Approaching the Global Startups Scene

For many startups that have found their stride in their current location of operations, the logical next step for growth is to become a global startup and expand worldwide. Global startups have certain competitive advantages over their local competitors: accessing more markets worldwide encourages strong growth, more opportunities to learn about cultures all over the world, and access to stronger funding opportunities abroad.

Recently, Lyrid has established a presence in Nairobi, Kenya- marking our third location of operation! Visiting Nairobi to kick off Lyrid Savannah was a great experience, I was able to meet some of our partners and prospects, learn more about the culture, try amazing food and see breathtaking views. My time in Nairobi was like no other, with the future of our Nairobi branch being something that excites me everyday.

Becoming a global startup is extremely rewarding, but can also be very difficult to manage at times. From starting in the United States, to expanding to Indonesia, and then eventually landing in Kenya, Lyrid has gone through many changes both internally and with regards to our solutions. Here are some of the things I learned while making Lyrid into a global company that might help if you’re looking to expand outside of where you currently are!

Words for an Aspiring Global Startup

The decision for a startup to go global is daunting; there are so many factors that could go wrong but also so much that can go right. Whatever your decision may be regarding your company’s next step in growth, it's important to consider some of the following points:

When is the Right Time to Expand?

Short answer: there is no right time.

Long answer: timing expansion is tricky and requires hours of research, with the move to another location, let alone another country, being a risk in itself. While expansion can be scary, it is not impossible. 

Prior to our move to Nairobi, I created expansion criteria to narrow down potential locations. Our preferred characteristics that potential regions should possess include:

• Having a GDP similar to Indonesia, for ease in pricing
• Having high tech talent
• Having strong startup communities seeking to solve problems
• Having data centers pop up throughout

Above all else, being present in the market and location you want to expand to is key in a successful global startup. Getting a lay of the land of factors that are relevant to your business is extremely important in determining expansion regions and when to enter a market. Nairobi’s growing global startup companies, expanding tech enthusiast communities, local economy, and even flourishing data center landscapes are some of the biggest reasons why I decided to expand there, but I would not have known unless I was actively being present in those communities.

Rather than waiting for a specific time to expand to a new market, we found that manufacturing our luck and creating opportunities was the best approach to expansion. For Nairobi, this involved training Karington, the current Managing Director and co-founder of Lyrid Savannah. Last year, he reached out to sell software development services, but instead we opted to partner, with the goal of establishing Lyrid Savannah being achieved after a year of deliberation. 

Approaching an International Identity

For many organizations, especially startups who pursue a global approach, it can be difficult to stay unified as your company’s international presence goes. Many factors determine how businesses run within certain countries, including cultural differences, economy, pricing differences, and so much more. It is natural for organizations located across the globe to operate with different standards, but how do you ensure that your brand is consistent across all presences? 

Lyrid US, Lyrid Indonesia, and Lyrid Savannah all operate underneath the overarching Lyrid brand. We like to view Lyrid as a tree and its roots, with the different international identities acting as the branches of this tree. Together, we work towards achieving Lyrid’s overarching mission, but to account for regional governance and to encourage flexibility, we treat each branch like a separate startup of their own.

Lyrid Indonesia’s and Lyrid Savannah’s regional managers act as leaders for their branches, with the autonomy to make decisions and changes that will impact the wellbeing of not only their Lyrid branch but Lyrid as a whole. Autonomy within these branches lets individual leaders conduct business that works best for their team, creating teams that are self-competent with just a bit of guidance. This freedom also extends to how our regional managers approach new partners and customers! 

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While moving as a single organization certainly has a clear north star for international initiatives, I have found that allowing branches to grow independently but work towards a single mission is the best way to conduct global business.

Working Across Different Timezones

Operating on a global scale is extremely rewarding, however, by far the hardest part of doing so is working across different timezones.

The United States, Indonesia, and Kenya all operate on different times, not to mention the varying timezones of our partners and customers. Working internationally means working 24 hours on the clock, with you and your employees around the world offering support throughout the day. Forcing employees to work as many hours as you do is extremely unsustainable, so the goal to work align your time with theirs as much as possible!

I have found that working 12 hours a day for 7 days a week is possible, however, your work life balance is extremely subjective. What works for me might not work for you, and that is okay!

To successfully work in different timezones, communication is key and something that we at Lyrid heavily emphasize and actively improve upon. Organizations operating worldwide should seek to establish a straight line of communication across their global brands, while establishing the notion that they all operate under the overarching brand. While communication siloes may happen during busy times, be sure to just keep at it and check in when you can! Being there is just as important as solving problems.

Understanding Cultural Differences 

As mentioned before, all cultures are different. You would have a hard time finding cultures that are 100% identical, which makes the world a very exciting place! That being said, operating across different countries means operating within the understanding of different cultures, an extremely important aspect of succeeding as a global startup.

If you want to do business successfully within a specific region, you need to understand their culture. Be sure to fit in within cultural standards and practices and be eager to learn- learning someone’s culture is very exciting and business is just an extra benefit! It is important to keep in mind that there is not a single formula of success around the world; each region is unique in their own way, and what might work for one region may fail miserably in another.

This cultural difference also applies to budgets and payment. Spend hours researching culture in regions that you would like to expand to, especially with regards to how much users pay for services that are similar to yours, how they pay for services, and so on. For example, while credit cards are accepted everywhere in the US, in locations around the world only cash is accepted. How will you pivot to offer your services and solutions in a cash-based market?

Because of cultural differences, regional managers of Lyrid are responsible for facilitating deals and finding new partners and customers, with success being attributed to a deep understanding of cultural business practices.

Dealing with Forces Outside of Your Control

The world is a very big and complicated place, anything can happen anywhere at any given moment. Being prepared to pivot and adapt to emerging market changes is an important part of working globally, with having more presence around the world creating even more risk. Despite the opportunities presented by globality, just be prepared to make changes if anything happens that does not work in your favor.

The Rewarding Parts of Being a Global Startup

There is a lot to consider before expanding overseas, however, there is a lot that you can gain from doing so as well!

One of my favorite parts of operating a global business is being able to learn more about other people’s cultures and have more insight into their growing communities. Our ‘Your Tech Matters’ series does a great job of bringing tech enthusiasts together and in one room, however, I want to operate such an event on an even greater scale!

I love learning about other people’s cultures, and I want our team members to learn more about their teammates' cultures. I would love to expand more globally and soon enough conduct a global Lyrid gathering, bringing together everyone from Lyrid branches around the world! 

Interestingly enough, overseas investors are also a bit easier to approach. These investors often find it interesting when people outside their market want to enter their market and are more willing to listen and understand- especially when it comes to global tech startups. A similar occurrence happens with international data centers, who opt to partner with us after understanding our business model.

Being in a country that is not your own is truly an eye-opening experience; people are extremely resilient and are capable of everything they put their mind to, just being limited by a lack of resources. Many of the startup and tech communities that I had the pleasure of visiting around the world are closely tied to universities and colleges, with the future of these regions being forged within these communities. However, many of the companies being built within these communities are often underfunded- these growing companies play a huge role in democratizing tech and shaping the future of innovation! If there are any organizations interested in learning more about these communities and possibly funding, please let me know! 

The success of Lyrid worldwide is closely tied to our mission of globalizing tech being achieved. Innovator communities around the world can be building the next big thing, they just need the resources to do so. 

If you’re interested in taking your startup to the next level and joining a global startup ecosystem, feel free to chat with me!