7-Step to a Successful Startup ZAFAR (Berkeley)

7/23/2019 7-Step to a Successful Startup ZAFAR (Berkeley)

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7 Steps to a7 Steps to a

SuccessfulSuccessful

StartupStartupNaeem ZafarProfessor of the Practice, Deans

Teaching FellowUniversity of California Berkeley, Brown

University

Twitter: @naeem

All rights reserved Naeem Zafar 1Startup Workshop

www.Startup-Advisor.com
http://www.startup-advisor.com/http://www.startup-advisor.com/http://www.startup-advisor.com/


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Personal Background

All rights reserved Naeem Zafar 2Startup Workshop

Faculty member at Univ of California Berkeley (College of

Engineering, Center of Entrepreneursip ! Tecnology ! "aasbusiness scool# an$ UC%F

Foun$er www&%tartup'$vior&com ) a$visory to entrepreneurs

%erve$ as te CE* of +ve startup companies

orke$ in engineering, researc, marketing ! sales

E-perience at one large multinational ! 7 startups

*ne ./* (.nitial /ublic *0ering#

%ol$ Bit1er 2obile (co'foun$er ! CE*# to *racle in 3456

7aise$ over 8942 in multiple ways (C, asset sale, $ebt, angel#

Travele$ to 9; countries, live$ in 6

Brown University engineering 5 %

$vise$ or mentore$ over 5,444 entrepreneurs
http://www.startup-advior.com/http://www.startup-advior.com/


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www.startup-advisor.com All rights reserved Naeem Zafar

www.FiveMountainPress.com
http://www.fivemountainpress.com/http://www.fivemountainpress.com/


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Entrepreneurship

/ursuit of business opportunity witte resources tat you currently $onot control

Startup Workshop All rights reserved Naeem Zafar !


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Startup vs. argeBusiness

Startup Workshop All rights reserved Naeem Zafar "

search execute #$ow$ %i& model #$ow$ customers'

cha$$els' pro%lems

($k$ow$ %i& model ($k$ow$ customers'

cha$$el


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Pre-!deation

.ntersectionof tese 6forces yiel$

initial i$eas

)N*N 1+1+ S+ All rights reserved Naeem Zafar 2+1" ,

2acrotec

tren$s

Foun$er?sskills !

motivations

eepinsigts oncustomer?s

nee$s


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"he Business Plan

at problem are you solvingA

o as tis problemA

Startup Workshop All rights reserved Naeem Zafar

Your business plan is this clarity in your mind that comes after

extensive market research & talking to your customers


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7-Step Process# StartingScala$le Business

5& re you really an entrepreneurA3& .$entify a big unmet nee$

6& 2arket researc' vali$ate

assumptions& Customer $iscovery: wo nee$s

me moreA

& e+ne uniDue positioning

;& Con+rm scalable business mo$el

9& .nspire te rigt team

Startup Workshop All rights reserved Naeem Zafar


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Steps for Starting %p

&ind unmet need

'alidate need

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0i$d team

Marketresearch

evelop i& 3la$

CreateInvestorMaterials


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Scali$g 4our 5ompa$6 All rights reserved Naeem Zafar 1+


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(# Personal )larit*

/ro+le of an entrepreneur7 7esilience, $etermination,

perseverance

7 Creative ! resourceful

7 mis+t? of society

Gour reasons for starting

Startup Workshop All rights reserved Naeem Zafar 11

"ave clarity on wy youwant to be anentrepreneur


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+ake up of anEntrepreneur

5& %trong convictions but He-ible ine-ecution

3& ble to work in te IfogJ

6& Knows ow to network,communicate ! sell

& Coice of life partner is crucial



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,# !dentif* Bigpportunit*

.s tere an unmet nee$A7Most important homework

7>ot Lust a solution looking for aproblem

7*bserve people wo claim tere is

a nee$



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Siing the pportunit*

ill tis be wort your timeA

ill tis i$ea be easy to raisemoney forA

at is wrong wit smallermarketsA

Startup Workshop All rights reserved Naeem Zafar 1!


