Pivot-or-proceed

<p>When completing the <a class="wikilink" href="/phases_of_customer_validation/">Phases of customer validation</a>, the last step is to decide whether the company will continue its current course or it needs to pivot. </p> <ul> <li>Assemble and review all key discovery and validation findings</li> <li>Review the business model hypothesis and their interactions with one another</li> <li>Focus on the metrics that matter in the financial model </li> </ul> <p>Some red flags: </p> <ul> <li>The company needs 100k customers to be profitable, but the market is not that large</li> <li>Customer acquisition costs are too high</li> <li>The sales roadmap is too complex, <a class="wikilink" href="/cost_of_sales/">cost of sales</a> become way too high</li> <li>Referrals are not delivering new customers</li> </ul>