Creating a Strong Culture in Early-Stage Startups
By Manu Rikhye | 06 November 2024
Building a startup is a lot like putting together a sports team - not one of those superstar-packed lineups where everyone’s jostling for the spotlight, but the kind where everyone knows their role, trusts their teammates, and plays to win, not just for themselves, but for each other. If you’ve ever watched a team like this, you know it’s something special. They’re not just good because they have great players; they’re good because they have a culture that binds them together. For startups, creating that kind of culture early on can be the difference between a team that’s excited to show up for work every day and one that’s dragging their feet to the office.
So how do you build a strong, lasting culture when the company is just finding its feet? Let me share a few lessons I’ve learned along the way - no fancy metaphors, just real talk.
1. Start with Your ‘Why’ - Not Just What You’re Building
Remember when Apple was just a tiny startup in a garage? Sure, it was about building cool computers, but Steve Jobs had a vision of changing the way people interacted with technology. That sense of purpose bled into everything Apple did, from how they built their products to how they treated their early employees.
For your startup, it’s easy to get caught up in the day-to-day grind of what you’re building: the product, the features, the revenue. But think about why you’re doing this. Is it to make a certain process faster? To empower small businesses to compete with the big guys? Maybe it’s to solve a problem you and your friends always struggled with. Whatever it is, share it with your team. People need to know what they’re working towards, especially when things get messy (and they always do).
2. Define and Stick to Core Values
In the rush to bring on talent, it’s tempting to go after big names with impressive skills. But here’s the thing: talent alone doesn’t guarantee a good culture fit. What really matters is values alignment. Early-stage startups thrive when the team shares a common set of values - those unwritten rules that guide every decision, big and small.
When evaluating candidates, don’t just consider their skill sets. Look at how they approach challenges, interact with others, and respond to setbacks. Are they collaborative? Willing to learn? Humble? These are qualities that reflect core values and will have a bigger impact on culture than technical ability alone. Google, for example, has always emphasised “Googliness” over pure credentials, hiring people who bring humility, curiosity, and integrity to their roles. Define your values clearly and hire people who truly embody them.
3. Be Brutal with Resource Allocation
Early-stage startups don’t have the luxury of excess - there’s no room for unnecessary layers or resources that aren’t pulling their weight. The focus needs to be on getting the job done, and this often requires being blunt about priorities. Allocate time, money, and people only to the most essential tasks, and cut out anything that doesn’t directly support growth or the product.
Forget about adding layers of approval or elaborate processes. You want to stay lean and nimble. Keep the team focussed on high impact work and be ready to say no to distractions or tasks that don’t contribute to the immediate mission. Efficiency isn’t just helpful; it’s survival.
4. Make Your Customer the North Star
As your startup grows, staying connected to your customers becomes essential. Their feedback is more than just input - it’s a direct line to understanding how well your product fits their needs and where there’s room to improve. Encourage everyone on the team, even those in support roles, to engage directly with customers. When the whole team connects with customer experiences, they gain a shared sense of purpose, which makes your product stronger and more relevant.
Establish internal processes that prioritise and address customer feedback, making it a central part of your development. The more attuned your team is to customer needs, the better positioned you’ll be to build something truly meaningful.
5. Stay True to the Core, Even When It’s Tough
In the early days, every decision feels monumental. Should you take on a tough client who’s willing to pay a premium, even if they don’t align with your values? Should you hire that one brilliant engineer who’s a nightmare to work with? Should you cut back on team events to save cash? These are tough calls, and sometimes you’ll have to make sacrifices. But remember - if you compromise on your core values, even a little, you’ll lose what makes your company special.
The point? Make the tough decisions, but make sure they’re in line with the kind of culture you want to build. Because at the end of the day, that’s what will keep your team together, long after the initial thrill of the startup phase has faded.
6. Celebrate Progress - Big Wins and Small Steps Alike
Startups are high-pressure environments, where you’re constantly racing against time, budget, and market demands. That’s why it’s important to step back, ever so often, and recognise progress, no matter how small. Maybe your team finally fixed a stubborn bug, or a new hire went above and beyond to support a customer - these moments deserve acknowledgment.
Netflix is a great example. Even in their early days as a DVD rental company, they made it a point to celebrate small victories. A well-executed project wasn’t just a pat on the back; it was a reason for the whole team to cheer. These small wins build morale, add momentum, and remind everyone that every step forward counts.
Building a startup culture isn’t about foosball playoffs or Friday night beers. It’s about creating a space where people feel they belong, where they know why they’re here, and where they believe in what they’re building. Do it right, and you’ll have a team that’s ready to face whatever comes their way. And that, in the end, is what makes all the difference.