Introduction

• In order to start a startup, one should identity problems instead of searching for startup ideas.
• The very best startup ideas tend to have three things in common: they’re something the founders themselves want, that they themselves can build, and are not recognized by others.

Problems

Therefore, it is essential to work on a identifiable, authentic problem. The most common mistake startups make is to solve problems no one has. For example, a social network for pet owners. It doesn’t sound obviously mistaken. Millions of people have pets. Often they care a lot about their pets and spend a lot of money on them. Surely many of these people would like a site where they could talk to other pet owners. The danger of an idea like this is that when you run it by your friends with pets, they don’t say “I would never use this.” They say “Yeah, maybe I could see using something like that.” Even when the startup launches, it will sound plausible to a lot of people. They don’t want to use it themselves, at least not right now, but they could imagine other people wanting it. Sum that reaction across the entire population, and you have zero users.

Purpose of the System

When a startup launches, there have to be at least some users who really need what they’re making — not just people who could see themselves using it one day, but who want it urgently. So if you can’t predict whether there’s a path out of an idea, how do you choose between ideas? The truth is disappointing but interesting: if you’re the right sort of person, you have the right sort of hunches. If you’re at the leading edge of a field that’s changing fast, when you have a hunch that something is worth doing, you’re more likely to be right. The verb you want to be using with respect to startup ideas is not “think up” but “notice,” from the founder’s experiences. The most successful startups almost all begin this way.

School

That’s what I’d advise college students to do, rather than trying to learn about “entrepreneurship.” “Entrepreneurship” is something you learn best by doing it. So if you’re a CS major and you want to start a startup, instead of taking a class on entrepreneurship you’re better off taking a class on, say, genetics. Or better still, go work for a biotech company. CS majors normally get summer jobs at computer hardware or software companies. But if you want to find startup ideas, you might do better to get a summer job in some unrelated field.

Competition

Because a good idea should seem obvious, when you have one you’ll tend to feel that you’re late. Don’t let that deter you. Worrying that you’re late is one of the signs of a good idea. Ten minutes of searching the web will usually settle the question. Even if you find someone else working on the same thing, you’re probably not too late. It’s exceptionally rare for startups to be killed by competitors — so rare that you can almost discount the possibility. So unless you discover a competitor with the sort of lock-in that would prevent users from choosing you, don’t discard the idea.