The Best Conditions For Building A Unicorn

“There must be a crazy new way to offer the new way of satisfying that want or need that was just not possible to do even last year.”

TechCrunch

[tc_contributor_byline slug=”tom-jacobs”]

If you were looking to build a company, and you were looking to build a unicorn, what conditions should be present for the best chance of success?

Based on current unicorns, your best chance is to start a business that is revenue-growth based, rather than user-growth based. It has to move money from day one. The few intense user-growth startups are all in the same business — self-promotion¹ — so unless that’s your business as well, just move money. It must have people paying, and happy to be paying regularly.

Startups like Uber, Airbnb, SaaS companies, hardware companies, all start moving money from the day they ship. It sounds obvious, but unless your users are showing themselves off, they should be paying. As well as being willing to pay for your product/service, they must already be spending money on this area in their life. Money has been coming out of their wallets for a current need or want, whether they’re happy with this or…

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