When I was growing up, we didn’t have a computer. I am a part of the last generation that will ever say that.
I remember playing pretend, running around with a Nerf gun and a toy Lightsaber, dragons and dinosaurs chasing me as I fought my way through thousands of Orcs into the depths of Helms Deep. It was awesome.
Computers have really changed the way people interact. My nephew, now 13, has grown up in a world where the Internet has always been a thing, everyone is always connected, and sharing a photo of your birthday party because your Grandma nagged you again is as easy as posting to Facebook.
It is this world that has given rise to the Age of Tech Start-ups.
Every year, thousands of individuals start some sort of tech business. And every year, thousands fail. This industry stalks about millions and billions of dollars like it was a grocery store transaction, and it seems like everyone is trying-and failing-to get a piece of the pie.
This Pinterest page has a ton of awesome infographics about start-ups covering everything from Angel Investors to Virgin Airlines, if you want to get a little educated, but this infographic really shows why start-ups fail. It’s not for lack of funding. It seems like everyone is practically throwing money at tech start-ups, hoping they’re going to be the next Google.
But this isn’t how it works. BusinessInsider posted this article two years ago, and while the numbers aren’t current the spread is. It says that most start-ups get less than $500,000, only the outliers gaining funding in the millions. Even though most of the tech news sites run stories all the time about start-ups getting truck-loads of money, it really isn’t all that commonplace.
In fact, according to Walter Frick of Boston News site BostInno, only 200 start-ups per year really matter, and most of them aren’t in tech.
So why do people keep at it? Perhaps all that money has its allure, and the ease of entry into the industry is pretty nice, but honestly I’m not really sure. It seems like if you’re trying to be sure that you’re going to make money, tech really isn’t the place to go.