Failure · Investors relations

Should I consider doing a startup which has a history of failures?

Vinay Menon Founder at Mera Tiffin

Last updated on February 8th, 2017

When I say failures, I mean over 90% failed. I have taken time to study the trend and have a feeling that I understand why they failed. My gut feel tells me that I can change the equation, I want to succeed because I can now understand what possibly had gone wrong then. Am I being too bold in my thinking? How do you think investors will react given the history of similar startup failures, will they shy away?

The solution is too cool and solves a genuine problem which is my biggest motivation.

Dane Madsen Organizational and Operational Strategy Consultant

February 8th, 2017

I infer you mean 90% in the space fail, not that this one has a history of failure. Often the failure rate is that high in any space because of miss fit leadership, misunderstanding of the trends or end user, and many other issues. The issue will less be about convincing yourself as convincing others that you will need to succeed. It will be tough, but you may find true-believers that will support you technically, operationally, and financially. Yes, it will affect investors so you need to be really tight on your logic and your strategy, and dialed in on your tactics. Are you crazy? Yes. Yet you have to be a little crazy to do a start up anyway. You also have to be a little crazy to get other people excited about the space. If you want to model yourself on some crazy with high level of failure, just look at Tesla and Musk for a space (startup car companies) with a lot of bodies littering the road.

Ashish Kher Product 'X' at Stealth

February 8th, 2017

I'm sure you must have validated the diifference in your solution with the target market -- a set of end customers siigning up for the idea will help in getting investments.

Also, is it possible to reach out to a couple of founders of the attempts that didnt succeed? You could get very meaningful insights and possibly some synergy.

Xinhua Ling, Ph.D. Encrify protects privacy in chat

February 8th, 2017

Startups can fail due to thousands of reasons, but the major one is lack of enough revenue, which comes from customers who pay to get the product/service. If you think you can solve the fundamental problem of having customers to pay you for your product/service, you should start the startup no matter what happen to others. But ask yourself one more time, are you sure you've solved that problem and this is not just your imagination/unvalidated-hypothesis?