University of Cincinnati
11/18/2025 | Press release | Distributed by Public on 11/18/2025 15:26
What is a startup company
What is a startup company?
Discover how early-stage ventures take off
By Stephen Kenney Email StephenEmail Stephen
7 minute read November 18, 2025 Share on facebook Share on Twitter Share on LinkedIn Share on Reddit Print StoryLike
A startup is more than just an early-stage business; it's an idea in motion, a nascent venture striving to solve a real-world problem.
But turning a concept into a thriving company requires more than ambition; it takes investment, mentorship and space to experiment.
The University of Cincinnati's 1819 Innovation Hub provides precisely that. From guidance by entrepreneurs in residence at the Venture Lab business accelerator to affordable prototyping in the Ground Floor Makerspace, there are plenty of opportunities for startup ventures to thrive at UC.
So, what exactly is a startup?
A startup is a company that's still in its early stages of launching. Pioneers taking a leap of faith. These young companies, often less than five years old, aim to introduce fresh, untested ideas to the market. With innovation comes uncertainty, and that means startups carry serious financial and market risks. But for founders willing to take the gamble, a startup represents something bigger: the chance to disrupt industries, redefine markets and turn vision into reality.
Startup founders working together. Photo/Adobe Stock
Successful startups are built for rapid growth and that momentum often attracts outside investors eager to get in early. As these ventures mature into established companies, their explosive pace typically slows, giving way to greater financial and operational stability.
While tech startups tend to grab the headlines, innovation isn't limited to Silicon Valley. Startup companies span all industries, including healthcare, manufacturing, education and retail. What defines them isn't just age, but ambition: a relentless focus on innovation, speed and scaling new ideas into real impact.
How to launch a startup company
Launching a startup isn't for the faint of heart. It requires vision, grit and a willingness to take risks. To succeed, founders need more than a great idea. They need an innovative solution to a real-world problem and perseverance to bring it to life.
Adaptability is also important for startup founders, since no journey goes exactly as planned. As a founder you'll need to know how to pivot, learn and evolve while launching and scaling your business.
Due to the challenges that come with launching a startup, it's important that you have mentors and supporters behind you. That's why the UC Venture Lab, based at the 1819 Innovation Hub, exists. Not only does the startup accelerator offer the largest amount of nondilutive funding in Cincinnati, it also connects founders with talented entrepreneurs in residence.
As you launch your startup company, here are a few critical steps to take:
Craft an innovative idea right arrow down arrow
For your small business to succeed, you'll need to come up with a forward-thinking solution to a real-world problem. In other words, your product should effectively and affordably fill a gap that exists in the current market.
Draft a realistic business plan right arrow down arrow
Launching your startup without a business plan is equivalent to starting a company blind. You'll need an executive summary for your business, an analysis of the market and your competitors, a marketing and brand awareness strategy, plans for manufacturing and selling your products, and knowledge of how much money you'll need to raise and ways you'll find funding.
Develop your prototype right arrow down arrow
Turn your concept into a prototype, an early-stage model to reveal whether your initial idea is possible and reasonable. Creating a minimum viable product, a version of your product with just enough features for a trial run among early adopters, would be your next step beyond a prototype.
Search for funding right arrow down arrow
When you're running a business, money talks. It takes significant capital to get a company up and running, so consider your ability - and likelihood - to raise money for your startup through self-funding, family and friends, angel investors, government grants and loans or other sources.
Take care of legal needs right arrow down arrow
Set up your business structure when registering with the government. There are four main types: sole proprietorships, partnerships, limited liability corporations (LLCs) and corporations. Each comes with its own pros and cons regarding what's taxable, who's liable if issues arise and who runs day-to-day operations.
For more details on how to launch a startup successfully, consider tips from the U.S. Small Business Administration or fill out the extensive guide developed by the Ohio Small Business Development Center. You may also gain insights by considering the seven startup challenges your company could face - and our best tips to solve them.
Where to find startup resources
Building a startup company can be one of the most rewarding experiences of your life, but it's also one of the toughest. According to a 2024 report from the U.S. Bureau of Labor Statistics, nearly half of startups fail within their first five years of operations. That's why finding the right support, mentorship and resources early on can make all the difference between a bold idea and a lasting business.
The University of Cincinnati launched the 1819 Innovation Hub to make sure that entrepreneurs end up in the win column. Here are a few ways it prepares startups for success:
1819 is Cincinnati's home for entrepreneurship. Photo/Gregory Glevicky
- The Venture Lab business accelerator provides in-house startup mentorship, connects founders with battle-tested entrepreneurs in residence and helps first-timers navigate the startup investment scene.
- The 1819 Ground Floor Makerspace offers affordable access to Cincinnati's largest makerspace, a 12,000-square-foot facility ideal for prototyping groundbreaking concepts.
- UC faculty, researchers and staff turn to the school's Technology Transfer office for patenting help and pitching their innovative technologies to local and global businesses.
- Students from across the university head to 1819 for potential employment opportunities from startups - a given considering UC's ranking as the fourth-best school in the nation for co-ops and internships.
- With corporate partners such as Procter & Gamble, Fifth Third Bank and Microsoft calling 1819 home, it's very possible that startup founders connect with top business leaders.
Launching a startup isn't risk-free or straightforward, but with support from 1819 and other innovation hubs, your ideas have room to grow and thrive. At the University of Cincinnati, where students are 3.3 times more likely than the national average to produce a billion-dollar unicorn startup, the stage is set for early-stage founders to turn bold ideas into real success. Start here and craft your innovation story.
Featured image at top: Startup employees in an office. Photo/WavebreakMediaMicro via Adobe Stock
Become a Bearcat
Have aspirations to become an entrepreneur one day? Whether you're a first-generation student or from a family of Bearcats, UC is proud to support you at every step along your journey. We want to make sure you succeed - and feel right at home. Apply today.
Tags
- Innovation
- Startup Tips
- 1819 Innovation Hub
- Innovation Agenda
- Cincinnati Innovation District
- Entrepreneurship
- Next Lives Here
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University of Cincinnati published this content on November 18, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on November 18, 2025 at 21:26 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]