Startup Success Factor

Startup core success factor according to Bill Gross
Idealab, the first business incubator in the world, was founded with assistance of Bill Gross, who after all has been managing the company for 20 years. Due to the incubator, over 150 startups had an opportunity to be launched. Part of them became successful, another part went bankrupt. Having analyzed the experience of more than 200 companies, Bill Gross determined, which factors had the strongest impact on their success. The results impressed even himself.
5 factors determining development of startups
Bill Gross has been launching companies and running small business since he was 12. He started from sale of candies, eco projects, he worked with software, and finally took charge of his own

Beside a good strategy and idea, another factor of luck was timing. The e-commerce marketplace was launched during the economic meltdown — although people were afraid of leasing their flats to strangerі, they forgot their fears because they needed money.
Uber. The same situation. Both idea and business plan were very good. But the right timing was more significant. During the meltdown, drivers were looking for gaining additional

Here everything is very simple — the project was designed in response to the demand. Web pages were highly needed.
GoTo.com was launched on the right time. The startup was launched when everybody was curious about ways of attracting traffic.

Case of failure from Bill Gross’s experience
Bill Gross introduces an unsuccessful example from an experience when timing did not let an innovative idea be beneficial. It goes about Z.com, an online entertainment platform. It was launched in 1999 and, in spite of a brilliant business model, was closed in 2003. The company failed because at the moment of launch, broadband was not very popular. People needed to install codecs, and they refused to use the resource.

2 years later, without any idea, YouTube showed up. At the moment, broadband Internet was available for 50% of users, and Adobe Flash solved the problem of having codecs forever. It’s pretty obvious, who was more successful.

Summing up the analysis, Bill Gross made a conclusion that execution means a lot. However, the main factor of success is to be at the right place at the right time, and choose the best time for launch. Even if the idea is «hot» and you want to start working with it right away, it is essential to appraise if a client is ready for innovations or not. The right choice of the moment will increase the chances for