Precise advice and rapid times: what startup consultancy companies are and how they work

In Italy, according to the latest government data, they are more than 14 thousand innovative realities registered in the register of companies and investments in startups amount to over 2 billion and 300 million euros. An apparently positive picture, if it weren’t for the data on the failure rate of a startup within the first 4 years: 95%.

To look for a remedy to this problem, next to the pur rich ecosystem of incubators and acceleratorsstart-up consultancy companies are starting to make their way in Italy too: “We are not in opposition, at best we represent an evolution – explained Daniele Schimizzi, co-founder of Marsh Yellow – We are more streamlined than an incubator and we intervene on specific issues. We mainly operate in a precise market gap: when a startup leaves an incubation program, in order to accelerate it must sell, otherwise what accelerates? We try to support them in this delicate step”.

Chatwin, a company that operates between Milan and San Francisco, intends to support the most promising companies with a high rate of B2B technological innovation, supporting them in the expansion phase: “We mainly work with startups that have already collected an A round or are close to reaching it, with a validated business model – he told us the co-founder, Enrico Quaroni – We help them plan an effective go-to-market strategy and expand their business into new markets, with a view to opening up to a global scenario. They are often the investment funds who support a startup to recommend us to the financed company, to increase the chances of success”.

In short, not necessarily instead of an incubator or an accelerator, but in flankingperhaps to address a certain problem or to speed up market access. The advantage for the startup is getting support on a specific issue, paying for the service and without any obligations. Chatwin’s strong point is the support in business development, “a rare commodity in the technological field – Quaroni pointed out – There is no shortage of ideas, even capital can be found, the critical element is often represented by the scalability of the business”. Also thanks to the experience accumulated in Silicon Valley, together with the current partner, Richard Frankel, one of Chatwin’s strengths is the support for international expansion of startups. Activity that develops in two strands: on the one hand the support to Italian companies that want to open up to other markets, on the other the support of American companies entering the European market for the first time.

More focused on the Italian market, Marsh Yellow follows the Lean Startup approach, which focuses on reducing time and costs, in order to test the sustainability of the business: “We often come to companies that have come out of the normal incubation paths. The common problem we come across is that often all the capital has already been invested before even arriving at the product – Schimizzi explained to us – We try to test the idea quickly and if it works, then we’re off. We have a very hands-on approach.” There are two paths proposed, depending on the stage in which the startup is: the two-month CProgram represents the entry level, to start from the idea and lay the foundations for developing the project; the MProgram promises to bring the project to obtain the first economic results within 4 months. The keystone of Marsh Yellow’s action is the team: “One of the first points we submit to those who turn to us is to find a co-founder. And then we also provide support in the training phase of the working group”.

Teamwork, or rather “co-creation”, is also at the basis of the Startup Checklist action, a relatively new, fresh and decidedly unconventional reality: “We do not offer services like a consultancy company – wanted to specify one of the co-founders, Iacopo Livia – Rather we deal with putting those in need in contact with professionals able to provide the necessary support”. On the site there is a to-do-list to accompany startuppers from “I want to launch my project” to Product Market Fit, which indicates the extent to which a product is able to satisfy the need of a given market: “The idea was born to respond to my need, that of finding a standard path for validating a project. I got help from friends, from experts, collecting contributions, somewhat with a Wikipedia approach”. In addition to the checklist, the idea is to create a community, with which to discuss and where to find support. There are currently about 600 members, minus the active ones, but they represent a point of reference for those in need of advice and support, because “doing startup is also an emotional issue”.

The service for startups is free: “We are a non-profit, to support us we are also open to donations we are working on a partner program, to have a percentage recognized on the online tools we recommend – Livia told us – Furthermore, we are starting to match with accelerators: there are many and we help startups choose the most suitable one based on the sector or type of services they offer. At the moment we are in talks with two or three, to create partnerships. What we try to give startups is a validation process in the shortest possible timeat the lowest possible cost and with the greatest possible support. We try to be the glue of the system”.

The data

In April 58.27 million invested in Italian startups: Energy Dome alone collects 40

by Alessio Nisi

April 30, 2023

The high failure rate of startups is linked not only to a fragile business model, but also to the underestimation of legal and administrative issues. This explains why many law firms offer specific consultancy services for startups. An interesting case is that of RP Legal & Tax which, in addition to providing advice on the legal-administrative aspects connected to the establishment, offers assistance in various stages of the startup process. And he brings his experience to the service of aspiring startuppers, participating in some of the meetings of the Startup for Beginners cycle, organized in Turin by OGR Tech. On June 15th, the firm’s lawyers will provide an overview on the subject of fundraising and the use of the Term sheet, aimed at the investment contract.

Element common to the various proposals of the startup consulting firm is to provide punctual and targeted advice, operating in a more streamlined way than incubators and accelerators and with rapid deadlines. The goal is to speed up the product validation process, giving substance to the maxim of Keith Richards, British Agile consultant: “If you are going to fail, fail fast”. That is: “If you end up failing, fail quickly”.