Speaking at ITN Digital, Mr. Shaminda Perera, CEO of Lithium Technology, highlighted the importance of adopting a startup mindset. Why a Startup Mindset?
Many people dream of starting a business but don’t know where to begin.
Funding hype and lack of money can distract from the real first step: mindset.
A startup mindset can be built regardless of age, background, or finances.
You might be a student, school leaver, an undergraduate, or even well into your 20-year career; starting a business might be your dream. There are a lot of opportunities and pathways for a new start-up. There is a lot of hype about angel investors, venture capitalists, etc., but how to take the first step is a mystery for most. The biggest question is where to start. You are a person with that dream and with that problem, and I’m here to tell you the start-up mindset is your answer. A start-up mindset can be achieved regardless of your age, social status, financial position, or background. Today, I bring to you how to build up a start-up mindset.
Step 1: Identify Your Product / Skill
First, you should identify the product of your business. It can be a set of skills, a school project, a university assignment, a hobby, business connections, or trading partnerships. Whatever the above, you should be able to access them and use them in advance. If you are a Software Engineering student, it would be your software development skills; if you are an employee, it could be your know-how, supplier connections, or trade relations; or if you are an artist and you are really good at playing your guitar. You should identify your product or skill and make sure it is marketable.
Step 2: Start Without Money
Next, it comes to money and financing. At the beginning, everyone starts with next to no investment. A good concept I like to bring to you is that you can convert other resources into investments. For example, if you are a student and have time, your time would be your investment. You can employ yourself and be the first employee. If you have connections, you can offer small investment opportunities to your connections. If you are healthy and can work on the weekends, go for it. Remember, we use money to obtain other resources. Find ways to get the resources you need without using and focusing on money.
Step 3: Build Manpower (Your Team)
Next, the most important thing is manpower, or your team. If you are a student, it can be your colleagues with spare time, the same as you, and who have the same training and skill set. You can ask them to join you after school for your new venture. You can offer them experience, opportunities, and even say that they can use this as a university project or assignment. Remember, there are a lot of them, and a few are going to say yes. If you are employed, you can ask your work buddies, connections, family members, neighbours, or friends, and at least one is going to say yes with a positive attitude. Seek advice, especially from professionals who have done things from scratch. People who have walked the path will show you the way, for free. They would be your consultants.
Step 4: Location (Start Small)
Location is the next most important thing for your business. Lots of big companies have their origins in garages or spare rooms in their homes. For example, Apple, Amazon, Google, Microsoft, Disney, Hewlett-Packard (HP), Harley-Davidson, and Dell all started in small garages at their homes. I bet you have a garage at your home, or at least one of your relatives might have one. Or, if you have a little money, rent a small, cheap space. Find a place for your ideas to grow.
Step 5: Tools of the Trade
Then your challenge is machinery and equipment, or as some call it, “tools of the trade.” It could be your laptop, mobile, internet, or your guitar. Yes, even your phone can be the starting point of your business. All social media platforms, developer tools, and online stores have mobile versions of their apps. So your mobile phone is very important for marketing, sales, customer care, and many more. Even the extra chair at your home, or the motorbike you have, is a great asset for your business if you think of it. Look for free software, non-copyrighted content, free cloud services, AI, and other tools that can be obtained through non-financial means.
Step 6: Marketing & Promotion
As a start-up, marketing and promotion all boil down to “work hard and advertise.” You have to work on your perception and persuasion. Perception is how you dress, walk, talk, and it’s all about looking good and making a first impression. Make sure you have good hygiene and a smile on your face. Dress code and appearance can improve when money comes. Make sure it shows, or at least try to. Persuasion is all about convincing people. Your sales pitch, invoices, documentation, and overall communication must be focused on converting customers to your product or investors to your company. Persuasion skills are necessary for sales, complaint handling, value addition, and overall communication in your start-up. You can build word of mouth in these ways. For more formal methods, you can use Facebook, LinkedIn, WhatsApp, etc., to improve your presence. Make sure you keep engaging every day and remind your customers that you are there. Build your reputation and make your product or service dependable and consistent. Make every interaction with a customer or anyone else count. Make a lasting impression. Leave something for them to remember you by. Communicate your successes to your customers and colleagues.
Step 7: Business Plan & Documentation
Next, you must have a business plan. You can do some online research for that. Make sure you cover all legal requirements for your business. Build your product portfolio. Make sure you collect and list testimonials and success stories. Make sure they get published on your Facebook page and LinkedIn. Keep your website, WhatsApp status, and LinkedIn profile up to date. Make other documentation such as brochures, catalogues, company profiles, etc. Make sure they are available for customers. Make sure you document all your finances and agreements. This will increase the value of your company in the eyes of investors later on.
Core Concept: Resource Trading
As an overview, I would like to introduce you to a concept I formulated called “Resource Trading.” In this, I focus on converting one type of resource into another without financial means.
If you are healthy, you can work more than 8 hours, maybe on weekends. So you convert your health into manpower. If you have friends, family, and colleagues, you can ask them for their free time. Then you are converting your connections into manpower without any financial interaction. Then you can convert that manpower into money. You can automate your tasks using your laptop or mobile phone. You can keep all equipment running and productive, even using idle CPU time to save on cloud computing. Utilize your space, make more out of it, find ways to manage storage, and get the most out of your rent. Later, when you are making money, you can reverse the process back and forth between resources and money to grow your business in each iteration. Convert what you have into what you don’t have, and find a balance.
