The Most Important Lesson
90% of entrepreneurs are ready to jump in and start building their product right away. They have a great idea for a product, their friends have told them how good it sounds, and the last step to becoming the next entrepreneurial success story is to build the product and start selling, Right?
Wrong
The reason so many entrepreneurs fail is that they don’t validate the market. They practice a ready, fire, aim development style. Successful entrepreneurs practice ready, aim, fire by validating the market_._
Market validation compensates for most of the risk of entrepreneurship.
Once risk has been mitigated; your venture will give you the profitability of a start-up with the security or an investment. And that is the most important lesson.
Read on for an explanation of Market Validation from the second chapter of Rob Adam’s book: A good hard kick in the Ass, Basic Training for Entrepreneurs. Rob Adams works with Austin Ventures, providing venture capital to start up companies. His book provides a valuable perspective through the eyes of a professional VC. While the whole book is a valuable resource; the most valuable section, by far, is the second chapter on market validation. The chapter is titled you don’t know your customer as well as you think you do.
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