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Guide To Using The Lean Canvas Approach For Your Startup

The Startup Magazine

Creating a startup from scratch can be a daunting endeavor. In order to determine your course of action and overall business strategy (financial, marketing etc.), it’s wise to create and implement some kind of business plan with a lean canvas approach as your guide.

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Is the Lean Startup Dead?

Steve Blank

A version of this article first appeared in the Harvard Business Review. Reading the NY Times article “ Jeffrey Katzenberg Raises $1 Billion for Short-Form Video Venture, ” I realized it was time for a new startup heuristic: the amount of customer discovery and product-market fit you need to find is inversely proportional to the amount and availability of risk capital. It’s the antithesis of the Lean Startup. Most startups born in the bubble died in the bubble.

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Who Dares Wins – The 2nd Annual International Business Model Competition

Steve Blank

Alexander Osterwalder and I spent last week in Salt Lake City, Utah as judges at the 2 nd Annual International Business Model Competition , hosted by Professor Nathan Furr , and his team at the BYU Center for Entrepreneurship. The idea of a Business Model competition first emerged when I realized that Business Plan writing ought to be taught in English Departments – as they’re the best example of creative writing entrepreneurs will ever do.

The Mission Model Canvas – An Adapted Business Model Canvas for Mission-Driven Organizations

Steve Blank

As we prepared for the new Hacking for Defense class at Stanford, we had to stop and ask ourselves: How do we use the Business Model Canvas if the primary goal is not to earn money, but to fulfill a mission? In other words, how can we adapt the Business Model Canvas when the metrics of success for an organization is not revenue? Alexander Osterwalder and I think we have the answer – the new Mission Model Canvas.

Machine Learning Meets the Lean Startup

Steve Blank

We just finished our Lean LaunchPad class at UC Berkeley’s engineering school where many of the teams embedded machine learning technology into their products. —– I’ve lived through several technology infrastructure waves; the Unix business, the first AI and VR waves in the 1980’s, the workstation wave, multimedia wave, the first internet wave. Machine Learning Meets Lean – Berkeley Lean LaunchPad Class. Filed under: Lean LaunchPad , Teaching.

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Machine Learning Meets the Lean Startup

Steve Blank

We just finished our Lean LaunchPad class at UC Berkeley’s engineering school where many of the teams embedded machine learning technology into their products. —– I’ve lived through several technology infrastructure waves; the Unix business, the first AI and VR waves in the 1980’s, the workstation wave, multimedia wave, the first internet wave. Machine Learning Meets Lean – Berkeley Lean LaunchPad Class. Filed under: Lean LaunchPad , Teaching.

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How To Build a Web Startup – Lean LaunchPad Edition

Steve Blank

As part of our Lean LaunchPad classes at Stanford, Berkeley, Columbia and for the National Science Foundation, students build a startup in 8 weeks using Business Model Design + Customer Development. ” And the most important question is, “How do I use the business model canvas and Customer Development to test whether this is a real business?” How To Build a Web Startup – The Lean LaunchPad Edition.

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How Startups Can Keep Product Development Lean

YoungUpstarts

The lean start-up movement has been based on a single insight – which the purpose of a start-up is to discover a business model that works. In this article we explore the unique challenges of a lean start-up and how Outsourced Product Development (OPD) can be used to overcome them. The Lean Start-Up Environment. Start-ups are very different from established businesses. The objective of a start-up is to discover a business model that works.

The LeanLaunch Pad at Stanford – Class 7: Revenue Model

Steve Blank

The Stanford Lean LaunchPad class was an experiment in a new model of teaching startup entrepreneurship. Teams are iterating and pivoting right and left, one team threw their entire business model out the window and did a complete restart, and another team was having a meltdown over personalities. This week they were testing their hypotheses about Revenue Models: what are customers really willing to pay for?

The Lean LaunchPad Goes to Middle School

Steve Blank

While the Lean LaunchPad class has been adopted by Universities and the National Science Foundation , the question we get is, “Can students in K-12 handle an experiential entrepreneurship class?” Natasha Chornesky, who ran a publishing business, is the Director of Entrepreneurial Studies. They both attended our latest Lean LaunchPad Educators Class. I learned that people are in a hurry and busy and they may not care. Lean LaunchPad Teaching

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Top 10 Ways Entrepreneurs Pivot a Lean Startup

Startup Professionals Musings

This reality has fostered a popular new startup approach which dramatically improves the efficiency and speed of these corrections, pioneered by Silicon Valley entrepreneur and author Eric Ries. His new book on this subject, “ The Lean Startup ,” lays out how today's entrepreneurs use continuous innovation to create radically successful businesses. Business architecture pivot. This refers to the monetization or revenue model.

