Common mistakes when starting your own Software Development Company – Part I
This week I want to go through some of the most common mistakes that aspiring entrepreneurs make when putting together their own software development Company. No doubt, having your own startup is the hot new thing these days so many skilled developers and tech savvy individuals aim for it.
However, after some time most of them find out that owning a startup is not as easy as it seems. Sure, it’s all business meetings and expensive suits on paper but in the real world, things are quite different and even in the software development industry where everything seems calculated and accounted for, the unexpected can still rear its ugly head. If you are one of these entrepreneurs or if you know someone planning to start a software development company, here are some of the things that you should avoid.
I put this one first on the list because unfortunately, cutting costs is the first thing that comes to mind when choosing employees, software, the infrastructure, basically everything. Knowing when and how to save money is essential for starting your company but so is knowing when to fork up cash.
My advice to you is to not be cheap about anything related to your infrastructure and to your company’s content management system. If these two are not dependable you will only end up having to hire new people and buying new equipment. This will not only cost you more money but it will also cost you more time.
Hiring the wrong developers for the job
If you want to get your company going fast, hiring the right developers is crucial. However, this can be very tricky. Most people tend to think that experience is everything that matters when it comes to hiring the right man for the job. Well, it’s not.
Sure, experience matters a lot because you don’t want to hire someone that doesn’t know how to create a quality end product. Still, besides experience, you have to make sure that the people you hire have a true passion for what they do. If they don’t, they will give their best for a limited amount of time, if any. Beyond this, you can expect what I call, “the 3 Ds of the unsatisfied employee”. These are delays, demands and demotivation.
Not adapting to customer needs
Thinking that you know exactly what your customers want is another thing that has led to many failed projects. As soon as you start to think this, take a step back and reflect because you have a serious problem.
Each individual is different and just because you think that things should be done in a certain way or that people should use a certain technology, this doesn’t make you right. This leads us back to my first point: don’t be cheap and hire someone that can do some relevant market research. Settings clear goals and knowing your target precisely is one of the first steps when starting your own software development business.
This is it for the first part. Check back next week for more misconceptions about IT startups. As always, feel free to leave any comments and suggestions below or on our Twitter or Facebook pages.