.When starting a business, make it easy for everyone to understand what you do. Keep everything simple and know how to explain your business in succinct and clear terms. Your stakeholders, including customers, potential investors, and partners need to grasp what your business does immediately. The last thing you want is for people to be left scratching their heads after you describe what your business is.
From the founder of TechCrunch, here’s why keeping it simple is very important:
“A company should be able to describe in simple terms what they do. Even if what they do is really technical and complicated. Why? First so employees and investors can get on board and help the company get where it wants to go. But it’s just as important that your potential customers know what you can do for them. And just because you offer a product to businesses or developers instead of everyday consumers doesn’t mean you don’t have to keep things simple.
We see startups all the time that we don’t understand. I used to think I was just in over my head. But over the years I’ve met CEOs who can explain the most complicated technology in relatively simple terms via analogies or use cases. Those that can’t aren’t doing their job.”
– By Michael Arrington, “What Is It You Do? The Need For Simplicity”