Business Model Canvas & Lean Canvas
Business Model Canvas
The Business Model Canvas was proposed by Alexander Osterwalder based on his earlier book: Business Model Ontology. It outlines the hypotheses that form the building blocks for your startup/businesses. The Business Model Canvas is a strategic management and lean startup visual chart that includes the nine core elements of your future business. It describes your hypotheses regarding your value proposition, infrastructure, customers, and finances. The Business Model Canvas can not only be used for developing a business model for your new startup it can also be used for an existing business documenting the existing business model.
Later on Ash Maurya came up with a refined version of the Business Model Canvas and named it the Lean Canvas, it promises an actionable and entrepreneur-focused business plan since it focuses on problems, solutions, key metrics and competitive advantages.
If you would like to know in more details why he made the changes to the original model please read his blog post Why Lean Canvas vs Business Model Canvas.
The canvas is an important tool for you to use when you got an idea for your startup since the canvas describes the rationale of “how an organisation creates, delivers and captures value”
Just spend 20 minutes initially to register all your hypothesis, then “go out of the building” and talk to your potential customers to validate if your idea – the product or service you plan to offer – may be of interest. Or – if you are the impatient personality – just jump in “at the deep end” and just start creating your MVP right away (“fake it – until you make it”), recognizing “the ultimate best way to learn (if your startup idea is any good) is to launch!”
I am very much in favor of using Ash Maurya’s Lean Canvas! You can sign up for a FREE and UNLIMITED account at his website: Leanstack.com