Entrepreneurship has always been a valued and respected career, regardless of which industry it’s in. From entrepreneurs with ambitions in fintech (financial technology), to those in the biomedical field, there is a wide range of industries where one can bring new ideas to the table and in many cases, impress venture capitalists (ie. investors) to make their ideas a reality. However, it isn’t always blue skies with the majority of entrepreneurs not getting funding for their ideas. It is a common saying that in entrepreneurship, only the top 1% stand a chance of disrupting the industry whereas the rest 99% burn to the ground.
The question that remains for pondering among entrepreneurs and the general public alike is, what does the top 1% do that the rest don’t? The answer is simpler than you think - make a good business plan to pitch to investors. The tip may seem mediocre and obvious but after looking at the amount of entrepreneurs not getting funding from V.Cs because of an idea that isn’t robust, you’ll probably think otherwise. It is estimated that 80% of start-ups fail because of a business idea that is either too niche or too broad. On the other hand, it is to note that getting the correct business idea can sometimes create inertia for a pitch whereas in many other cases, even getting the core idea seems to get lost in the horizon.
To make a good business plan, the first decision one has to make is what industry(s) the idea will be targeting. Many startups tend to sit on the bridge which may have worked when the amount of entrepreneurs was almost nil back in the 1970s but 50 years on, that system isn’t going to cut it in the extremely competitive atmosphere today. With the ever-famous startup incubator of Y-Combinator only accepting 10,00 start-up ideas among many thousands, it goes to show that to go from zero to hero in this career, sweat and hard work, coupled with an intuitive idea are of the utmost importance.
Another decision one must make for their business plan is what is the problem that the start-up aims to solve. This is one of the most difficult decisions one has to make, usually in a short time frame to make sure that enough time for making the final product is available. A tip that most venture capitalists give is to find an issue that you’re passionate about, whether it be data science or saving the environment. Then and only then does it make it much easier for an aspiring entrepreneur to make an effective product and present it to venture capitalists.
Therefore, it can be concluded that despite entrepreneurship being a career that is undoubtedly difficult and competitive, the rewards available if active steps are taken to make the idea a reality are much more appealing. Only time will tell if aspiring entrepreneurs are able to take these tips and make their well thought ideas companies that can reshape entire industries for the better.