Startup Development

A logical question that follows is: Why do we call a starting company “a startup” instead of “a small business”? However, a startup is not the same as a small business. Here is why: 

Growth intent

Startups have an aggressive and quick growth intent, small businesses strive for gradual and robust growth. 

Financing 

Startups are funded by angel investors, venture capitalists, and crowdfunding platforms, while small businesses turn to loans, lines of credit, and asset-based financing. 

Short and long-term goals

Startups founders want to create innovative products to market, while small businesses are focused on finding a market that they can reach effectively. 

Startup is a small business that explores new business prospects while attempting to address a problem for which the answer is unknown and the market is very unpredictable. Being recently founded does not automatically qualify a firm as a startup. According to the studies, high unpredictability and fast evolution are the two key features of startups that distinguish them from more established businesses.

In today's business world, the ability to move quickly and adapt to change is critical to success. Startups need to be able to develop their products quickly and efficiently in order to stay ahead of the competition.

• Extremely restricted financial, human, and material resources.
• Startups can respond rapidly to changes in the market validation, technologies, and product offerings compared to more established companies.
• Given the extremely competitive ecosystem, startups must concentrate on and investigate highly innovative business segments. The company's activities revolve solely around one product or service.
• Startups face a highly uncertain ecosystem from multiple vantage points: market, product characteristics, competition, people, and finances.
• The atmosphere frequently compels entrepreneurs to create products quickly and work under constant pressure (term sheets, demo days, investor requirements).
• Due to a lack of resources, startups rely extensively on external solutions to construct their products: external APIs, open source software, outsourcing, COTS, etc.
• Startups begin with a small group of people. The company was newly established. The initial failure rate is exceptionally high.
• A significant portion of the development team is comprised of individuals with less than five years of experience and frequently recent college graduates.
• Founders are typically the focal point of a startup, and every employee has significant responsibilities without the need for top management.
• Particularly in their infancy, businesses require external money to support their operations (venture capitalist, angel investments, personal funds, and so on).

• Immediate project start.
• Major releases every 2-6 weeks, minor updates up to several times a day.
• Clean code and high-quality unit tests.
• Access to the latest frameworks and language versions, architecture designs, inventions and innovative techs (AI, machine learning, augmented reality, and more).
• Established Lean, Agile and DevOps culture.