Entrepreneurship
90% of Startups Fail: Here’s What You Need to Know About the 10% That Make It!
The brutal truth? Most startups are doomed to fail. Only a small percentage manage to break through and find success. Why? Let’s dive into it.
It’s the million-dollar question for every entrepreneur: Why do startups fail?
As an entrepreneur, failure is part of the journey. You’ll make mistakes—some embarrassingly foolish, others more understandable. If you’re lucky, you’ll hit success a few times throughout your career. This is the game: a mix of failure, stumbling, regrets, and most importantly—learning.
Over time, the picture becomes clearer. Patterns of success and failure in the entrepreneurial world begin to emerge, helping you understand the common reasons why so many startups falter while a select few thrive.
Why Do Startups Fail?
Here’s a harsh fact: 9 out of 10 startups will fail. Yes, it’s hard to swallow, but it’s something every aspiring entrepreneur needs to face before launching their company. As much as you dream of success, you must also be prepared for the possibility of failure. This mindset—expecting the worst—can psychologically prepare you for the rough road ahead, while also pushing you to strive harder.
Is this pessimism? No, it’s realism. Every ambitious, overly optimistic entrepreneur needs a dose of reality from time to time. These statistics aren’t meant to discourage—they’re here to push you to work smarter, harder, and more strategically.
What Sets Successful Startups Apart?
There’s no one-size-fits-all formula for startup success, but certain traits tend to separate the winners from the losers. Here are four key characteristics of startups that make it—companies that manage to not just survive, but thrive:
1. Product-Market Fit
According to Fortune, the number one reason startups fail is simple: they make products no one wants. In a comprehensive survey of failed startups, 42% of founders admitted that the lack of market demand was their primary downfall.
If you’re going to invest time in building a product, you need to spend a significant portion of that time ensuring there’s a real market for it. Your product must serve a genuine need, with enough customers to ensure the necessary cash flow to keep your startup afloat and growing.
2. The Entrepreneur Who Ignores Nothing
After shutting down their startup, the CEO of Dijiwan reflected:
“A good product and a strong tech team aren’t enough for a sustainable business. You can’t ignore the core business processes and issues just because they’re not your job or your responsibility. That kind of ignorance will eventually destroy your future.”
What happened at Dijiwan? They had a great product and a talented team—so why did they fail?
A closer look revealed a simple truth: they ignored the essentials of running the business. The CEO thought leadership was his only job. The marketing manager focused solely on marketing. The lead developer? Just coding. In a large corporation, this kind of division of labor might work, but in a startup, roles overlap, and every detail matters.
Successful entrepreneurs know they need to work on their business, not just in it. Getting lost in meetings, calls, and emails can distract you from the crucial aspects of business growth.
3. Rapid Growth is Key
Who said rapid growth isn’t sustainable? What entrepreneur would even care about such statements from armchair theorists?
Rapid growth is the holy grail for entrepreneurs. It’s what investors want, what markets crave, and it’s the proof that your idea is solid, your execution is excellent, and your market is hungry. Early, rapid growth—while not guaranteed—sets you up for future success.
The founders of Wantful, a failed startup, confessed that they couldn’t secure the necessary funding because they didn’t grow fast enough. Their slow growth meant they weren’t eligible for additional capital, which ultimately led to their demise.
Growth leads to more growth. If your startup isn’t experiencing significant growth after several months, it probably won’t. The harsh reality? Startups that don’t grow fast enough are destined to shrink and die.
One of the most common reasons startups fail is running out of money. And why do they run out of money? Because they didn’t grow fast enough to secure additional funding, leaving them vulnerable to losing customers, employees, and eventually, their passion.
4. A Resilient, Diverse Team
Every successful startup has a strong team behind it. And the more diverse that team is, the better their chances of making it.
When we talk about diversity, we don’t just mean having a range of skills. In the startup world, diversity means flexibility in thinking. Successful teams can pivot their product, adapt their marketing strategies, and even overhaul their business model if needed. They might even decide to shut down and start over if it makes sense.
It’s all about overcoming challenges and bouncing back. Teams that thrive in tough times tend to have that unique blend of collaboration and resilience.
Startups with multiple co-founders tend to have a higher success rate than those with a solo founder. Why? Co-founders hold each other accountable, share the workload, and have a broader range of skills. Plus, with two minds working together, you’re less likely to fall into the traps that often ensnare lone founders.
In the End…
If your startup survives, congratulations—you’ve achieved something that 90% of startups don’t.
While there’s no denying that luck plays a role in the success stories of companies like Google and Facebook, there are clearer, more tangible reasons why many other startups succeed: They’ve found product-market fit, they don’t ignore the fundamentals, they grow fast, and they have a resilient team that knows how to fight—and when to pivot.
If you’ve got these four traits in place, you’re well on your way to building a successful startup.
