In the case of a technology start-up, one of the most difficult things to do is explain your solution…in layman’s terms. If your audience can’t determine how an application solves a problem, then you’ve lost out on a customer. If you’re technology seems too complex, many folks won’t even give it a whirl.

In my opinion, one of the most powerful things that a new company can do to overcome many start-up challenges is to create a video. If you’re sexy new start-up can tell its story in less than two minutes, you’re going in the right direction.

Ok, with all of the new websites and applications out there, who has done a good job explaining themselves through video? Well, we’ve searched high and low and have found ten technology start-ups that do a great job of telling their story through a short web video.

1. Groupon

2. Things for iPad

3. Airbnb

This is a very interesting business model. The video does a great job explaining the concept from multiple angles (i.e., from a traveller and some who rents out their place).

4. Salesforce

This is somewhat of a “classic” – if a two-year old video can be called that.

5. Booktrack

Reading may never be the same again. This video explains the technology behind Booktrack…a new way to experience reading.

6. Discover Twitter

Everyone knows about Twitter, but the site is still difficult to explain. Even folks that are on Twitter all of the time have a tough time explaining the site. Well, this video does do a good job…

7. Flipboard

I have an iPad2 and Flipboard is one of my top 5 apps. This video shows what it is all about.

8. Evernote Peak

9. Rdio

There’s a lot to take in with this technology. But, in about a minute, the video covers quite a bit.

10. Dropbox

I use Dropbox on a daily basis, so this video certainly hits home with me.

Dropbox for iPhone Explained in a Nutshell from Planet Nutshell on Vimeo.