# Book review: Startup Scaleup Screwup
- URL: https://www.petrikajander.com/startup-scaleup-screwup/
- Author: Petri Kajander
- Date: 2019-09-01
- Language: en
- Audio: https://anchor.fm/s/1018a6478/podcast/play/98857272/https%3A%2F%2Fd3ctxlq1ktw2nl.cloudfront.net%2Fstaging%2F2025-1-22%2F395326700-22050-1-cd857f0840262f61.mp3
- Video: https://www.youtube.com/watch?v=r1oxdNBORkA

Startups are fast learning laboratories
where too many variables are at work in any given moment. The failure rate is
high but success will be more favourable for those that use some systematic
methods and processes along the way.

Serial entrepreneur [Jurgen Appelo](https://twitter.com/jurgenappelo) has put together a practical guide that gives you the latest tools and practical knowledge for a high growth venture. The book is packed with agile and lean community techniques and best practices.

You can build your business from an idea onwards
by following the ten stages of growth. These stages are independent for each
business model so in a larger company there can be more than just one business
lifecycle simultaneously in different stages of maturity.

*Initiation stage* is the
stating point where you have an idea that you develop further.

In *Expedition stage* you start to validate
the hypothesis and formulate the business into an entity with bootstrap
funding. Customer discovery and minimum viable product methods become relevant
here in order to confirm a possible problem/solution fit.

*Formation stage* makes things
official and it’s the time for a full time commitment for founders and initial
team. Shareholder agreements, compensations and other growth structures become
apparent. Vision/founder fit has been found and your team is ready to commit
for the long journey.

*Validation stage* is the
beginning for the product/market fit validation that usually takes minimum of
three years. It’s the make it or break it for the next stages. Business model
assumptions need to be validated and everything is geared towards proper
traction.

*Stabilation stage* comes
after the product/market fit issue has been somewhat solved. Scale too early
and you may fail due to lack of traction. Scale too late and you may miss the
market. Business/market fit becomes the focus and it’s more about the various
business relationships around the product itself. Here the idea is fix things
that did not scale before.

*Acceleration stage* defines
your venture as a scaleup after the startup phase. Customer creation becomes
the theme and it’s time to execute since things are working now after
experimentation. Focus is on revenue and market share growth and trying to
outsmart copycats and other competitors. As the organisation increases its size
the complexity require more attention and different methods of management.

*Crystallisation stage*
makes running the business more a “biz as usual” routine and it’s a sign of
lifecycle maturity. This can take the form of an IPO or M&A trade sale for
the founders.

*Expansion stage* is about
trying to make most of the opportunity left and keeping the business model fresh
with new initiatives and renewals.

*Conservation stage* is the cash
cow moment where the end of the line is at sight.

*Finish stage* ends the
business model and decisions need to be made about its existence.

The book is beefed up with interviews from
various startup ecosystem players around the Northern Europe. These insights
give a fresh and authentic touch for the multitude of ways to build and experience
the startup growth.

*[Startup, Scaleup, Screwup](https://startup-scaleup-screwup.com/)* is the best startup handbook I have seen for a long time.

## Transcript (https://www.youtube.com/watch?v=r1oxdNBORkA, YouTube's automatic captions)

[0:04] Up startups are fast learning Laboratories where too many variables are at work in any given moment the failure rate is hbd Success will be more favorable for those that use some systematic methods and processes along the way serial entrepreneur yuren appello has put together a practical guide that gives you the latest tools and practi practical knowledge for a high growth Venture the book is packed with agile and lean Community techniques and best practices you can build your business from an idea onwards by following the 10 stages of growth these stages are independent for each business model so in a larger company there can be more than just one business life cycle simultaneously in different stages of maturity in initiation stage is the stating point where you have an idea that you develop further in Expedition.

[1:07] Stage you start to validate the hypothesis and formulate the business into an entity with bootstrap funding customer Discovery and minimum viable product methods become relevant here in order to confirm a possible problem/solution fit formation stage makes things official and it's the time for a full-time commitment for Founders and initial team shareholder agreements compensations and other growth structures become apparent Vision slf founder fit has been found and your team is ready to commit for a long journey validation stage is there beginning for the product/market fit validation that usually takes minimum of 3 years it's the Make It or Break It for the next stages business model assumptions need to be validated and everything is geared.

[2:12] Towards proper traction stabil stage comes after the product/market fit issue has been somewhat solved scale too early and you may fail due to lack of traction scale too late and you may miss the market business/ market fit becomes the focus and it's more about the various business relationships around the product itself here the idea is fix things that did not scale before acceleration stage defines your Venture is a scale up after the startup phase customer creation becomes the theme and it's time to execute since things are working now experimentation focuses on revenue and market share growth and trying to outsmart copycats and other competitors as the organization.

[3:16] Increases its size the complexity require more attention and different methods of management crystallization stage makes running the business more bus's usual routine and it's a sign off life cycle maturity this can take the form of an IPO or M and a trade sale for the founders expansion stage is about trying to make most of the opportunity left and keeping the business model fresh with new initiatives and renewals conservation stage is the cash cow moment where the end of the line is at sight finish stage ends the business model and decisions need to be made about its existence the book is beefed up with interviews from various startup ecosystem players around the northern Europe these insights give a fresh and authentic.

[4:19] Touch for the multitude of ways to build experience the startup growth startup scale up screw up is the best startup handbook I have seen for a long time.