Earlier this year, the Founder Institute hosted a session with Ben Yoskovitz, co-founder of Highline Beta—a venture studio that builds and funds new businesses—. Ben shared tips on how startups can avoid common pitfalls and build products that truly matter. Here is a recap of some of his advice.
Focus on Real Problems
The biggest mistake startups make? Building products no one wants. To avoid this, Ben suggests focusing on three key elements:
- A specific user: Don’t just say “small businesses.” Be as specific as possible.
- A functional need: Identify a clear pain point in your users’ daily lives.
- An insight: This is your unique understanding that gives you an edge.
Validate Your Ideas
Your assumptions about users and their needs are just that – assumptions. Before investing time and money into building a product, talk to at least 10 potential users. Test your hypotheses and be ready to change direction based on what you learn. This validation process is crucial for ensuring you’re on the right track.
Start Small and Focused
Many startups try to tackle too big a market too soon. Instead, find a small, underserved market and focus on dominating that niche. Once you’ve established a strong presence, you can expand from there. This approach allows you to refine your product and build a solid foundation before scaling up.
Embrace “Boring” Problems
Look for problems in industries that are often overlooked. They might not be glamorous, but they can be highly profitable and face less competition.
Test Early with Simple Prototypes
You don’t need a perfect product to start gathering feedback. Use simple prototypes or even hand-drawn mockups to get early user reactions.
Don’t Fear Competition
If big companies start working on similar ideas, don’t panic. Your advantage is in how well you understand your specific users and their needs.
Evolve Your Mindset
As a founder, you’ll often face decisions that challenge your assumptions. Be ready to question your initial beliefs and adapt based on user feedback. Redefine what success looks like for your startup as you learn and grow. This flexibility is key to navigating the ever-changing startup landscape.
Take Action
Implement these practical steps in your startup journey: Interview potential users regularly to stay connected with their needs. Build and test prototypes quickly to validate your ideas. Act on user feedback promptly to show that you value their input. Be willing to pivot if your initial idea isn’t working – it’s a sign of strength, not failure.
Conclusion
Building a successful startup isn’t about having all the answers from the start. It’s about being committed to learning, testing, and adapting. Focus on solving real problems for specific users, and you’ll be on the right track.
Remember: Think less, validate more, and be ready to evolve.
Credit: This post is based on insights from a Founder Institute session featuring Ben Yoskovitz, entrepreneur and co-founder of Highline Beta.
Kemura 