5 Reasons Why Your Startup Needs a CTO
Starting a small business is a stressful task. In the early phases, you need to make hundreds of decisions that will have a lasting impact on your startup. Therefore, it is important to invest your time and money in people with the right experience and knowledge to ensure your business idea is realized and your startup’s processes run smoothly right from the start.
Having a technological strategy is an incredibly important aspect of any modern business. This ensures growth and operational efficiency. One expert that can assist with the successful development and implementation of your technology strategy is a Chief Technology Officer (CTO). A CTO is also responsible for managing the technological requirements of a business and takes on all the tasks to ensure the successful operation of a startup’s most essential technological processes. However, finding a startup CTO can be complex.
Why it Is Hard to Find an Experienced CTO
While it is highly beneficial to hire a CTO, many new businesses struggle to find an experienced, skilled, and knowledgeable candidate. Some of the reasons for this include:
Over the last five years, the demand for CTOs has soared. It is expected that around 40% of businesses in the corporate and financial sectors will have hired a CTO by 2023. As a result, it can be difficult to find a startup CTO with the right experience and skills.
Because there is a demand for CTOs, they often charge very high rates. Startups often have minimal budgets at first, which means they typically cannot afford a CTO.
Many CTOs work with large corporates or work on their own projects. This means that new businesses may struggle to find a CTO candidate with a keen interest in a business that is only starting out.
What Exactly Does a Startup CTO Do?
It is important to understand that a CTO has one major mission. That is to make sure that a business’ technology investments serve its business strategy. However, to realize this mission, a CTO job can include many other responsibilities. Some of these include:
Managing technological projects
A CTO is responsible for maintaining the main focus of the project and takes the lead in turning concepts into reality.
Managing data security
Security loopholes can occur in databases, within websites, or any other digital tools that a startup uses. A CTO is in charge of security development, conducting security audits, and more.
Maintaining the network
Once a startup’s network is up and running, some CTOs may assist with the maintenance of the network and ensure it performs optimally. A CTO can also advise on any improvements that can be made to the network to guarantee better performance.
Planning how technology will be used in the business
For modern startups, technology is used in all aspects of the business’ operation. It is the responsibility of a CTO to plan how technology is going to be used for different processes and how it is implemented.
Reasons Why You Need a CTO
Startups often exist in conditions of uncertainty and they have limited resources. A CTO can bring a level of balance to a startup to ensure it grows faster and more efficiently. Let’s explore five reasons why your startup needs a CTO:
Defining a strong technology architecture
An experienced CTO can help your startup to define, develop and maintain a technology architecture that is aligned with your business strategy.
Ensuring the smooth implementation of new tech
A CTO focuses on implementing new technology to ensure a business stays ahead in its industry. This includes implementing automation, transitioning processes to the cloud, and compiling a tailored tech stack to allow their professionals to make the wisest business decisions.
Effectively guiding decision making
The right CTO can help your startup to make important decisions regarding the investment of new technology and in allocating budgets. They can work closely with the technical co-founder and other stakeholders on certain major decisions.
Enabling financial goals
With the right experience, a CTO can find interesting ways for your startup to invest in the most effective solutions at the lowest costs. In the long run, this can help your new business to save valuable capital.
Quality across all parts of a business is incredibly important. A CTO can help your startup to hire the right talent, invest in the best products and services, and ensure the successful running of processes. This type of quality assurance is highly beneficial.
Where You Can Find a CTO
As discussed, finding a CTO can be difficult. However, if you use the correct process to source a CTO, you may find a suitable candidate sooner than later. Here is how to find a CTO for your startup:
Freelancing platforms such as UpWork makes it easy to find affordable candidates that suit your business’ needs. This is because the remote CTO cost is often much lower than hiring in-house.
Using hiring platforms
Platforms such as LinkedIn and Glassdoor can be very useful to find a CTO for a startup as part of your in-house team. These platforms allow you to advertise in your area. However, hiring in-house can be an expensive activity, especially for startups.
Using an outsourcing company
One of the best ways to find a CTO is by using an outsourcing company. Such a company will evaluate your startup’s specific needs and source an experienced and skilled CTO candidate that suits all your requirements. This is typically a very smooth and affordable process.
Hire an Experienced CTO for Your Startup’s Success
The speed at which technology changes makes it vital for startups to stay ahead of the trends and be able to survive disruptions. One of the best ways to ensure this is to hire an experienced CTO. The right CTO will guarantee the smooth running of everything from new technology products and services to developing and maintaining business models and processes.