Parna Sarkar-Basu, the founder of B&B Consulting, shares her insights on common mistakes that tech startups make and offers suggestions on how to avoid them. She emphasizes the importance of validating market need before designing a product, focusing on benefits rather than product features, and investing in experts rather than relying on free resources. Sarkar-Basu also highlights the significance of ensuring legal and regulatory compliance and being open to pivoting when necessary.
One common mistake that startups make, according to Sarkar-Basu, is designing a product without first validating market need. She advises conducting extensive research to identify a genuine market need and understanding the pain points of the target audience. Additionally, she suggests prioritizing features and functions that matter most to customers in order to create a successful product that meets their needs.
Another mistake that startups often make is focusing on product features rather than benefits. Sarkar-Basu recommends shifting the focus from building cool technology to creating solutions that make a tangible difference. She stresses the importance of communicating the real-world value of the product to investors and customers in order to stand out in a crowded market.
Sarkar-Basu also warns against cutting corners on expertise by relying on free or cheap resources. She advises entrepreneurs to invest in experts and advisors who have the specialized knowledge needed to succeed. Surrounding oneself with talented and passionate individuals who complement each other’s skills can help overcome challenges and ensure the success of the business.
In addition, Sarkar-Basu highlights the importance of legal and regulatory compliance for tech startups. Ignoring intellectual property rights, data privacy laws, or industry-specific regulations could lead to legal challenges and financial penalties that negatively impact the business. She recommends tapping into one’s network to find a reputable law firm with specialty practices to help ensure compliance and protect intellectual property.
Lastly, Sarkar-Basu emphasizes the importance of being open to pivoting in order to adapt to market changes and emerging trends. She shares data that shows how pivots have helped founders avoid failure and achieve success. By staying agile and capitalizing on opportunities to shift direction, startups can increase their chances of becoming relevant in their industry and achieving long-term success.
