Victor Rodrigues Silva

 A startup company is an entrepreneurial

venture which is typically a newly emerged, fast-
growing business that aims to meet a
marketplace need by developing or offering an
innovative product, process or service. A startup
is usually a company such as a small business,
a partnership or an organization designed to
rapidly develop a scalable business model.
 Startup companies can come in all forms and
sizes. Some of the critical tasks are to build a
co-founder team to secure key skills, know-how,
financial resources, and other elements to
conduct research on the target market. Typically,
a startup will begin by building a first minimum
viable product (MVP), a prototype, to validate,
assess and develop the new ideas or business
concepts. In addition, startups founders do
research to deepen their understanding of the
ideas, technologies or business concepts and
their commercial potential.
 Companies may also fail and cease to operate
altogether, an outcome that is very likely for
startups, given that they are developing
disruptive innovations which may not function as
expected and for which there may not be market
demand, even when the product or service is
finally developed. Given that startups operate in
high-risk sectors, it can also be hard to attract
investors to support the product/service
development or attract buyers.
 Startups have several options for funding. Venture
capital firms and angel investors may help startup
companies begin operations, exchanging seed
money for anequity stake in the firm. Venture
capitalists and angel investors provide financing to a
range of startups with the expectation that a very
small number of the startups will become viable and
make money. In practice though, many startups are
initially funded by the founders themselves using
"bootstrapping", in which loans or monetary gifts
from friends and family are combined with savings
and credit card debt to finance the venture.
 Startups usually need to form partnerships with other firms
to enable their business model to operate.To become
attractive to other businesses, startups need to align their
internal features, such as management style and products
with the market situation.
 There are two ideal profiles for startups that are
commercializing inventions. The inheritor profile calls for a
management style that is not too entrepreneurial (more
conservative) and the startup should have an incremental
invention (building on a previous standard). In contrast to
this profile is the originator which has a management style
that is highly entrepreneurial and in which a radical
invention or a disruptive innovation (totally new standard) is
being developed.
 Co-founders are people involved in the initial
launch of startup companies. Anyone can be a
co-founder, and an existing company can also
be a co-founder, but frequently co-founders
are entrepreneurs, engineers, hackers, web
developers, web designers and others involved
in the ground level of a new, often high-
tech,venture.
 Startup investing is the action of making an
investment in an early-stage company (the
startup company). Beyond founders' own
contributions, some startups raise additional
investment at some or several stages of their
growth. Not all startups trying to raise
investments are successful in their fundraising.
 When investing in a startup, there are different types of
stages in which the investor can participate. The first round
is called seed round. The seed round generally is when the
startup is still in the very early phase of execution when
their product is still in the prototype phase. At this
level angel investors will be the ones participating. The next
round is called Series A. At this point the company already
has traction and may be making revenue. In Series A
rounds venture capital firms will be participating alongside
angels or super angel investors. The next rounds
are Series B, C, and D. These three rounds are the ones
leading towards the IPO (Initial Public Offering). Venture
capital firms and private equity firms will be participating.
 The idea of these platforms is to streamline the
process and resolve the two main points that
were taking place in the market. The first
problem was for startups to be able to access
capital and to decrease the amount of time that
it takes to close a round of financing. The
second problem was intended to increase the
amount of deal flow for the investor and to also
centralize the process.
 Failed entrepreneurs, or restarters, who
after some time restart in the same sector
with more or less the same activities, have
an increased chance of becoming a better
entrepreneur.
 If a company's value is based on its technology,
it is often equally important for the business
owners to obtain intellectual property
protection for their idea. As such, it is important
for technology-oriented startup companies to
develop a sound strategy for protecting
their intellectual capital as early as possible.
 Startup companies, particularly those associated
with new technology, sometimes produce huge
returns to their creators and investors—a recent
example of such is Google, whose creators
became billionaires through their stock ownership
and options. However, the failure rate of startup
companies is very high. One common reason for
failure is that startup companies can run out of
funding, without securing their next round of
investment or before becoming profitable enough
to pay their staff.
 A startup is a young company that is just beginning to
develop. Startups are usually small and initially financed
and operated by a handful of founders or one individual.
These companies offer a product or service that is not
currently being offered elsewhere in the market, or that the
founders believe is being offered in an inferior manner.
 In the early stages, startup companies' expenses tend to
exceed their revenues as they work on developing, testing
and marketing their idea. As such, they often require
financing. Startups may be funded by traditional small
business loans from banks or credit unions, by
government-sponsored Small Business
Administration loans from local banks, or by grants from
nonprofit organizations and state governments.
 Incubators can provide startups with both capital and
advice, while friends and family may also provide
loans or gifts. A startup that can prove its potential
may be able to attract venture capital financing in
exchange for giving up some control and a percentage
of company ownership.
 Because startups have a high failure rate, would-be
investors should consider not just the idea, but the
management team's experience. Potential investors
should also not invest money that they cannot afford
to lose in startups. Finally, investors should develop
an exit strategy, because until they sell, any profits
exist only on paper.