As Startup Weekend begins, definition of 'startup' varies

Written By:

Kristy Totten

A startup isn’t a startup when it starts.

At least that’s one line of thinking.

Dylan Bathurst, one of three co-founders of Rumgr, a free iPhone app that helps people sell their stuff, says for a company to be considered a startup, rapid growth has to be built into its business model.

“It’s a company that’s built to grow quickly and to a very large scale,” he said. “Whereas a small business would be like a pizza shop, which is definitely ‘starting up’ something, but it’s not really considered a startup.”

Rumgr won a Startup Weekend competition in 2011 and consequently received funding from Tony Hsieh’s Vegas Tech Fund. This year, Startup Weekend began Friday in Las Vegas at the InNEVation Center and concludes Sunday with an awards presentation.

Although the company has expanded to serve Los Angeles, Bathurst says he considers Rumgr a small business with startup aspirations.

He plans to add a payment system to Rumgr this year to give it an advantage over competition.

Bathurst will know Rumgr has arrived not when it reaches a certain number of users or hires a certain number of employees, but when he and his partners have figured out “an engine for growth” — a model that attracts new business at a consistent rate.

Source:

Las Vegas Review-Journal