30 Aug '11, 12pm

Inconsistency And Premature Scaling Main Cause For Startup Failure: Blackbox

Inconsistency And Premature Scaling Main Cause For Startup Failure: Blackbox

Silicon Valley technology startup accelerator Blackbox earlier this year launched the Startup Genome Project , which seeks to type startups, identify their developmental stage and the metrics that matter, and build a system to integrate the methodologies of many of the Valley’s leading thinkers such as Steve Blank , Eric Ries , Sean Ellis and Dave McClure . Blackbox , founded by entrepreneurs Bjoern Lasse Herrmann and Max Marmer, in June released its first Startup Genome Report — a 67-page in depth analysis on what makes Silicon Valley startups successful based on profiling over 650 startups. This time they have announced findings that, while unlikely to surprise, provide more solid data about failure rates of startups. According to Blackbox about 90% of all startups fail, and the most common reason for failure is premature scaling. “In our dataset of 3200 startups about 7...

Full article: http://www.youngupstarts.com/2011/08/30/inconsistency-and...

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