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How to Stop Playing “Target Market Roulette”: A new addition to the Lean toolset

Steve Blank

Modern entrepreneurship began at the turn of this century with the observation that startups aren’t smaller versions of large companies – large companies at their core execute known business models, while startups search for scalable business models. However, they don’t help you figure out where to start the search for your new business. Prioritize market opportunities smartly to set the boundaries for your lean experimentations.

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Lean Startup Implementation Lessons

Startup Lessons Learned

Guest post by Lisa Regan, writer for The Lean Startup Conference. The Lean Startup Conference was founded four years ago to bring together real entrepreneurs who have applied Lean Startup techniques and have useful advice to share with each other. None of these, she says, provides information about how well your company is delivering on your business model, nor about the true lifecycle of a customer. These show success at your core business.

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Lean LaunchPad for Life Sciences – Distribution Channels

Steve Blank

We’re teaching a Lean LaunchPad class for Life Sciences and Health Care (therapeutics, diagnostics, devices and digital health) at UCSF with a team of veteran venture capitalists. It turns out that for commercialization, the business model (Customers, Channel, Revenue Model, etc.) A lean rollout for a startup would be 4-5 sales people plus 2-3 clinical applications specialists at a cost of ~$2.5 Lean LaunchPad Life Sciences Teaching

The Lean LaunchPad – Teaching Entrepreneurship as a Management Science

Steve Blank

I’ve introduced a new class at Stanford to teach engineers, scientists and other professionals how startups really get built. Business schools teach aspiring executives a variety of courses around the execution of known business models, (accounting, organizational behavior, managerial skills, marketing, operations, etc.). In contrast, startups search for a business model. (Or In a startup none of these are known.

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Revenue Development

K9 Ventures

In fact, at the time (1996-1997) we offered both a downloadable product, that our customers could install on their own servers, and a “hosted-offering”, which came to be known as “On-Demand”, then the “ASP” (Application Service Provider) model, and today we call it “SaaS” (Software as a Service). In the end the revenue simply wasn’t enough to make a sustainable business and so we had to switch gears once more (in today’s parlance that would be a “Pivot”).

The Big Bang. The Lean LaunchPad explodes at University of Maryland

Steve Blank

The University of Maryland is now integrating the Lean LaunchPad ® into standard innovation and entrepreneurship courses across all 12 colleges within the University. Over 44 classes have embedded the business model canvas and/or Customer Discovery including a year-long course taken by every single one of its bioengineering majors. Truth be told, we took a page out of Frank Rimalovski’s playbook at NYU and paid for Yang Tao to attend the Lean LaunchPad Educators Program.

Lean Analytics

Startup Lessons Learned

Lean Analytics is the latest addition to the Lean Series. Normal depends on what kind of business you're in, and what stage of that business you're at. Start with metrics in mind To help with this, the book looks at dozens of metrics—such as churn, customer lifetime value, viral coefficient, acquisition cost, uptime, and engagement—and suggests where that metric should be before you can move on to the next stage of your business.

Why Companies are Not Startups

Steve Blank

In the last few years we’ve recognized that a startup is not a smaller version of a large company. We’re now learning that companies are not larger versions of startups. These groups are adapting or adopting the practices of startups and accelerators – disruption and innovation rather than direct competition, customer development versus more product features, agility and speed versus lowest cost. It needs the tools and processes pioneered in Lean Startups.

Why Build, Measure, Learn – isn’t just throwing things against the wall to see if they work

Steve Blank

I am always surprised when critics complain that the Lean Startup’s Build, Measure, Learn approach is nothing more than “throwing incomplete products out of the building to see if they work.”. It’s time to update Build, Measure, Learn to what we now know is the best way to build Lean startups. Only after shipping and attempting to sell the product would a startup hear any substantive feedback from customers. The same is true in a Lean Startup.

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Startup Pivot Stories #1: How TokBox Changed Its Business Model

VC Cafe

After reading lots of posts on ‘ lean startups ‘, listening to Eric Reis in Seedcamp and devouring Steve Blank’s “Four Steps to the Epiphany&# , I wanted to see real examples of companies that went through a pivot process. By definition, a Pivot, is a change in the company’s strategy or business model when things aren’t exactly working out according to the business plan.

Lean Goes Better with Coke – the Future of Corporate Innovation

Steve Blank

In 2012 I got together with Alexander Osterwalder , Henry Chesbrough and Andre Marquis to think about the Lean and the future of corporate innovation. What CEOs, management teams and shareholders care about is growth —revenue growth, greater user adoption, increased market share, bigger margins, etc. For most big, established companies like us, our business models were developed years—even decades ago. in developing these new models.

