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Scaling Your Startup: Strategies and Tactics for Growth 

Startups don’t fail because they lack a product; they fail because they lack customers and a profitable business model. – STEVE BLANK – PROFESSOR & INVESTOR

What to know about Startups 

▪ A startup is a newly established business or company that is typically characterized by its innovative and entrepreneurial nature. 

▪ It is often founded by one or more individuals who aim to develop and deliver a unique product, service, or technology to the market. 

▪ Startups usually operate in fast-paced and dynamic environments, seeking to disrupt existing industries or create entirely new ones.

Characteristics of Startups

  • Innovation
  • Scalability
  • Limited resources
  • Risks and Uncertainty
  • Entrepreneural Culture
  • Disruption and Market Impact

Key Stages in the Life of a Startup

  1. Ideation : Find the problem and a solution
  2. MVP: a product used to satisfy customer needs and demands prior to developing an advanced featured product 
  3. Product Market Fit: testing, receiving feedback, improving your product and testing again
  4. Scaling: growing revenue exponentially without spending a lot on acquiring more resources
  5. Sustainability

Growing vs Scaling – Do they mean the same thing?

What to know 

  • Building a successful company isn’t just about growth – it’s about scale. 
  • Growth means adding resources at the same rate that you’re adding revenue 
  • Scale is about adding revenue at a rapid rate while adding resources at an incremental rate 
  • Scaling a business means setting the stage to enable and support growth in your company. 
  • It means having the ability to grow without being hampered. 
  • It requires planning, some funding and the right systems, staff, processes, technology and partners.

A scale-up is not a start-up

99.6% of ventures stall out or die. To grow from start-up team of about 15 employees towards a scale-up company of more than 100 employees, a company needs to transform itself:

● From team to company
● From founder to CEO
● From first to recurring revenues
● From projects to processes
● From first product to innovation pipeline

Growth Strategies

Market Penetration: Sell more to existing customers or target new segments with existing products
Market Development: Sell existing product into new market or enter new markets abroad
Product Development: Create a new product
Diversification: Go into an entirely new business/BU

Tactics for Scaling

  1. Engage in the next Round of funding
  2. Invest in technology
  3. Deploy a new marketing strategy or expand marketing channels
  4. Launch an associated product and service
  5. Hire experts and expand your team
  6. Get external help: Mentors, Coaches, Consultants, others

Visit- https://www.slideshare.net/EkoInnovationCentre/techbiz-webinarscaling-your-startuppdf?from_action=sav to read more.

POSTED BY EKO INNOVATION CENTRE

AOT LAGOS 5.0 - The Creative Economy & A Digital Lagos