Established in 1999, NGA is South Africa’s first data consolidation and online real-time reporting method. Beginning as a tech start-up, NGA is now considered one of South Africa’s leading data science experts.
Globally recognized for his expertise in data science, Mark Germishuys offers practical insights into building a tech start-up.
Seven Tips for Tech Startups
- Understand Risks and Regulatory Requirements
Know the risks and regulations involved in setting up and running your company. Taking shortcuts early on can lead to major headaches later, especially during supplier contracting. Compliance expectations during onboarding are stricter now than ever before. - Protect Your Intellectual Property (IP)
Secure patents or trademarks for your ideas before making them public. For example, we patented online reporting in 1999 and even trademarked the term “Online Real-Time.” These actions have supported our business for over 20 years and instilled confidence in clients who value innovation and R&D investments. - Build a Business Network or Find a Mentor
Join a mentorship program or expand your business network early. Over-reliance on existing contacts can limit opportunities in unfamiliar markets. - Avoid Exclusivity Contracts Without Strategic Benefits
Only consider exclusivity agreements if the partner has a significant business network and prioritizes your product as a key offering. - Delay Hiring Permanent Staff
Wait until you have signed client contracts before hiring permanent employees. Initially, use contractors. We hired permanent staff too early and later found their skills didn’t align with the changing needs of our offerings, resulting in wasted resources. - Start with Flexible Workspaces
Use shared office spaces or coffee shops until you have a stable client base of 3–4 permanent contracts. We mistakenly invested in a full office setup—complete with reception and meeting rooms—before signing any clients, leading to unnecessary costs. - Budget for at Least a Year Without Income
Be prepared for a prolonged period without revenue. We secured our first client 1.5 years after starting, requiring us to sell assets and move in with family to save money