90% Of Startups Fail: Here's What You Need To Know About The 10%

As an entrepreneur, I know about failure. I’ve
made mistakes, pretty stupid ones. At the
same time, though, I’ve been fortunate enough
to succeed a few times, too.

Along the way, I’ve been able to understand
some of the lesser-known reasons that some
startups fail, and more importantly why a few
succeed.
How many startups fail?
Nine out of ten startups will fail. This is a hard
and bleak truth, but one that you’d do well to
meditate on. Entrepreneurs may even want to
write their failure post-mortem before they
launch their business.
Why? Because very optimistic entrepreneur
needs a dose of reality now and then. Cold
statistics like these are not intended to
discourage entrepreneurs, but to encourage
them to work smarter and harder.
What are the characteristics of startups that
succeed?
There are plenty of characteristics of
successful startups. My goal isn’t to list them
all for you, but rather to point out some of the
most significant causes of success.
1. The product is perfect for the market.
Fortune reported the “top reason” that
startups fail : “They make products no one
wants.” A careful survey of failed startups
determined that 42% of them identified the
“lack of a market need for their product” as
the single biggest reason for their failure.