When it comes to defining a startup, two perspectives from industry experts provide valuable insight into what makes these entrepreneurial ventures so unique.
The most popular definition comes from Eric Ries, the creator of the Lean Startup methodology.
“A startup is a human institution designed to create a new product or service under conditions of extreme uncertainty.”
This definition highlights the fundamental nature of a startup: it’s not just about the product, but the uncertainty that surrounds it. Startups thrive in an environment of risk, testing, and iteration, where founders don’t have all the answers but are constantly learning, adapting, and pushing boundaries to create something new.
On the other hand, Wil Schroter, CEO of Fundable, offers a more personal and emotional definition.
“A startup is the living embodiment of a founder’s dream. It represents the journey from concept to reality. It is one of the few times when you can take something that is only a dream and make it a reality, not just for yourself, but for the entire world.”
For Wil, a startup is a deeply personal venture. It’s the realization of a founder’s vision, a dream brought to life through hard work, resilience, and passion. This definition underscores the emotional drive behind startups—beyond the business model or financial goals, startups are often about fulfilling a personal mission and creating something that has the potential to change lives, industries, and even the world.
While Eric Ries’ definition focuses on the process of navigating uncertainty and innovation, Wil Schroter’s definition is about impact—turning a vision into something tangible that affects others. Both definitions highlight key elements that make startups different from other types of businesses: the drive to create, the willingness to take risks, and the ambition to transform ideas into reality.
Ultimately, whether you resonate more with Ries’ emphasis on uncertainty and experimentation, or with Schroter’s vision of turning dreams into reality, one thing is clear: startups are about more than just starting a business. They are about pioneering new paths, embracing challenges, and leaving a lasting mark on the world.
Comments