As stated by Paul Graham on his site “Startup=Growth” which means if there is no growth for an enterprise venture it is not a startup! So, startups are always good for personal as well as National growth.
Definition of startup
As stated in this source, startup is- “Early stage in the life cycle of an enterprise where the entrepreneur moves from the idea stage to securing financing, laying down the basis structure of the business, and initiating operations or trading”.
In another , Steve Blank states as- “A startup is an organization formed to search for a repeatable and scalable business model”.
Some argue that startup is just confined to starting something in the technological field and others think it should be more inclusive. Whatever be the definition, many employees find ways to kick their boss in the a*s and get self-employed and love the word “entrepreneur” on their profile!
The question is- why people are getting so much obsessed with this startup culture? Is is just about money or is there more to it?
Why are people going ga-ga over start-ups?
- People think of startup as it gives them the creative freedom. A startup begins with a great idea and grows without leaps and bounds not only making huge business and money but also bringing in entrepreneurial satisfaction.
- People also get into this new culture purely for money. If things go right and the atartup business clicks it is likely that an established company will acquire it either to kill the competition or to make more business out of it. Thus you will earn a huge lump sum and also the required fame for your next atartup! Yes once you are in this culture you will follow the chain reaction and end up starting, owning and selling companies to companies.
- Do you have a dream job but do not know how to find it? Then a good option is to go for a startup. Here’s why? You are starting an enterprise which will give you your dream job, you are the owner of this business, you are the terms setter, you are the profit owner, meanwhile you are also making monitory benefits out of your aptitude, interest and hobby (may be!).
Is this culture disrupting the economy or helping it grow?
- Looking at the employment opportunities created by start-ups things look positive for sure. Directly or indirectly most of the start-ups once getting into the growth arena hire employees helping in bringing down the unemployment rate. For example: Facebook which was once a startup is now a family of 4,331 employees at the end of September 30, 2012 as disclosed by the Facebook newsroom. Apart from this direct employment it has created jobs for apps designers and business co-ordinates in-addition to small businesses worldwide making their living virtually through fan pages!
- Startups also contribute to the economy of the country through public stakes and keep going even during recession. Most of these start-ups grow like mushrooms during the down time of economy and surprisingly make good companies in future! In-fact according to Justin Moore, CEO of Axcient, startups aid in economic recovery.
Continuing this argument that the startup legends have started let us put in our thoughts on why startups are essential and how they contribute to the economy. Now is your turn…