Building a Startup: Avoid These Mistakes | Tips from Nithin Kamath & ZERODHA | FinshotsTV

Name: Building a Startup: Avoid These Mistakes | Tips from Nithin Kamath & ZERODHA | FinshotsTV
Uploaded: 2023-07-16 18:34:51
Description: Aspiring entrepreneurs should carefully consider their financial obligations and the scalability of their business before seeking large sums of money from venture capital investors, and should focus on building a valuable product, prioritizing customer value, and achieving sustainable growth.

This article is a summary of a YouTube video "What NOT TO DO while building a startup | How we got Nithin Kamath & ZERODHA to fund us | FinshotsTV" by Finshots TV

TLDR Aspiring entrepreneurs should carefully consider their financial obligations and the scalability of their business before seeking large sums of money from venture capital investors, and should focus on building a valuable product, prioritizing customer value, and achieving sustainable growth.

Key insights

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Raising money from Zerodha helped the startup, Finshots, and sharing the experience can provide valuable insights for aspiring entrepreneurs.
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Consider starting a startup at a younger age (around 21 or 20) when there are fewer obligations or after building up some savings to make it easier to sustain the initial grind before raising funds.
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The founders of Inception initially planned to build a stock broking platform similar to Zerodha, highlighting the importance of identifying a profitable niche in the market.
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Most Venture Capital investors are looking for businesses that can scale quickly with content, making it difficult for startups without that potential to secure funding.
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The inclusion of our name, finception, at the end of the video caught the interest of ZERODHA, showcasing the importance of branding and visibility in attracting potential investors.
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VC firms can offer more than just money, such as valuable support and reach, which can be priceless for a startup's growth.
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Taking investor money would have meant compromising on quality and potentially losing the goodwill they had gained, so they chose to grow sustainably without external funding.
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"You don't need to know about insurance. We'll train you from scratch and you can work with us remotely."

Timestamped Summary

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00:00
Building a startup and raising money from Zerodha can be helpful for aspiring entrepreneurs, as demonstrated by the speaker's personal experience.
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00:51
Starting a startup right after graduating from b-school may not be a well-thought-out strategy due to financial obligations, and it is advisable to start at a younger age or after building up savings.
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02:22
Starting a content platform with the goal of building a stock broking platform, the speaker emphasizes the challenges of funding, the drawbacks of the content industry, and the importance of building a large audience.
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03:57
Most venture capital investors want startups that can scale quickly, and while the speaker's startup faced challenges, they succeeded by trying new things, creating high-quality content, and eventually building a small profitable business.
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05:46
The founders of finception got funding from ZERODHA after creating a viral video and sharing the same values of building a content platform patiently.
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07:31
If you're starting a business, ask yourself if it can scale quickly and if the market is big enough to justify your valuation; if not, it's better to build your company without raising large sums of money, and consider the additional support that VCs can offer beyond money.
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08:09
Zerodha funded the startup because they saw potential in their ability to build valuable products, prioritize customer value, and achieve sustainable growth.
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10:06
Hiring advisors for an insurance advisory platform, no prior knowledge required, remote work available; video offers advice for building a business or startup, with the opportunity to ask questions in the comments.