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The Lean LaunchPad Goes to Middle School

Steve Blank

While the Lean LaunchPad class has been adopted by Universities and the National Science Foundation , the question we get is, “Can students in K-12 handle an experiential entrepreneurship class?” Natasha Chornesky, who ran a publishing business, is the Director of Entrepreneurial Studies. They both attended our latest Lean LaunchPad Educators Class. I learned that people are in a hurry and busy and they may not care. Lean LaunchPad Teaching

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Beyond the Lemonade Stand: How to Teach High School Students Lean Startups

Steve Blank

While the Lean LaunchPad class has been adopted by Universities and the National Science Foundation, the question we get is, “Can students in K-12 handle an experiential entrepreneurship class?” We realized that past K-12 Entrepreneurial classes taught students “the lemonade stand” version of how to start a company: 1) come up with an idea, 2) execute the idea, 3) do the accounting (revenue, costs, etc.).

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A New Way to Teach Entrepreneurship – The Lean LaunchPad at Stanford: Class 1

Steve Blank

In January, we introduced a new graduate course at Stanford called the " target="_blank">Lean LaunchPad. It was designed to bring together many of the new approaches to building a successful startup – customer development, agile development, business model generation and pivots. We were positing that 20 years of teaching “how to write a business plan” might be obsolete. Get Out of the Building and test the Business Model.

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6 ways to monetize a user-based business model

The Next Web

How do you monetize a unique business model based on users rather than selling an actual product? When our users do business with each other, we take a fee as facilitator. We have a very simple business model. Diversifying revenue streams at Wave. Wave is monetizing in a few different ways, but our core value proposition has always been based on a 100 percent free accounting application for small businesses with an offer-based revenue model.

The bible of business model generation

Sophia Perl of Wisdom

Every once in awhile we chat about startup topics. As a thank you to me for giving her awesome advice, she sent me a surprise book in the mail, &# Business Model Generation&# by Alexander Osterwalder and Yes Pigneur. This book is like a bible for evaluating or coming up with a business model. If you do a quick google search on “business model generation canvas&# , you will find many websites citing this very book. Business

Enhancing SaaS Business Growth via Incremental Improvements

The Startup Magazine

Every business is always on the lookout for ways to increase performance and drive business growth. In most cases, entrepreneurs hope to grow revenue by substantial margins so as to achieve this. One of the most effective strategies to SaaS business growth is through incremental improvements. SaaS business models differ from all others in that they get revenues over an extended period of time. Take a look at how the model works: Main Stages.

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How to Choose the Right Business Model for Your Start-up

Duct Tape Marketing

Lots of people talk about business models these days, but what does it really mean? When it comes to starting or planning for business success your model is essentially your decision about how you intend to add value – which is another way of saying – how you intend to make money. Business is a pretty simple thing really, but I think people planning to start one or even those engaged in running one can over think it. The Lean Startup – Eric Ries.

How Kevin O’Connor, and FindTheBest Got Lean

Steve Blank

When we started E.piphany there was an equally scrappy startup called DoubleClick (later acquired by Google for $3.1 It’s been fun watching a 20th Century entrepreneur learn new tricks as he builds his next startup, FindTheBest using Lean Methodology. He came down a few weeks ago to visit our company, FindTheBest , where we chatted about his lean start-up concept and held a Q&A for the FindTheBest team and others in the Santa Barbara tech community.

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How Lean Startup Principles Shaped My Business

Up and Running

The phrase “lean startup” comes up a lot in conversations about entrepreneurship. I’ve been to several panel discussions on the topic, had it taught to me in a business school classroom, and read a book dedicated to lean startup methodology. Despite all of this tutelage, I often wondered if the theories were just a gimmick—until it came time to build my own business. In lean startup speak, this was called a minimum viable product, or MVP.

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Lessons Learned: The lean startup

Startup Lessons Learned

Lessons Learned by Eric Ries Monday, September 8, 2008 The lean startup Ive been thinking for some time about a term that could encapsulate trends that are changing the startup landscape. After some trial and error, Ive settled on the Lean Startup. I like the term because of two connotations: Lean in the sense of low-burn. Of course, many startups are capital efficient and generally frugal. The lean startup is an application of Lean Thinking.

