The word startup, like leadership and innovation, is often overused and still lacks a widely agreed-upon definition.
In my experience, many people don’t fully appreciate the difference between startups and established organizations, which often leads to confusion. I’ve experienced the difference firsthand—and continue to live it as I build my social venture—but even I couldn’t articulate it clearly back then. That changed when I read Eric Ries’s The Lean Startup in early 2012.
According to Ries, “a startup is a human institution designed to create new products and services under conditions of extreme uncertainty.” I also loved his articulation of a startup’s purpose: startups exist to learn how to build a sustainable business.
Around the time The Lean Startup was published, Ries’s five principles were the talk of the town. Words like pivot, which he popularized, even made their way into the social sector’s vocabulary. Unfortunately, it didn’t stick. Even today, many people—especially gatekeepers in the social sector — say they’re working with startups, when they actually mean established organizations.
One of the biggest challenges I’ve faced while building my venture is that I continue to operate using Ries’s definition of a startup—often at odds with how most of the sector functions. I’ve learned the hard way that if I’m using a particular framework, it’s my responsibility to explain it—rather than assume others already understand.