1851

The startup organization is one of the greatest forms to make the world a better place. If you take a group of people with the right equity incentives and organize them in a startup, you can unlock human potential in a way never before possible, and you will get them to achieve unbelievable things. But Bill Gross, founder of Idealab, a business incubator focused on new ideas, had one question: If the startup organization is so great, why do so many fail? He was determined to find out once and for all what it takes for a business to truly thrive. And according to his <a href="https://www.youtube.com/watch?v=bNpx7gpSqbY&utm_source=1851franchise.com&utm_medium=article&utm_campaign=ted-talk-tuesday-the-single-biggest-reason-why-startups-succeed-3554" target="_blank" rel="nofollow" target="_blank">TED Talk: The Single Biggest Reason Why Startups Succed</a>, it starts with a great team, a great business model, funding, timing, and the idea. &#8220;Everybody has a plan, until they get punched in the face.&#8221; That&#8217;s something boxer Mike Tyson once said, but Gross believes it&#8217;s also true about business. So much about a team&#8217;s execution is its ability to adapt to getting punched in the face by the customer. The customer is the true reality, and that&#8217;s why Gross came to think that the team may be the most important element in a startup&#8217;s success. But is there more to it? Gross wanted to dig deeper, so he started look at the business model. Does the company have a very clear path generating customer revenues? Then he looked at funding. Sometimes companies received immense amounts of funding, so maybe that&#8217;s the most important thing? And, of course, there&#8217;s timing. Is the idea way too early and the world&#8217;s not ready for it? Is it just right? Or is it too late, and there are already too many competitors? The idea matters, too&#8212;that &#8220;aha!&#8221; moment when you first come up with the concept for your business. Gross considered all of these factors. He examined all 100 Idealab companies, and 100 non-Idealab companies to try to come up with something scientific&#8212;some kind of blueprint that maps out success. He looked at wild successes, like Airbnb, Instagram, Uber, and Youtube. And he also considered a few failures, like Kozmo, Pets.com and Friendster. In the end, he realized one key thing&#8212;timing. Timing accounted for 42 percent of the difference between success and failure. Team and execution came second, and the idea, the differentiability of the idea, the uniqueness of the idea&#8212;that actually came in third. &#8220;Execution definitely matters a lot. The idea matters a lot. But timing might matter even more. And the best way to really assess timing is to really look at whether consumers are really ready for what you have to offer them. And to be really, really honest about it, not be in denial about any results that you see, because if you have something you love, you want to put it forward. But you have to be very, very honest about the factor on timing,&#8221; Gross said.

1851 Franchise

Bill Gross founded Idealab, an incubator of new inventions, ideas and businesses. And he has the key to success for startups. 

This brand page has been paid for by 1851. Content within this page that is paid will showcase a Sponsored icon. This means the brand has engaged 1851 FRANCHISE to write the content. Content without the Sponsored Icon is aggregated media placements the brand earned. Questions can be sent to editorial@1851franchise.com

TED Talk Tuesday: The Single Biggest Reason Why Startups Succeed   

ted-talk-tuesday-the-single-biggest-reason-why-startups-succeed

TWO MEN AND A TRUCK

TWO MEN AND A TRUCK® and TWO MEN AND A JUNK TRUCK® Celebrate Franchise Success at Annual Conference

two-men-and-a-truck-and-two-men-and-a-junk-truck-celebrate-franchise-success-at-annual-conference

USA Ninja Challenge

How Dale Grant Used Three Decades of Gymnastics Expertise to Build USA Ninja Challenge

how-dale-grant-used-three-decades-of-gymnastics-expertise-to-build-usa-ninja-challenge

Preservan

Preservan Celebrates First-Ever BrightPath Gathering: Lighting the Way for Community and Sustainability

preservan-celebrates-first-ever-brightpath-gathering-lighting-the-way-for-community-and-sustainability

Voodoo Brewing Co.

From Bartender to Brand Builder: How Matthew Hass Is Shaping the Future of Voodoo Brewing Co.

from-bartender-to-brand-builder-how-matthew-hass-is-shaping-the-future-of-voodoo-brewing-co

Woodhouse Spas

Photo of front desk of Woodhouse Spa featuring pendant lights, wood flooring, and marbled art

Expanding Woodhouse Spas Franchisees Prove Growth Is in the Details

woodhouse-spas-franchise-growth-success

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Fly Dance Fitness Expands With First Franchise Location in Georgia

fly-dance-fitness-franchise-expansion

&pizza - Fast-Casual Pizza Chain Begins Franchising - 1851 Franchise

&pizza Embraces Franchising To Fuel Bold New Growth Strategy

andpizza-franchising-ceo-mike-burns

CFOs See Recession as Likely in ’25; Why Now Is the Time To Water the Franchise Buyer Seeds

cfos-see-recession-as-likely-in-25-why-now-is-the-time-to-water-the-franchise-buyer-seeds

Ellie Mental Health Franchisee Backlash - Alleged Misrepresentations - 1851 Franchise

Ellie Mental Health Faces Franchisee Backlash Over Alleged Misrepresentations

ellie-mental-health-franchisee-backlash

Tariff Tensions Threaten U.S. Restaurants with Rising Costs and Supply Chain Disruptions

tariff-tensions-threaten-us-restaurants-with-rising-costs-and-supply-chain-disruptions

The Top Quick Service Restaurant Franchises for 2025

the-top-quick-service-restaurant-franchises

Top 25 Emerging Restaurant Franchises - 1851 Franchise

Top 25 Emerging Restaurant Concepts to Consider in 2025

top-emerging-restaurant-concepts-to-consider

The Top 20 Cleaning Franchises to Invest in for 2025

top-cleaning-franchises-to-invest-in

Restaurant Franchises - Top 25 Burger Franchises To Consider Buying in 2025 - 1851 Franchise

Top 25 Burger Franchises To Consider Buying in 2025

what-are-the-best-burger-franchises-to-invest-in

Paris Baguette Ranks Among Top Franchises on Entrepreneur’s Franchise 500® for 2025 - 1851 Franchise

Paris Baguette Ranks Among Top Franchises on Entrepreneur’s Franchise 500® for 2025

paris-baguette-ranks-among-top-franchises-on-entrepreneurs-franchise-500-for-2025

Franchise Deep Dive: Studio Pilates Franchise Costs, Fees, Profit and Data

franchise-deep-dive-studio-pilates-franchise-costs-fees-profit-and-data

Florida Franchisee Reflects on Success and Growth with Sylvan Learning

florida-franchisee-reflects-on-success-and-growth-with-sylvan-learning

Military Veteran and Craft Beer Enthusiast to Bring Voodoo Brewing Co. to Toledo, Ohio

military-veteran-and-craft-beer-enthusiast-to-bring-voodoo-brewing-co-to-toledo-ohio

TED Talk Tuesday: The Single Biggest Reason Why Startups Succeed

MORE STORIES LIKE THIS