Starting a startup can sometimes be very daunting, as it often requires asking some well tailored question to ensure your objective of starting a company is actualized. Slim startup is simply based on the concept of minimizing resources toward implementing your business idea. Major resources which impact startup majorly are Fund, Time, and Team. In order to slim start a business, you must be able to place importance on minimizing your resources while optimizing it simultaneously.
Your Fund should be focused on solving core issues around the business as opposed to spending on things that aren’t necessary toward business growth.
Time is also a resources which often times have been ignored or underutilized by many startup, as they rather focus on things that aren’t necessary or important to customer satisfaction over a long duration, only to realize time has been wasted on things that aren’t translating to customer satisfaction.
Team as well is a special resources that plays a crucial role in the success of any startup. Both Time and Fund depend largely on Team, thus effective Team is required to slim start a business successfully. Rather than having huge team with no competence, you want to tailor your team to few members who have the competence required to contribute to the business growth.
Why Startup Slim?
The advantage of Slim Startup can be summarized to enhance the following
Financial Investment Analysis
Focus: The slim startup allows focus on what is the main thing. I.e It allows you to keep the main thing as the main thing. When you broad start a business, you will by default have challenges in focus the resources available toward optimal growth of the business.
Customer Disposition: When a startup is Slim, you will be able to make your unique value proposition (UVP) a focus toward the satisfaction of customer needs. Thus, your focus would always be more on scaling, using customer disposition feedback as a tool for growth. Unlike when you broad start a business and places focus on making returns in isolation of customer satisfaction. Excessive focus on customer foster innovative iteration.
Market Feasibility: Another interesting thing about Slim Startup is the fact that it allows you to place focus more on market feasibility, so as to analyze your product and services in relation to what’s obtainable in the market space. When a business starts broad, available resources might not be utilized toward the most important thing to enhance the business growth in correspondence to customers satisfaction.
Financial Analysis: Slim startup allows you the opportunity to analyse the most suitable fund for your project, by avoiding pressure associated with taking up bad loans. When you engage in big startup, you will be more incline to invest in huge financial investment, in which most of those fund wouldn’t go toward things contributing to the initial success of market penetration. Its often good to focus fund on 20% activities that would result in 80% success of market penetration and products scalability. So, rather than taking bad loans for business startup, it is important to take good loan or good fund (e.g from friends, family, savings, etc) for slim startup.
As soon as you have your slim startup in perspective tailored toward the above criterion, it is also important to have a clear overview of where you are in relation to your startup chart as indicated below.
The good thing about having the above chart is that, it allows you to associate and synchronized each of the phases with your unique value proposition (UVP). Any of the above phases in out of sync with UVP would result in gaps which could negatively affect or impact your business penetration into the market space.