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So let's start with some general thoughts and ideas.

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So big misconception that people have is that they think start-ups are just smaller versions of large companies and this is not true.

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Their main difference is between Start-ups and large companies, and this is what makes the Start-Up Environment unique.

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So Start-ups search for business models or as Steve Blythe put it, a Start-Up is an temporary organisation designed to search for a business model.

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So while start-ups. Search.

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Large companies execute. They execute on an established business plan and usually five year financial forecast.

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They have an established range of products.

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They have an established customer base and they have established revenue.

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And that makes them very different from a Start-Up from the Start-Up World.

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While start-ups search for for a business model, how can we help them?

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What can they use that would be useful for their six?

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Well, let's let's go back a little bit, take a back, take a step backwards.

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So it used to be that people think in order to launch a business, you needed to write a long business plan, then fit your ideas to investors,

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put a team together, develop a product or a service, and then introduce that product or service to the market and start selling.

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Well, somewhere along all those steps. Most start-ups suffer fatal setbacks.

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And they were wondering why. Why things didn't work quite as well as they were expecting them to work.

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Well, Harvard Research, it's Harvard Business School research shows that 75% of all start-ups fail.

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And that's a big a big percentage. While other sources report even higher percentages.

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But why? What can you, as a founder do that will mitigate the risk, the risk of failing with your start-up?

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Well, to begin with, we'll go back to the top.

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So for Start-ups, writing a business plan is a research exercise that happens in isolation.

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So usually the founder or founders sit in a room and write a business plan.

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Most of the times, without even building a product or without even talking to a real customer.

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And this is fundamentally wrong. This is where the problems begin.

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So the process of starting a company in the last decades has changed dramatically.

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So instead of Start-ups, instead of writing a business plan and working in isolation based on the new way they have to experiment,

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instead of relying in your intuition as a founder, you need to go out there and talk to real customers and get customer feedback.

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And instead of putting all your resources, your time, your energy,

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sometimes your money into developing a product with every possible feature you can imagine,

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what you need to be doing is actually developing the simplest version of the product you can

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develop and then add features as you go and as you learn from your customers and this process.

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This new way of doing things is May is making the process of starting a company less risky.

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And this is all about the Lean Start-Up. This is what it was developed for to help you mitigate the risk of failing in your business.

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So you're out here, you probably have an idea of your own. You're very excited and you're wondering what's next?

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What do you do with a cider and how can you make.

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How can you work towards not a failure, but a success for your idea?

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Well, I bet it feels kind of like this.

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Like you're sitting at the edge of a cliff, and in order to get your start-up to be a success, you need to take a leap of faith a while.

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You don't even know. How deep is that gap? Well, it looks a bit daunting, doesn't it?

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So what do you do if you do make it to the other side?

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You can be the next success story. You can be the next Facebook.

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And that's exciting, isn't it? But how can you ensure that you can make it all the way there?

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Do you just jump and hoping that you'll make it to the other side?

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Or do you wish you had something like that, some stepping stones along the way?

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That looks a little bit easier to me. So how do you take your idea and you go from this to this?

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How do you build the stepping stones along the way?

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So this is what the lean methodologies about. The goal is for you to develop the skills you need and get the information that you

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need that will help you make informed decisions and get you a step closer to success.

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So you can think about it like this. It's like driving at night in the fog.

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You can only see as far as your headlights, but you can still make it the whole way.

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And the process for each Start-Up will be different.

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So your path might look like this. All might look like this.

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There's no right or wrong process, and it will be different for every every Start-Up.

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So starting from the beginning, you have to be you have to think about your start up as a pile of assumptions.

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You start here with your idea. You don't know if it's going to work, if there is a market for your product.

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So the first thing you have to do is bounce.

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It's bounce. Your idea is volunteer idea from the market.

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And the faster you will do that, the quicker you're going to progress.

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And that's the tricky part. What is progress and how do you know that you move your idea forward?

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So progress is learning from the customers. It's not building stuff and planning it in isolation.

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You might be building a perfect product with every single feature you can imagine.

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And then you realise that nobody wants to buy it.

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That's not good. So what is the number one thing that you need in order to have a business?

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Just about anybody. Customer. Customers, exactly.

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If you don't have customers, you don't have a business.

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So that's the most important part. But how do you get your customers?

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So you started with your idea and everything is uncertain.

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And because you can't plan and there's uncertainty, you need to find a way to acquire that data.

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You need to find a way to search. If your idea is going anywhere.

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So the methodology is all about that. So the idea is to build the simplest version of your product to launch fast and iterate.

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And what does that mean? That means that you build a product and then you launch it and get real customer feedback and you learn from that.

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From this feedback, what works for your costs for your customers?

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What doesn't work? What else they would like to see?

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And as you learn through this, you go back to your product and you modify it or you add features or you reshape it, and then you launch it again.

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And you go through this cycle as many times as you need to until you have a customer base and you have people that would like to buy your product,

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and then you have a business. So as Reid Hoffman said, if you're not embarrassed by the first version of your product, then you launch too late.

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So there are many tools and methods that you can use that will help you go through this cycle and guide you through this process.

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And the business model canvas is one of them. The business model canvas is a framework that can help you summarise your hypothesis,

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and then you need to test this hypothesis through customer development.

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You need to understand what your customers need, what they want.

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And as a Start-Up, you're agile. You need to use that.

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You need to launch fast and change direction fast.

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So learn from the customer feedback and go back and rebuild, modify, improve your product and get to the market fast.