Context: I tried to build a startup based on “simulated field usage and testing”. The need is real: in product development with field testing, simulation can be far cheaper than running systems in the field.
What I learned:
- Paperwork is real
Starting, running, and closing a company means lawyers, auditors, and filings.
They’re friendly—but they get paid whether you sink or swim. Budget for their services. As a limited company, expect at least annual director responsibilities and audits.
- Be clear: product or service
Product = you sell a thing. Service = you sell time/knowledge. I tried “product with customization.” It muddied the message and confused customers.
- The EU favors products
Services don’t scale easily; policy and incentives often lean toward product companies.
- GDPR is not optional
If your site has logins, you’re under GDPR. Competitors may report you. Compliance and cybersecurity are real costs and responsibilities—almost a separate business function.
- Anything near defense has its own gravity
Different rules, long procurement cycles, and relationship-driven. The system favors big, slow incumbents. Connections matter.
- Distribution beats almost everything
If you crack marketing and sales, you can rent development and still build a product.
- TAM isn’t what you think
Your “imagined” market and your “accessible” market are different. Validate the reachable slice.
- Technical excellence ≠ traction
Without sales and marketing, craftsmanship doesn’t move the needle.
!!! Important takeaways:
- Nail the product messaging. Clear > clever.
- Make the value obvious to people who aren’t already problem-aware. “This is how we do things” inertia is your real competitor.
If you’re working on something similar (simulation, field testing, regulated markets), I’d be happy to compare notes.