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Challenges Faced by Start-ups During Product Development

Start-ups are the new engines of growth for the world. They have created a new eco-system of venture capitalists, angel investors, seed investors , due diligence and given rise to terms like “unicorn” – the term used for start-up companies which have reached a valuation of US$1 billion or more. This is such an uncommon thing to have in a small company that it can only be a unicorn! Yet, there is a list of companies each year which have not even reached the 10 year mark in their operations but are sitting on gross revenues of US$1 billion. As per an analysis done by Crunchbase data, a significant US$66 billion was invested in unicorns in 2017, which was 39% more since last year.

So what is it that makes these new companies tick?
Reasons that Start-ups are Commanding High Valuations

1. Vision – Most start-ups today are a result of a small gap that the founders saw and found a way to fill it. The vision has to be of finding the core issue, creating a product quickly, more quickly than anyone else can. They also have to envision the idea to action revenue and target market to be successful in marketing the idea to potential investors.

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