What is a startup?

A startup is defined as a newly established business that is in the early stages of development. This definition highlights the primary characteristics of a startup: it is typically in the initial phase of its operations, often functioning with limited resources and seeking to find a market fit for its products or services. Startups often focus on innovation and may aim to disrupt existing markets or create entirely new ones, which is considered a key aspect of their development.

The emphasis on being newly established is essential, as startups differentiate themselves from well-established companies, which have a long history and stable operational frameworks. This distinction helps define what makes a startup unique, as they are usually characterized by high uncertainties and the potential for rapid growth depending on their business model and execution.