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The earliest stage of a new business venture.

Start-Up Company

A company in its earliest stage of development, usually before its IPO. Start-up companies concentrate on product development and build-up of capitalization. Nearly all start-up companies operate at a loss, at least at first. Some start-ups go through a period where they have no revenue at all. Start-ups spend their time perfecting their business plans and developing products that will eventually be sold on the open market. Most start-ups rely on venture capital or loans to continue operations during this phase. See also: Payout period, Dot-com bubble.


While any new company could be considered a start-up, the description is usually applied to aggressive young companies that are actively courting private financing from venture capitalists, including wealthy individuals and private equity partnerships. In many cases, the start-ups plan to use the cash infusion to prepare for an initial public offering (IPO).

References in periodicals archive ?
The 6,500-square-foot facility can hold up to 100 start-ups in the first phase and the fee ranges from Dh1,500 to Dh3,000 a month.
The partnership benefits are available to start-ups supported by hub:raum, Orange Fab, Telefonica Open Future and Singtel Innov8, as well as all members of Innov8 Sparks - a network of start-up support and funding initiatives across Southeast Asia, founded by members of the Singtel Group.
audience of potential investors, clients and partners which tech start-ups can
The FSB sees targeting start-ups, younger businesses, and those wishing to export for the first time, as a priority.
Based in Cork and San Francisco, it invests in technology start-ups globally.
The faster this happens, the shorter it takes for start-ups to benefit from sustainable and profitable growth.
Many edtech start-ups fail to gain traction for one key reason - they don't ask teachers what they think.
Speaking at an event to mark in5's first anniversary, Majed Al Suwaidi, Managing Director of Dubai Internet City and Dubai Outsource Zone said, "Since its inception, in5 has grown to become a thriving and dynamic community, home to some of the region's leading start-ups and talent.
Now, in its third year Start-up Internship and Placement Program has witnessed two successful years of collaboration with top start-ups across the nation.
The fact that women's positive impact on start-ups can be measured with statistical significance was a surprise," said Maryam Haque, a senior research analyst at Dow Jones VentureSource and a co-author of the report, which looked at 15 years of venture-backed company data.
Digital organisation Codeworks has announced it is looking for a select group of five start-ups to pitch their ideas to a panel, with the chance to secure some useful exposure to possible partners and financiers.
The North West is the third best region, behind London and the South East, for start-ups, with an estimated 46,135 during 2011.