
- NOWPORTS
- ATEXTO
- ROBIN
- MODEBO
- STRAO TECHNOLOGIES
- CREDIJUSTO
- FONDEADORA
- MINU
- HOMIE
INTERNATIONAL
- BYTEDANCE
- SPACEX
- STRIPE
- KLARNA
- CANVA
- INSTACART
- DATABRICKS
- REVOLUT
- EPIC GAMES
- CHIME
- FTX
- BYJU’s
- XIAOHONGSHU
- J&T EXPRESS
- FANATICS
- YUANFUNDAO
- DJI INNOVATIONS
- SHEIN
- CHECKOUT.COM
- GOPUFF
- TIKTOK
It is very clear that many companies of this type have a very limited life span, since their main objective will always be to be acquired by another larger company that wants to take over the technology they have developed.
Likewise, Startups are famous for being great generators of jobs and wealth in the countries where they are located. However, there are others that are clear not to be acquired, as they are sure of their potential and very clear objectives, becoming true monsters in the market, where at some point they will be the ones who will be devouring or buying others of their type that will allow them to grow even more.
In conclusion, Startups will always arouse the interest of investors, be they Angel Investors, Venture Capital, Private Equity, Crowdfunding, etc., willing to invest in them even knowing the risk they run.
Those who invest their resources and their lives in this type of projects are inveterate innovators, undoubtedly addicted to failure and always willing to risk to win.
Source: Fintech World
