Spotting that startup that will go all the way is tough nowadays. The word startup itself being a buzzword that’s used by lots of people who don’t really have a goal in mind when they start their company, you are often led to believe that the entertainment startups in front of you will actually succeed.
There are many factors that you have to consider when trying to find the startup that will turn out to be that unicorn. Making sure that they have these things will make it easier for you to sit down and decide whether or not they’re the one that you choose.
Focusing On Influence
A big red flag that you have to really take note of is the influence of the founders of the startup. If they’re someone who became influential through a different industry and they’re using the fame they made to catapult their startup, be very wary before you move forward.
Many times, a startup that was founded by someone already influential isn’t able to follow through on the promises. According to research, this is because of the hype involved at the very start. Not having to get people interested in the product or purpose of the startup creates a laid back atmosphere which is the last thing that a startup needs.
However, you also have startups that become successful because of the buzz generated by the people involved in the company. So, what gives? An easy distinction that you can make is the other members of the company where the tasks are delegated to.
Compared to all the startups within their market, why does the particular startup stand out to you? Is it because they have the manpower to push through the hardships involved at the first year? Do they have names that inspire confidence?
The target market of a standup can make or break it. A good example is Airbnb. Before it became the company that we know today, its target market was business travelers who needed lodging. Now, they cater to a wider group of people which has helped them become a bigger company in the process.
By knowing what the startup has to compete with, you will also be able to assess the hurdles that they might have to go through. Will they lack people when they reach a certain milestone? Will they be in need of funds after the first year? Predicting these can be made easier through careful market research.
Taking Intelligent Risks
Taking a risk is something that people associate with startups. Spearheading the change in an industry is what many people think of when it comes to startups. Though that may be true for many companies, that’s not the only way to succeed.
The best way to succeed as a startup is to make use of every statistic and data that you can gather. This will help you decide when to take the risk and when not to. Assessing what negative effects there will be after the risk can also determine how hard the entertainment startups might fall from their current progress.