29 March 2016 12:00 am
By Shakya Lahiru Pathmalal
In the age of digital media, everyone is talking about overnight success as the next big idea. But the reality is such that in the world of start-ups where companies go from being worth next to nothing to billions, there is NO such thing as overnight success.
At times, both entrepreneurs, as well as investors, feel that a business should be successful within a very short period of time. But the reality is that to build a market leader it takes a minimum of 5 years, in most cases up to 10. Thinking of any of the big names:Uber, Paypal,Airbnb,Hubspot,Tesla, SpaceX, Chobani,GoPro, all have taken at least 5 years to build their success.This is also relevant to Sri Lanka where building a successful business will take some time.
Amy Wilkinson is a senior fellow at Harvard University’s Center for Business and Government and the writer of the best seller “Creators Code”. She has interviewed over 100 entrepreneurs in the US who have build up businesses that have grossed more than US $ 100 million. According to her, one of the key features of these success stories was that almost all of these enterprises took a relatively long time to build up.
Based on my personal experience and literature on the matter,fiveelements can contribute to build a company that is either disruptive or successful.
• Have a plan to build over the long haul. This may take between 5 to 10 years. Remember there is no overnight success, no unicorns,no silver bullets. So have a long-term plan.
• Find a problem that needs solving. You need to find a business that helps solve a current problem. This will add value to the lives of your consumers.
• Find the right resources. This means the right team! Your co-founders/partners have to help build solutions. Ideally these people will think of problems in a different way.
• Remember that the threat is always internal. Most investors/first time entrepreneurs feel that your start-up idea’s biggest threat is external (competition); but the reality is that the biggest threat to any business is internal e.g. co-founders not working as one unit. So make every effort to work as a team moving forward, find and hire team members who share common values and goals.
Finally don’t ever make short term decisions orgive up your principles and what you believe in.
I believe the above elements will help in building a start-up that will last the test of time. In doing so only a business can become successful.
Start-ups in the 21st century will be one of the main drivers of economy and it will be important for both investors, and governments to support these endeavors.
(Shakya Lahiru Pathmalal is a Co-founder & CEO of takas.lk)