There are four factors that seem to be key to the success of startup business and one that doesn’t reports the Harvard Business Review.
A survey of six hundred investments over the past decade by First Round Capital found the best predictors for success were that at least one of the founding team was a woman, one had been to an elite university, some had worked at a top tech firm and the average age of the team was under 42.
Interestingly First Round’s successful investments weren’t dependent upon the businesses being based in the Bay Area or New York.
Those factors may have something to do with the focus of First Capital’s investment managers but the results are food for thought.