A tech startup is a young entrepreneurial venture that brings new and innovative technology-based products or services to the market. They often offer solutions to problems that we didn’t even know we had, making them truly disruptive and game changing. Tech startups are usually scalable, meaning they can grow rapidly and reach large numbers of customers. Normally, they are founded by a small group of people with one or more big ideas and receive funding from angel investors, crowdfunding, VC firms or family and friends.
Startups usually start their journey with the ideation stage, where founders identify issues, scribble dreams on napkins and brainstorm solutions. This is a great time to research the industry, find influencers and build relationships with potential customers, as well as identifying a niche market that can benefit from your technology-driven product.
Once the product concept has been defined and validated, it is essential to focus on the minimal viable product (MVP), the lightest version of your software that can be tested with potential users and marketed via platforms like Kickstarter or smoke tests. This allows you to avoid wasting money on features that are not needed and to iterate using user feedback.
Assuming you have the right team in place and enough funds to cover the running costs, it is a good idea to hire an enthusiastic technical co-founder. Typically, they will be offered around 10-35% equity in the company, but this can vary.