Cinderella stories in the startup world are few and far between. Most startup founders are more familiar with the grudgingly hard start and an uncertain future. In fact, I would venture to say most would choose to skip going through the startup beginnings altogether.

Startup studios, also known as venture studios, were created with the mission to lighten the burdens startup founders face. The startup studio business model speeds up growth time, helping entrepreneurs to succeed sooner than the average business. 

What is a Startup Studio?

A startup studio is an organization that employs experts and has access to various resources and infrastructure to help startups develop and validate disruptive startup ideas. Startup studios are essentially a co-founder, only that this co-founder has extensive resources and expertise to build a company from scratch and grow it into a profitable business. 

The Benefits of Startup Studios

Startup studios provide founders with many benefits, the top benefits include: 

  • Risk Reduction: The extensive expertise and diverse skill sets startup studio teams provide founders significantly boost the chances of success compared to typical startups.
  • Functions as a Co-founder: Startup studios deeply understand the businesses and industries they work with, and they help from ideation to product building, market launch, and sustenance.
  • Cost Savings: Startup studios provide a full-fledged staff with the skills the business needs to function and succeed. While the budget to hire this staff is often out of reach for many solo founders, startup studios employ the top talent in the market.
  • Mentorship: The typical startup studio has a diverse team of successful business minds from various industries. The startup studio business model provides direct involvement and a hands-on approach throughout the entire growth process to help businesses succeed.

With 90% of startups barely making it through a year, startup studios are seen as a much-needed saving grace, especially during the difficult acceleration phase.

How to Determine Which Startup Studio is the Correct Fit for You

While all startup studios provide advantages, there are differences that set each startup studio apart and can determine whether it’s a good choice for your business. Consider the following before selecting a startup studio: 

Locality and Industry Relevance

Startup studios should have extensive and profound experience in the industry founders need to start a business. Founders should check out the startup studio’s portfolio to fully understand the industries they’ve had the most success. 

Look for a startup studio with an optimal location. That means choosing a startup studio close to your business and where access is fast and easy or one that frequently works with remote teams. 

Working Culture

With a startup studio, founders are accessing the help they can’t find on their own –including having an active guide to see businesses through the tough start and providing help that sustains growth.

Startup studio leaders serve as co-founders and their team directly impacts the startup’s company culture. As a founder, it’s important to align your company culture with the startup studios to ensure they have similar leadership styles, working cultures, and expectations. Startup studios are evolving the approach of starting a business and better the chances of startups succeeding by offering a multitude of resources including mitigating risks, providing access to funding, and mentors. Want to learn more about the startup studio business model? Visit Startup Studio Insider to learn more and contact us with any questions you have!

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