What we do: Startup Builders enables startups to rapidly and cost effectively go through MVP and scale up by providing all the skills necessary - Senior Executives and support teams - on demand.
Early stage startups are generally unable to afford a complete Senior Management team. Employees are a fixed expense, reducing the “financial flexibility” of employers. In addition, Senior Managers are rarely needed full time, at this stage of development. Moreover, the hiring process tends to be long and costly, firing is traumatic.
Startup Builders makes Personnel Expense “variable” while providing all the skills a startup requires but only to the extent that it requires them.
How we do it:
Each situation is unique but in general Startup Builders baselines a startup’s current situation and identifies major issues, for example:
Poor Product-Market fit.
High costs of customer acquisition.
Low customer retention.
High IT development costs.
Poor or spotty cash management.
Startup Builder then identifies skill gaps that may have driven above issues. Recommendations are then made for a target team structure - senior level and staff. Once the outsourced team in is place, an action plan is developed and execution begins. Since the outsourced team is highly experienced, it hits the ground running and begins to deliver results shortly thereafter.
Early-stage startups follow a "sequential" execution path:
Product Architecture & Development.
Structuring Organization for Growth.
Funding rounds fuel above execution path.
Startup Builders ensure that skills required by the startup are made available “on demand”. This reduces dramatically Personnel Expenses and accelerates Scaling up.
Fixed number of hours/month.
ONLINE CUSTOM FASHION DESIGN, MANUFACTURING & SALES.
Designer and manufacturer of fashion garments for women sold through e-commerce platform. Company developed a proprietary Artificial Intelligence -based technology to design “custom-fitted” ladies’ garments.
This venture building project is in its initial phases. To date, we have fulfilled the following roles and performed the following tasks:
CEO: Development of Company By-laws and Stock Plan, including Stock Options Plan.
CFO - development of 5-year Financial Plan (Profit and Loss Statement, Cash Flow Statement, Balance Sheet). Analysis of comparable Exits.
CPO - Product - Market Fit assessment.
VIDEO PLATFORM - OPTIMIZING CXO UTILIZATION.
A full Senior Management team is required to ensure all areas of the company are operating in unison. However, a complete "fixed" team drains considerable resources (either cash or equity).
Since task are sequential in early stage startup development, the appropriate CXO role must be emphasized when most needed. This can be accomplished by "multi-skilled" CXOs transitioning across roles, based on need OR "multiple CXOs" with different time commitments depending on the stage of development.
In this project CXO roles were emphasized, as follows:
CTO - during mobile app development phase.
CMO - upon app launch to acquire and retain customers.
COO - org. structuring and processes development for scaling up.
CFO - investor document preparation and fund raising strategy for follow-on round.
Above optimization is only possible through "fractional" or "contract" CXO services, such as the ones we offer.
When startup enter a growth stage, a complete "fixed" Senior Management team will likely be put in place.