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Lean LaunchPad for Life Sciences – Value Proposition and Customers

Steve Blank

We’re deep into teaching a Lean LaunchPad class for Life Sciences and Health Care (therapeutics, diagnostics, devices and digital health) at UCSF with a team of veteran venture capitalists. The instructor then presents a cohort specific lecture explaining how the business model for their area (therapeutics, diagnostics, devices and digital health) builds on and/or differs from the canonical business model in the online Udacity lectures (which the students had to watch as homework.).

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How Investors Think About Valuation of Pre-Revenue Startups

SoCal CTO

There's a lot out there around Customer Development - read Steve Blank : Entrepreneurship as a Science – The Business Model/Customer Development Stack - Steve Blank , October 25, 2010 Checklists for Chaos, The Path to Success - Steve Blank , October 28, 2010 and reading about Lean, MVPs, etc. Think about how you can prove your business model with an MVP. He just post: Establishing the Pre-money Valuation of Pre-revenue Startups.

Lean Business: Pivot Point

crowdSPRING Blog

They refocused the business and the new version of the app to focus exclusively on photos. This is a great example of a startup pivot. In his book, The Lean Startup: How Today’s Entrepreneurs Use Continuous Innovation to Create Radically Successful Businesses, Eric Riess defines the pivot as a “structured course correction designed to test a new fundamental hypothesis about the product, strategy, and engine of growth.”.

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Lean Business Planning with Tim Berry [VIDEO]

Up and Running

We recently had Tim Berry, Palo Alto Software founder and business planning expert, present our Bplans audience with his latest advice on lean business planning. He is the known guru in business planning, particularly for small businesses, startups and entrepreneurs, although he’s worked with Fortune 100 and Fortune 500 companies as well. Start your lean business plan today: Download our Free Lean Plan Template one-page-pitch-download.pdf.

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Fear of Failure and Lack of Speed In a Large Corporation

Steve Blank

And worse, even if someone does manage to start something new, our management structure has so many financial, legal and HR hurdles that every initiative needs to match our existing business financial metrics, processes and procedures. More agile competitors are starting to eat into our business. I pointed out to Bob the irony – in a large company “fear of failure” inhibits speed and risk taking while in a startup “fear of failure” drives speed and urgency.

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Is This Startup Ready For Investment?

Steve Blank

Since 2005 startup accelerators have provided cohorts of startups with mentoring, pitch practice and product focus. Corporations running internal incubators face many of the same selection issues as startup investors, plus they must grapple with the issues of integrating new ideas into existing P&L-driven functions or business units. What’s been missing for everyone is: a common language for investors to communicate objectives to startups.

Do Pivots Matter?

Steve Blank

Since the Pivot is one of the core concepts of the Lean Startup I was puzzled. A pivot is a fundamental insight of the Lean Startup. A pivot can change any of nine different things in your business model. A pivot may mean you changed your customer segment, your channel, revenue model/pricing, resources, activities, costs, partners, customer acquisition – lots of other things than just the product. Business Model.

Mastering Lean Metrics for Growth

Duct Tape Marketing

Mastering Lean Metrics for Growth written by John Jantsch read more at Duct Tape Marketing. This, as much as any other business dynamic, is what leads to chasing your tail from one idea to the next. My guest for this week’s episode of the Duct Tape Marketing Podcast is Ash Maurya, CEO & Founder of Lean Stack and author of the newly released book Scaling Lean: Mastering the Key Metrics for Startup Growth. Podcast Ash Maurya Lean Stack Scaling Lean

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10 Course Corrections Every Startup Should Memorize

Startup Professionals Musings

This reality has fostered a popular startup approach which dramatically improves the efficiency and speed of these corrections, pioneered by Silicon Valley entrepreneur and author Eric Ries. His popular book on this subject, “ The Lean Startup ,” lays out how today's entrepreneurs use continuous innovation to create radically successful businesses. Business architecture pivot. This refers to the monetization or revenue model.

What Do I Do Now? The Startup Lifecycle

Steve Blank

Over breakfast he got me up to date on his life since school (two non-CEO roles in startups,) but he wanted to talk about his third startup – the one he and two co-founders had started. “We’re We’re at 70 people, and we’ll do $40 million in revenue this year and should get to cash flow breakeven this quarter. ” ” I explained to Patrick that startups go through a series of steps before they become a large company. Most startups die here.

Why Big Companies Can’t Innovate

Steve Blank

My friend Ron Ashkenas interviewed me for his blog on the Harvard Business Review. Ron is a managing partner of Schaffer Consulting , and is currently serving as an Executive-in-Residence at the Haas School of Business at UC Berkeley. For what I had thought were a few simple ideas about taking what we’ve learned about startups and applying it to corporate innovation, the post has gotten an amazing reaction.