Are You Founding a Startup Or A Small Company?

Your first step in building a successful startup is… to be sure you should really found a startup (instead of a small company). Seriously, think about that.

In the last years, the word “startup” became so popular that it’s commonly used as a synonym for ‘a small company’ or ‘a company recently founded’.

And, believe me, the difference is huge.

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How Relevant Is The Problem You Are Solving?

Probably, in your own life, you’ve faced the problem you’re trying to solve—in your work, with your husband, your wife, your kids, your hobbies, etc. And for that problem, you didn’t find a good solution in the market.

Maybe you are familiar with a bad situation that happens with other people and you feel compelled to help them with your knowledge on solving that issue.

You know this problem quite well. Right?

However, when you decide to build a business based on a solution you’ve created to address a problem, it is not about you and your thoughts anymore; it’s about your customers’ lives.

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What is Your Startup’s Market Size?

Even with a great idea you won’t go too far if there isn’t a big enough market that allows your startup to grow significantly. That’s why you should assess the size of the opportunity you’re working on, since the very beginning.

MARKET SIZE IN 3 STEPS

Certainly, there are several ways to estimate your startup’s market size and you should look for the most reasonable methodology in your case. The most important is to work on some kind of logic. Here, we’ll base our logic on 3 well-known market concepts: Total Addressable Market (TAM), Served Available Market (SAM) and Target Market.*

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