Entrepreneurship
New Study Highlights Top 10 In-Demand Skills in Bahrain’s Labour Market
Employers prioritize bilingual communication, digital literacy, and leadership as Bahrain advances toward a diversified, knowledge-based economy
A new study conducted by Quality Code Consulting in collaboration with the Bahrain Society of the Private Training Institutes (BSPTI) has identified the top 10 skills most in demand across the Kingdom’s job market, providing fresh insight into what employers are looking for as the country pushes toward a knowledge-driven economy.
The research—based on input from 309 stakeholders, including employers, job seekers, educators, and recent graduates—reveals a strong emphasis on bilingual communication, teamwork, and digital adaptability.
Communication and Collaboration Take the Lead
At the top of the list is proficiency in communication, particularly fluency in both Arabic and English. These skills are seen as essential across nearly every sector in Bahrain’s economy, including services, banking, technology, and tourism.
Closely following are teamwork and collaboration abilities, which are increasingly essential in a landscape where cross-functional and multidisciplinary teams are becoming the norm. These skills are seen not just as functional but critical to boosting problem-solving, execution, and innovation.
Digital Fluency, Critical Thinking, and Customer-Centricity
The study also underscores the growing need for digital literacy—defined as the ability to efficiently use digital platforms and IT tools—as well as the importance of adaptability and flexibility in a fast-evolving, tech-driven marketplace.
Also ranking high were:
- Problem solving and critical thinking
- Customer relationship management
Both are viewed as foundational in service-oriented industries, which remain a key part of Bahrain’s economic makeup.
Innovation, Leadership, and the Entrepreneurial Mindset
Employers across sectors also placed a premium on leadership and initiative, especially in roles focused on transformation, change management, and innovation. Creativity and emotional intelligence were cited as equally important, particularly in high-pressure, customer-facing roles where interpersonal awareness is vital.
Rounding out the list is the entrepreneurial mindset—the ability to identify, pursue, and implement new opportunities. This skill is increasingly seen as critical for driving economic diversification, a cornerstone of Bahrain’s Vision 2030 goals.
Empowering Bahrain’s Workforce for the Future
“This study represents a critical milestone in understanding the real-world needs of Bahrain’s employers,” said Nawaf Al-Jishi, Chairman of BSPTI. “By aligning training programs with these core skills, we can enhance the employability of Bahraini talent and contribute meaningfully to the Kingdom’s economic transformation.”
Dr. Chris Coates, Senior Researcher at Quality Code Consulting, added that the study tracked recovery trends across 17 key sectors, including trade, finance, tourism, and logistics. Participating organisations ranged from industry leaders to high-growth ventures.
“There is a clear synergy between these skills,” said Dr. Coates. “For example, effective communication enhances collaboration and reinforces leadership capabilities. Bahrain’s future workforce will be built on professionals who master both technical and human-centric competencies.”
Entrepreneurship
The ‘Fatal Mistake’ That Kills Startups Before They Start, According to Stanford Professor and Serial Founder
Steve Blank, who co-founded four tech startups and teaches entrepreneurship at Stanford, reveals the critical error founders keep making — and how to avoid it.
When it comes to launching a startup, Steve Blank has seen it all. As a seasoned entrepreneur, having co-founded four tech companies and written multiple books on entrepreneurship, Blank’s insights carry the weight of hard-earned experience. Today, as an adjunct professor at Stanford University, he shares a warning for every aspiring founder: most startups are doomed before they even begin, thanks to a simple but devastating mistake.
That mistake? Building a product before understanding the customer.
“I’ve seen this a million times,” Blank says, reflecting on his decades in Silicon Valley. Founders get captivated by their own ideas, pouring time and resources into building solutions that no one has asked for. They become so enamored with their vision that they forget the most fundamental question: Who is my customer, and what do they actually want?
The Dangerous Trap of ‘Build First, Sell Later’
Too often, Steve Blank explains, entrepreneurs come up with a business idea, race to develop a product, and only then start thinking about how to sell it. This backward approach is what Blank calls the “fatal mistake.”
“It’s not: ‘Here’s what I’m building. Can I sell it to someone?’” he emphasizes. Instead, successful founders start by deeply understanding their target customers. “The most important [question] is: ‘Who are my customers?’ And the second is: ‘What do they want?’”
Blank’s philosophy is backed by other successful entrepreneurs. Alberto Perlman, co-founder and CEO of Zumba Fitness, echoes this sentiment: “You have to always be listening, and listening between the lines, to your customer.”
Investor and Shark Tank star Robert Herjavec agrees, noting that failure to understand customer needs can spell disaster: “It’s natural to get attached to your product or service, but success hinges on seeing its value through the customer’s eyes.”
Lessons From Personal Failure
Steve Blank speaks from personal experience. In the early 1990s, he co-founded Rocket Science Games, raising an impressive $35 million and earning a feature in Wired magazine. On paper, the company looked like the next big thing. Talented engineers? Check. Polished game trailers? Check. Buzzworthy marketing? Check.
But there was a problem: the customers didn’t care.
“The games sucked,” Blank admits. They failed to resonate with gamers, and sales never took off. The company folded in 1997 in one of Silicon Valley’s most high-profile startup failures.
