First principle to start a successful business: kill the idea. “The product or service that we think is the least important, the only important thing is to understand the others and see how I can give them the value they deserve”, began Francisco Santolo, CEO and founder of Scalabl company builder and accelerator.
The second principle: think about business models and not companies. And to think about those business models, Santolo invited his audience of the Young Entrepreneurs Alliance (an alliance of young entrepreneurs that meets in Argentina within the framework of the G20) to think about how to do a venture without financial, economic and financial risk. investment.
To do a business without investment, he said, in an auditorium of the consultancy EY, you need to have a vision. “If there is a person with a strong vision, it becomes powerful, having a vision allows you to share it and exchange it for resources, you have to make people believe you and you will stay the same,” he began.
One can avoid economic risk in one way: avoiding fixed costs, such as rent and employees. At this point, Santolo spoke of a trend called “nikefication”, by the outsourcing model of production and resources that Nike adopted before the rest of the companies.
Finally, financial risk is avoided without investment. “The key is to look for a small niche with potential for exponential growth and leaving high economic margins,” he said.
Disruptive innovation is what grabs future customers, he said, and that is where startups have the opportunity to participate. “They take time and are not interesting for big companies, because they do not interest their current customers, the business became global and we can build our business anywhere,” he said.
Finally, he left a council to undertake: be vulnerable and humble. He explained that when people understand that they are not perfect, they can appreciate themselves and, in that way, appreciate others.
“Vulnerability is the beginning of everything,” said the screen that accompanied him as he spoke on the subject. “When you do not accept your vulnerabilities and when you do not have the humility to lead, then you are likely to fail,” he said.
Also published on Medium.