It’s a tough world out there for startups these days. With the pressure to succeed and make it big in order to provide a good life for your family, it might be difficult to think about revenue streams or revenue in general. So, what are the best fields those struggling startups should focus on? Watch the video below and find out!
Why revenue is important
Revenue is typically the lifeblood of a thriving business. If your startup has investments, then your investors will want to see revenue before extending their funding. If you don’t have investors, then revenue is a matter of keeping your business afloat. Even if you’ve been successful with fundraising at this point, when it comes time to scale up your startup and spend money on marketing or research and development, you’ll need to show that you have the cash flow necessary to support those activities.
What revenue does for your company?
Revenue is what funds your company; it’s the lifeblood of any business. Without revenue, you’ll never have cash to pay for operational costs, which means you need revenue. Why do we care about revenue? Well, think about it in terms of a person: If your friend needs $200 and you only have $150, then you won’t be able to loan that money for anything because you don’t have enough.
Why is it considered to be a success for startups?
The success of a startup is judged by how much value it provides to its customers. It’s not enough for a startup to have a great idea, it has to have the ability to execute that idea. To do this well, startups need money, personnel and time. A successful startup will produce valuable products or services, grow rapidly and generate significant returns on investment.
The best revenue streams for startups are those that will give them the most money right away. These are generally going to be marketing, advertising and consulting services.