“The biggest killer for me, and the biggest failure, was hubris,” he reflects. “Don’t believe your own bulls—. It’s really easy to get convinced about your passion and your vision.”
Had he sought early customer feedback, Blank believes Rocket Science Games could have either pivoted or avoided the failure altogether. It’s a lesson that has shaped his teaching ever since.
Get Out of the Building
Blank champions a practice he calls “getting out of the building.”
This means stepping away from your desk, abandoning spreadsheets, and having real conversations with potential customers. Listen not only to what they say, but also to what they don’t say. Explore their frustrations, needs, and desires. Observe how they currently solve the problem you’re trying to address.
“The best insights come from direct, unfiltered customer feedback,” Blank insists. He teaches students and startup founders alike to embrace this proactive approach, using it to validate their assumptions long before they invest heavily in building a product.
Avoiding the Hubris Trap
Perhaps the most dangerous pitfall for founders is falling in love with their idea at the expense of reality. Blank calls this the “hubris trap.” Passion is important, but unchecked enthusiasm can blind even the smartest entrepreneurs to warning signs.
“Success comes from humility and curiosity,” Blank explains. “Assume you know nothing, and let your customers teach you.”
He points to the lean startup methodology as a way to mitigate this risk: start small, test assumptions, iterate based on feedback, and only scale once product-market fit is clearly established.
Building With Customers, Not For Them
Ultimately, Blank’s advice is simple but profound: don’t build in isolation. Involve your customers in the process from day one. Let them help shape your product, and your chances of success will skyrocket.
“It’s not about building the perfect product in a vacuum,” he says. “It’s about building the right product with your customers.”
For aspiring founders, this mindset shift could make the difference between startup success and failure. Take it from someone who has seen both sides of the journey—and who now dedicates his career to helping others avoid the same pitfalls.
Entrepreneurship
GoDaddy Study: 63% of Egyptian Women Entrepreneurs Are the Primary Breadwinners for Their Families
GoDaddy’s 2025 Global Entrepreneurship Survey highlights the growing role of Egyptian women in business and their adoption of AI to streamline operations.
A recent study by GoDaddy, the 2025 Global Entrepreneurship Survey, has revealed that 63% of Egyptian women entrepreneurs serve as the primary financial providers for their families. The report underscores how these women are embracing technology and artificial intelligence (AI) to enhance business efficiency and unlock new opportunities in the post-pandemic economic landscape.
Women’s Growing Role in Egypt’s Entrepreneurship Scene
The study found that 53% of small businesses surveyed in Egypt are owned by women, with 27% of them launched in the past five years. This reflects the resilience and adaptability of female entrepreneurs, particularly in navigating the economic challenges that followed the COVID-19 pandemic.
AI Adoption Driving Business Growth
Egyptian women entrepreneurs are not only managing businesses but are also leading in AI adoption to scale operations. The survey found that:
- 93% of respondents expressed confidence in their business skills.
- 96% believe AI will enable their small businesses to compete with larger firms in the coming year.
- AI tools save them an average of 19 hours per week, equivalent to two full workdays.
Entrepreneurs are leveraging this saved time for:
- Learning new skills (51%)
- Analyzing business performance (50%)
- Managing day-to-day operations (48%)
Financial Independence and Business Confidence
The study highlights that women-led businesses are contributing significantly to the local economy, not just by generating income but also by creating jobs. 62% of female entrepreneurs in Egypt feel optimistic about their business prospects, while 74% believe their ventures will expand within the next three to five years.
Women entrepreneurs also reported high satisfaction levels with their ventures, particularly in:
- Introducing new products or filling market gaps (48%)
- Developing management skills (40%)
- Creating job opportunities for others (40%)
The Role of AI in Women-Led Businesses
AI-powered solutions such as GoDaddy Airo® have played a key role in helping entrepreneurs simplify complex business tasks. This tool enables small business owners to:
- Build websites and logos effortlessly
- Develop digital marketing strategies
- Enhance online visibility through AI-driven SEO optimization
Selina Bieber, Vice President of International Markets at GoDaddy, commented:
“AI-driven tools like GoDaddy Airo® empower women entrepreneurs by saving them time, allowing them to focus on business growth, personal development, or family responsibilities. The success of Egyptian women in business is inspiring a new generation of female entrepreneurs.”
The survey also revealed that 93% of women entrepreneurs believe their businesses have improved their quality of life, providing a sense of fulfillment and empowerment.
GoDaddy’s Commitment to Women Entrepreneurs
GoDaddy continues to support millions of entrepreneurs globally by offering business-building tools, including AI-powered solutions for digital branding, e-commerce, and customer engagement. The company’s 24/7 expert support ensures small business owners have the guidance they need to succeed.
About the 2025 GoDaddy Global Entrepreneurship Survey
Conducted by Advantis Research in January 2025, the GoDaddy Global Entrepreneurship Survey examined small business owners across 12 countries, including Egypt, Saudi Arabia, the UAE, India, Germany, and Brazil. The study surveyed 3,504 business owners, with 500 respondents from the MENA region, all operating businesses with 1-49 employees.
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