This post was originally published in technext.it See the post here: A Complete Guide to the Ideal Tech Startup Team Structure
A startup is only as strong as its team. Finding the right team structure for your tech startup is essential to its success. While there is no one-size-fits-all formula, founders must follow some basic principles. In this guide, we will outline the key things you need to focus on and tips for assembling the perfect team. Let’s get started!
Key Takeaways
- From the idea to IPO, A startup journey involves several stages, and the team should constantly evolve along with your startup evolution.
- In the early stages of your startup, having top management like CEO, CTO, CMO, etc., is enough. When you enter into the growth phase, you need to build your entire team.
- You can build in-house, offshore, or hybrid teams based on your need and resources.
- No matter what type of team you build, there are some essential elements of a clear organizational structure. You need to make sure your startup has those elements.
- Last but not least, there are some common mistakes founders make. You must avoid those mistakes to set up an ideal team and succeed.
You know about Netflix, right? From the beginning of Netflix, it spread like wildfire, although there was a bigger fish in the pond, Blockbuster. It’s not like their start was trouble-free, but they overcame their shortcomings; but how? There were several reasons, but one of the significant reasons was their innovative management practice.
I won’t waste your time explaining Netflix’s management practice or organizational structure. Nor I’m saying that Netflix’s model would work for your company.
What I want to say is figuring out the perfect organizational structure at the beginning is crucial for your company’s success. But you need to emphasize a few significant aspects from the very beginning to figure out the perfect structure for you. Let’s start with the basic organizational structure at a different stage.
Evaluation of startup team structure
The fundamental team structure constantly evaluates, corresponding to your startup evaluation. Your startup team structure contains; each department with experts having roles and responsibilities associated with the relevant startup stage.
Stage 1: Pre-seed phase
This phase is considered the early stage of your startup. In this stage, having only the startup management team is enough, and you need the 4 most essential people.
CEO: Chief executive officer
Your chief executive officer (CEO) is the highest-ranking executive in the startup. He/she is the dreamer and creator of your startup’s vision, culture, and overall direction.
CTO: Chief technology officer
Your tech startup’s chief technology officer (CTO) is equally important as the CEO. He/she is responsible for the technical strategy, building the technology, and the tech team.
CMO: Chief marketing officer
Your Chief Marketing Officer (CMO) ensures your company’s mission and vision are being accurately conveyed to the public. He/she manages the marketing side of your startup.
CSO: Chief sales officer
Your chief sales officer (CSO) will be the person who closes deals and oversees the sales function. Whenever it’s time to hustle for new business, your CSO is ready to act.
These people can help you go through from your startup’s early days to the next stage where your startup starts growing.
Stage 2: The seed phase
In this stage, now that your startup has started growing, you need more people on your team. It’s time you onboard your chief financial officer (CFO), business development manager, and customer service representative. These people will be responsible for tasks and outcomes.
Chief financial officer (CFO)
Your CFO is going to all aspects of financial matters and your organization’s decision-making, including financial reporting, accounting, tax, etc.
Business development manager
Your business development manager informs others about your startup’s products and services. Also, he acts as the point of contact for new and existing clients.
