Building a tech company is all the rage these days. Everyone wants to do it. That’s because the possibilities are so enormous and the opportunities so vast.
Just look at the success that modern companies have had to this day. All of the most valuable firms in the world are tech companies, with the first non-tech firm way down the list.
Unfortunately, starting a tech company isn’t easy. Many entrepreneurs believe that they need to have mountains of experience in the field before they venture out by themselves.
But that’s not true. Here’s what to do.
Be Efficient With Your Capital
When you start up a tech company, you only have a limited supply of money. VCs won’t continue investing in the firm forever, hoping and praying that it’ll go somewhere. Instead, they’ll cut their losses and run.
It’s critical, therefore, to be as efficient as you can possibly be. Barter for services where you can. Look for people who believe in what you’re doing and are willing to put in the extra hours. And find ways to avoid luxuries. Don’t spend a fortune on business travel, for instance, if you can avoid it.
Push Products Our Before They Hit Your Vision
Tech companies usually have grandiose visions of what they would like to achieve. They want to push boundaries and create something that the world simply hasn’t seen before.
It’s critical, therefore, to push out products, even if they don’t fulfil all of your aspirations. It is usually better to start making money immediately than to leave it to a later date. Firms often go out of business, not because they have bad ideas, but because they keep tinkering around the edges of their products until it is too late.
Speed Product Development
Product development can drag on for years, even if you’re working as part of an accelerator. Therefore, it’s critical to find shortcuts where possible.
For instance, if you’re developing electronics, use a GPS simulator. Don’t rely on problematic satellite downlinks for testing.
Use rapid prototyping. Work with a 3D printing shop that’s able to crank out models for you at low cost.
Find ways to simplify your designs so that you’re not relying on so many suppliers or parts. Sacrifice aesthetics if necessary.
Improve Your Hiring Process
Even if you don’t know anything about the tech itself, you can improve the hiring process to the point where the people around you essentially carry you. View each candidate for their revenue-producing capabilities. The more income they can generate for the business, the more lucrative they become.
Put Payment Off Into The Future
Don’t offer high salaries upfront. Instead, tempt workers to come and join you by postponing payment until you become successful. Then provide them with massive rewards when you do.
This incentive structure will encourage them to put in the hours that you require. It’ll also make it easier to reach deadlines and give employees a greater sense of ownership over what they are doing. Better work should result.