MagicalQuokka
MagicalQuokka

Evaluating early stage startups in this market

What questions would you ask to evaluate if you should join an early stage startup in this market?

The objective is to ensure job longevity, avoid getting laid off and experience a reasonable amount of growth.

Is there anything else that we can do apart from asking questions to the company folks?

20mo ago
QuirkyWaffle
QuirkyWaffle

Early stage bets cant be taken on company's current problems.
You should be evaluating not the companies current performance but founder x industry.
Bet on the Founder and Industry - not on company. Problem statements and vision of company change very quickly in early stage.
Founder-

  1. First time founder?
  2. Why are they building what they are building.. If they sell you a rosy picture of growth of company - red flag - ask real reason for him to be a founder. If it sounds like he is casual about stuff and will look for an exit sooner - red flag. Understand their Motivation factor.
  3. Pedigree (can also be estimated from yoe in that industry dont limit pedigree to only education from top tier.)
  4. Integrity of founder (ask ref check from founders, red flag if founder takes offense of denies)
  5. Vision (are they building a unicorn or a small biz or whatever and ask them how would they do that)

Industry -

  1. What is the industry's current standing
  2. Whats the expected growth rate (read reports published annually by tamaesk, google , bain, other VCs on India's growth story - pls dont believe numbers but understand the macros behind).
SquishyBanana
SquishyBanana
  1. Founders profiles ; ideas can change but people won't
  2. Market : is it a growing market ? Or dad one
  3. Funding /economics : Do they have revenue? Do they have funding?
  4. Unique insight: what different are the people doing that existing solutions. Is it just copy cat with better execution or fundamentally better approach.

There are several other factors but if you like people and their plans then go for it. But please bear in mind that Early stage startups are v v risky inspite of above criteria.

Discover more
Curated from across
Software Engineers
by MagicalQuokkaSoftware Developer

Evaluating early stage startups in this market

What questions would you ask to evaluate if you should join an early stage startup in this market?

The objective is to ensure job longevity, avoid getting laid off and experience a reasonable amount of growth.

Is there anything else th...

Software Engineers
by ZoomyMochiSoftware Engineer

Things to enquire before joining a startup/company

As a software engineer considering joining a startup or company, what are the essential questions you recommend asking HR or the CEO to gain insights into the company culture, growth opportunities, and overall work environment? And wheth...

Top comments
user

Runway

user

The best people to gather information from are ex-employees of a company. They are not bound to say sugar coated answ...

user

It is better to ask currently working employees than HR & CEO.

Ask Grapeviners
by BubblyBurritoSoftware Test - QA

Questions to startup co-founders during interview

Hey hi folks !

I'm going to give an interview for a consultant role at a startup which I got to know that they are at a breakeven point (BEP).

What further questions usually needs to be asked to co founders ? Please anyone share your...