Website creation: what an internet startup is
In general, the concept of “startup” can refer to any project that is actively developing, or in general, any company that is not very long ago, but thus quickly began its activity. But most often startups are called bold innovative projects implemented through the Internet. Such projects are called internet startups. What is an Internet Startup?
The main thing that distinguishes an internet startup from any other Internet project is the uniqueness of its idea, the presence of some “highlight”, which allocates this resource among competitors. Such a “highlight” can be the use of innovative technologies and scientific developments, the use of non-standard approaches to solving the usual range of problems.
Among the world-known examples of Internet startups, experts call projects such as MySpace, Wikipedia, YouTube, Facebook, Digg, Flickr and others. All these projects during their creation caused a kind of revolution, and after their successful “explosion” on the Internet, many analogues appeared immediately. Although some of these analogues have proved successful, it is worth acknowledging that a recapitulation of an idea that has once “exploded” almost never earns as much profit as the original.
Since its creation and development, Internet startups have 5 main stages. The first stage is sowing. At this stage, an online startup goes from developing a project concept and creating a viable prototype to a closed and then public beta. The sowing stage is the turn of the startup stage.
At the stage of launching an online startup, the first clients are attracted, the mechanism of the project operation is adjusted. During this startup phase, it is very important to attract investors to secure the project’s planned growth. If the startup stage is successful, then the startup goes into the growth c.
The growth stage of a startup is a period during which a project attracts more customers, pays off and starts to generate profits. At this stage, startups often reach a stable market position. The next stage – the expansion stage – involves even more active customer engagement and increased profits. At this stage, a startup has usually reached the goals set out in the business plan for the selected market, and is starting to enter other markets.
The final stage of startup development is the exit stage. At this stage, the investors who financed the start-up in the early stages are “going out” of the business. However, the “exit” can happen in different ways: either through the sale of a startup to strategic investors, or through the initial sale of shares of the company on the stock exchange. It is also possible to sell shares of the company to private equity funds.
The key to the success of any startup, including Internet startups, is the presence of an innovative, yet realistic idea, the availability of a team ready to make every effort to launch and develop the project, and, of course, the presence of investment. The latter can be obtained from individuals (they are called “business angels”), as well as from various investment funds.
