It’s a tale as old as time: An amazing, ground-breaking startup emerges, then just as quickly as it appears, it vanishes, never to be seen again. On average, roughly 20% of startups succeed, according to Investopedia. With statistics like that, some may ask: Why try? But with the right preparation and planning, you can anticipate common challenges and create a fool-proof plan.
At iuvo Technologies, we work with a lot of startups, helping them get set up and guiding them along the way. Here are some questions we ask them to ensure they’re on track and prepared for anything:
- How is your data encrypted?
- Who has access to the data and what are the audit trails?
- How concerned are you with data loss?
- What is your timeline and plan to go for IPO, and do you currently have a roadmap and plan to identify and mitigate barriers to do so?
A lot of your power, and potential for success lies in the data you capture. It helps determine what products or services you offer, how you offer them, who you offer them to, and much more. For startups, it’s even more important—especially when it comes to determining who can access it. Prepare for potential threats by encrypting your data and keeping track of who has access. Make a plan for what you would do if data is lost, and how you will recover. Lastly, think about how data management will scale with you. Determining when or if you’ve outgrown a specific application is just as important as choosing the next piece of software you’ll install.
- How do you store your data?
- Do you use multi-factor authentication?
- If you are utilizing AWS, what methodology did you use to create your instances?
We already established how important data is, now we need to talk about protecting it. Aside from encryption, there are other measures you should be taking, like creating backups and using multi-factor authentication. MFA and other access management tools help protect you from ransomware, sneaky competitors, and potentially vengeful ex-employees. If you don’t have an in-house security expert, consider working with a partner that has experience securing startups.
It's also important to know what AWS methodology was used to create your instances so you’re aware of any potential vulnerabilities. Your value lies in your intellectual property (IP), so you should be taking every step to protect it.
- How are you updating devices (laptops/desktops)?
- Have there been any existing audits?
- What is your growth forecast in the next 3 years?
- If there was a breach and IP was lost, would that be the end of the company?
Aside from creating additional security vulnerabilities, an outdated device can affect productivity, employee retention and overall happiness. That’s why Infrastructure is an equally important element when it comes to startups. You need to make sure employees have the necessary technology to do their jobs—whether it requires a laptop or a lab.
In addition to devices, you also need to make sure you have the proper IT infrastructure to support your development. Not only can weak IT lead to more downtime—and less productivity—it can also make you especially vulnerable to attackers and cost you IP. The right IT strategy will grow with you, and ensure you’re supported and protected along the way.
iuvo Technologies is passionate about helping startups succeed. In fact, over 53% of the VC-backed startups we worked with have achieved a successful exit—versus 25% for the overall market. Learn more about how we help VC-backed business succeed, or contact us.