When Kevin Kim dropped out of faculty at 21 to turn into an entrepreneur, it appeared like an enormous gamble.
“My mum cried a bit,” Kim, now 33, mentioned with amusing.
However his confidence was not unfounded. Kim had simply bought his first firm — which he began when he was simply 18 — for “six figures.”
That was no small feat, provided that his beginning capital was simply $2,000, which Kim mentioned he saved up from doing part-time jobs.
His e-commerce firm imported streetwear from South Korea and bought it throughout North America, he advised CNBC Make It.
Attaining product-market match is absolutely onerous, it takes years. It’s worthwhile to ask your self … Do I actually like this trade? Can I see myself construct round this for 10 years?
Kevin Kim
Co-founder and CEO, Stadium Stay
“After I bought my first firm, it was simple to determine,” mentioned Kim, who emigrated from South Korea to Canada when he was 11.
“There was no imaginative and prescient or alignment … I used to be a civil engineering undergrad however I needed to create providers and merchandise for various audiences.”
Kim then spent virtually 10 years constructing digital merchandise for different startups and corporations, earlier than venturing out on his personal in 2020 with Stadium Stay — a metaverse app for sports activities followers.
The app permits customers to customise their very own avatars, purchase digital collectibles, hang around with different followers in digital rooms, participate in interactive sports activities livestreams or play mini video games.
The startup has raised $13 million up to now, together with a Collection A funding led by NBA star Kevin Durant’s 35 Ventures, World Cup champion Blaise Matuidi’s Origins Fund and Dapper Labs Ventures.
CNBC Make It finds out Kim’s three suggestions for working a profitable firm.
1. Founder-market match
It’s normal for entrepreneurs to attribute the success of their startups to discovering a superb product-market match.
However for Kim, what he calls “founder-market match” is much more vital. It means a founder is absolutely captivated with what he is constructing.
“Attaining product-market match is absolutely onerous, it takes years. It’s worthwhile to ask your self, do I actually like what I am doing? Do I actually like this trade? Can I see myself construct round this for 10 years?”
They’re in a position to enter it and generate profits, however they burned out sooner than different founders who’ve founder-market match.
Kevin Kim
Co-founder and CEO, Stadium Stay
Kim mentioned he knew he all the time needed to construct merchandise across the 4 areas that talk to him — sports activities, gaming, music and style.
“I do know founders who, for instance, [launched] a SAS startup with accounting, however they weren’t even into accounting,” Kim mentioned.
“They’re in a position to enter it and generate profits, however they burned out sooner than different founders who’ve founder-market match.”
2. Closing a niche
However, product-market match remains to be essential to a enterprise’ success, mentioned Kim.
“With out product-market match, you would not be capable to survive as a enterprise as a consequence of there being no actual demand or provide between your product and the viewers.”
Assembly the wants of customers has enabled the success of his firms. In truth, Kim began his first e-commerce enterprise as a result of he needed to search out garments that match his “model and sizing.”
“I may by no means try this with manufacturers within the U.S. and Canada on the time,” he mentioned.
“It actually began as a private pastime and want … I shortly noticed that different individuals had the identical want.”
Stadium Stay is a metaverse app that enables sports activities followers to customise their very own avatars, purchase digital collectibles or play mini video games.
Stadium Stay
That additionally utilized to Stadium Stay — Kim seen that the sports activities trade was centered on constructing merchandise for a restricted demographic of “millennial or older followers.”
“I may see they had been all specializing in one-dimensional content material and constructing in direction of betting. This was an fascinating alternative for me to check out the following era of followers and assume ‘who’s constructing for these followers?'” he advised CNBC Make It.
“They did not have cash but, they consumed sports activities in a very totally different manner, they needed to work together with others inside a group and so they needed one thing new.”
Kim’s thought appears to have paid off — Stadium Stay amassed over 750,000 customers who “spend over an hour a day on the platform,” mentioned the corporate.
Stadium Stay can be valued at around $32 million, Kim advised CNBC Make It.
3. Do not overlook firm tradition
In line with Kim, setting a robust imaginative and prescient and set of values in your crew is “completely important.”
“Why ought to gifted individuals be a part of your organization and develop with you? This query can’t be answered by simply the product that you’re constructing, but in addition the corporate and tradition you are constructing,” he added.
The significance of firm tradition can’t be underestimated, Kim confused, if one desires to construct an “iconic long-term firm.”
I noticed this primary hand after I was a fifth worker and noticed the corporate develop to 50. The tradition morphs itself each time an organization doubles in dimension.
Kevin Kim
Co-founder and CEO, Stadium Stay