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Sie "he pportunit*

2arket si1e M N of people wo canbuy

OpriceON of times tey will buy

per year

Startup Workshop All rights reserved Naeem Zafar 1"


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/# 0esearch to 'alidateAssumptions

%urveys, talk to people, groupsessions to $iscover:

7 o is intereste$ in my pro$uct orserviceA

7 "ow many suc people are tere

7 y $o tey nee$ me

7 y will tey buy from me

7 "ow many can we reac easily

7 ere are tey looking

Startup Workshop All rights reserved Naeem Zafar 1,


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1# 2ho Needs +e +ore32arket %egmentation


%tart by intense$omain ! customer

knowle$ge rticulate pain users

ave

o as more painnow


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4uestions .s tere a real unmet nee$ in tis area (were your pro$ucts a$$ress te

problem#A

"ow $oes ePse want to see tis problem solve$A

y ave tey not solve$ tis until now ) wat issues are preventing teproblem from being solve$A

.f a solution (or a pro$uct# e-iste$, wat woul$ it look likeA

o will use tis pro$uct (or service# ) wat are tese users looking forA"ow ba$ly $o tey want itA

at is te buying process (in oter wor$s, wo nee$s to approve tispurcase#A

at are usually te selection criteriaA

at price point will make tis $ecision a no'brainerA t wat price pointare we likely to +n$ resistanceA

at are te reasons somebo$y woul$ $eci$e not to buyA y asn?t te customer bougt tis solution from someone else until

nowA

o else may be intereste$ in solving tis problemA

o in te organi1ation is te most likely to campion solving tis problem) can . get an intro$uction to temA



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5oing nline 0esearch

www&Qoomerang&com

www&%urvey2onkey&com

Startup Workshop All rights reserved Naeem Zafar 1/

rive traRc tolan$ing page

anding Page

Surve*

nline

)ollect

contact

www&constantContact&com

www&aweber&com

Sites.Google.com

8ell them 9alue 3rop :

;i$k to take surve6

*oogle Adwords 0ace%ook Ads

)mails to targets
http://www.zoomerang.com/http://www.surveymonkey.com/http://www.constantcontact.com/http://www.aweber.com/http://www.aweber.com/http://www.constantcontact.com/http://www.surveymonkey.com/http://www.zoomerang.com/


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"arget +arket

"


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)ustomer 5iscover*+ethod

Create a Ipro$uct brocureJ7 %ee wat people?s reaction

7 Soogle $or$s to gauge customer interest


Yo shol! have an e"tremely goo! i!ea why

yor cstomers wol! #y yor pro!ct#efore yo even start the company


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6ow to Pick our (st)ustomer3

"


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8#)reating 5i9erentiatedPositioning

/ositioning M $what !o yo !o%&

o else is $oing anyting close towat you are trying to $o an$

"ow $o you appear $i0erent tocustomers tat tey $oA



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Positioning

/ositioning statement must besimple ! self e-planatory

2ake it speci+c

7Ba$: Iincrease website securityJ7Soo$: Icuts frau$ in online

transactions for commercial banksJ

2ust connect wit corecompetency

Startup Workshop All rights reserved Naeem Zafar 2!

ow ou ppear


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Business +odel 5rives)larit*

GourCompany

icensingfee

User

Customer

2

$3

$2 $

Soogle

$


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2hat +akes a ;ood"eam3

at is a goo$ teamA

7Te only common trea$ amongsuccessful teams: $eep mutual

respect7 /eople wo sare your vision

7 /eople wom you ave worke$

wit7 Complementary skills

Startup Workshop All rights reserved Naeem Zafar 2/


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"eam

Co'foun$ers

$visory boar$ members

%trategic consultants /rofessional service provi$ers

7 (aw +rm, accounting +rms, /rofessors#

www.startup-advisor.com All rights reserved Naeem Zafar +


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2hat !nvestors ook &or3

5& Team

7 /assionate, committe$, smart, mis+ts

3& eep customer knowle$ge ! insigts

7 n unfair a$vantage

6& Traction7 /roof tat users want tis

Accelerators )=its : 0u$di$g All rights reserved Naeem Zafar 2+1" 1


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2h* Startups !nnovate

%tartups know tat tey $on?t know

%o tey look, pivot, cange ! notworry about killing sacre$ cows

Tey innovate out of survival

>g$iti$g >$$ovatio$? (5 erkele6 All rights reserved Naeem Zafar 2+1" !

Summar*# Essential

Documents

7-Step to a Successful Startup ZAFAR (Berkeley)