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What is startup company?

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What is startup company?

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Basically, a start-up company is a new company… one that is usually just a few people, working out of someone’s house, in order to see if an idea (for a business) succeeds and is worth continuing.

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A startup company is a business with a limited operating history. While slow-growth businesses may be startups, investors are most attracted to those new companies distinguished by their risk/reward profile and scalability. That is, they have lower costs, higher risk, and higher potential return on investment. Successful startups are typically more scalable than an established business, in the sense that they can potentially grow rapidly with limited investment of capital, labor or land.

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