How to Set Up a Tech Company Starting From Nothing
Setting up a tech company is a dream shared by many. This is a dream that has been perpetuated largely by a number of incredible success stories. Namely those of Steve Jobs, Bill Gates, and Mark Zuckerberg. All of them started out in a dorm room or basement somewhere with an old piece of tech and a desire to make something important. And ultimately all of them ended up with a company. That would make millions of dollars and truly changes the world.
That’s pretty much the American Dream encapsulated. So how can you accomplish the same thing? Is it possible? Read on and we’ll look at how you can make a tech company from scratch.
The great thing about creating a tech company is that you can start by creating a digital product and perhaps later invest these funds into creating a physical product. What this means is that what you’re making doesn’t require any physical materials or any machines to create it. In turn, this means that you can start with absolutely no funds and this won’t be a huge drawback. Tech businesses are ideal for ‘bootstrapping’ which means starting out with nothing and then using a few small steps in order to fund your larger plans.
Of course, that’s a little different if what you’re planning on making is some kind of hardware. In that case, it can be a good idea to start out with a digital product, or as a reseller of hardware. Then to move from there towards selling your own hardware. (start with small things that you sell from the same site using a manufacturing contractor).
What you will need though is an idea of the niche you want to go into and the type of thing you want to build. From here you will know what precise skills you’re going to need. And then you can either learn them yourself (unless you already have those skills) or find someone who can provide them for you.
Now you have your idea and your team next is to start looking into the workflow.
Depending on when you want to launch and your financial restrictions. You may decide that the best thing to do is to continue working another job at the same time. This is perfectly possible in the vast majority of cases and simply requires that you start working in the evenings or at weekends. This is going to be a strain on your lifestyle and your relationships potentially though. So do be aware of that.
Alternatively, if you want to make this into your ‘main concern’ straight away. Then you may need a little capital in order to keep yourself afloat. There are numerous different ways you can achieve this. From saving your own money to invest in your business idea, to trying to get investment from investors or even from crowdfunding sites such as Kickstarter.
If you’re working as a team, then you have several options. One is to work out of your own homes, and for this. You might want to use cloud computing/video conferencing software in order to be able to communicate and collaborate with colleagues who are a long way away. Otherwise, you can have occasional meet-ups using coffee shops or by renting conference rooms on occasion. If you can afford it though, then leasing an office is a great bonus.
Finally, once you’re making money from software, you can start thinking about reinvesting that money into hardware. These days, it’s easy enough to prototype a product but from there you can simply turn your idea into something physical by taking a CAD file to a manufacturer and using your capital to invest in inventory.