Published on February 26th, 2019 | by Jose Vasquez0
Could You Become a Startup Tech Company Billionaire?
It’s a tempting dream, but can you really become a startup tech company billionaire?
There are dozens of examples of entrepreneurs who became billionaires after finding massive success with a startup, or selling theirs to a bigger tech company. It’s tempting to think about the possibilities if you have a strong idea for an app or tech company of your own, but is it realistic to think you could become a billionaire after the experience?
The Success Rate of Startups
First, let’s consider the fact that the majority of startups will fail. The “80 percent of startups fail in the first year” figure is overblown, but the reality doesn’t leave much room for optimism, either; over half of businesses fail within the first 5 years.
Knowing that, you’ll have to be better than average, above the statistical fold, just to avoid business failure.
Becoming a Millionaire
Let’s assume you have a strong startup tech idea. Is it possible to become a millionaire from that idea?
While certainly far from a guarantee, becoming a millionaire is a distinct possibility. If you remain onboard as CEO for a period of many years, it’s not unreasonable to think you could start making a six-figure salary. From there, if you plan your budget frugally and invest your extra money, it may only take a decade or two to grow a million dollars of wealth. If your business is reasonably successful, with prospects for continued growth, you could sell your startup outright for millions of dollars.
The Gap Between “Millionaire” and “Billionaire”
The gap between “millionaire” and “billionaire” is bigger than you probably think, however. You’d have to become a millionaire a thousand times over to reach billionaire status. For that, you’d need to have a truly original, exceptionally profitable idea—or else find success with multiple startups, over and over again.
So is it possible to become a startup tech company billionaire? The short answer is yes, but it’s more likely you’ll win the lottery than becoming a billionaire from your very first startup idea. Instead, set your sights more conservatively, and if becoming a billionaire is truly your goal, start making long-term plans.
If you need help getting your startup idea off the ground, contact me today!