The culture of transparency and shared ownership are the important traits of any successful start-up as they bring the elements of technology and business together to create an innovative enterprise which is long lasting, according venture capitalists.
At the panel discussion on the topic “Invest in something people love” at Tech in Asia Bengaluru conference here on Wednesday, Sequoia Capital India managing director Mohit Bhatnagar said, “Culture is hard to define as it is less about words and more about action.” He felt that the shared ownership of the goal among the employees in any start-up will make it successful.
The panel discussion was about how venture capitalists invest in promising founders and assist them in making impactful companies. Willson Cuaca, managing director, East Ventures felt that the element of culture starts from the founders where transparency is the key for a successful start-up.
On the question of how successful start-ups will be able to stay on course of high growth path, Bhatnagar felt that these companies sometimes get defocused from their core product after a couple of years with certain complacency setting in. According to him, the founders during this time need to take a call on hiring the right candidate to get their core product buzzing again.
However, on hiring the right kind of engineering talent becomes a challenge for many of the start-ups as the prospective candidate need to be enthusiastic about the products they are working.
The two venture capitalists felt that products of successful start-ups are largely focused on solving a bigger problem with deep customer engagement and are strong on efficiency metric.
On the question of layoffs in the start-up companies, Bhatnagar felt that it is tough choice for these entrepreneurs but if handled correctly it could provide certain long term benefits with the prospect of employees rejoining the organisation.