According to a CB Insights’ study of failed startups, companies typically die around 20 months after their last financing round and after having raised $1.3 million.1 Running out of money is one of the primary causes of business failure. To be successful, a startup business needs to scale quickly, but entrepreneurs must be smart about how and where they spend their precious cash. Today, many startups are taking advantage of cognitive technology to help them grow rapidly without draining their bank account. Here are five tips for scaling your startup:
1. Pay attention to infrastructure
Customers won’t tolerate outages or poor performance, so you need to establish a flexible, robust and reliable cloud-based technology infrastructure. To avoid problems, you should make sure to test the infrastructure under multiple conditions.
2. Scale expertise
Cognitive systems can help your organization amplify employee expertise so the knowledge of an organization’s top expert becomes instantly accessible to everyone in the workflow. Organizations can then institute processes and operations to use this coveted knowledge. With every transaction and interaction, workflows become more informed and the insights gained can be used to improve the business.
3. Create a stand-out pitch
A business pitch can make or break a relationship with investors. It also can act as the roadmap for application design. To craft a stand-out pitch, startups should consider using cognitive technology to help them better understand their target customers. The pitch should demonstrate an understanding of the personality of the consumers, which will help ensure that you create an application that customers want.
4. Use APIs
With APIs, you can use existing technologies to rapidly build and deploy customized applications that run across multiple platforms. By taking advantage of APIs, you’re equipped to create the “next big thing” before your competitors do.
5. Analyze data
Data is often underutilized in an organization and analyzing external data that complements the data a startup already has can be valuable. Using cognitive technology, organizations can mine third-party, unstructured data like publications, reports, videos, blogs, tweets and reviews for information, patterns, connections and trends to produce actionable insights.