Budding entrepreneurs take the first test on the entrepreneurial ladder but not all of them succeed. According to Small Business Association, 7 out of 10 entrepreneurs survive at least two years of operating their business. Experts are everywhere spreading their advice on keeping your startup afloat the entrepreneurial seas. Here are some of the things they think might sink your business forever:
- You started the business with all the wrong reasons – Most startups begin with the idea of a worker thinking that they will be much better as a boss than someone who follows orders. If you got the same mindset, think again.
In order for your startup to succeed, you need to have passion in what you are planning to put up. That means you will allot time and resources to be the best at what you do. You must prepare yourself physically and mentally to withstand the challenges of being in charge. You need to have the drive, determination and perseverance no matter how bad the situation might be. Having a positive attitude goes a mile away as it not only inspires you to do well but you are also channeling that energy in your employees or team.
- Mismanaged business or team – Some incidents of failed business venture lies mainly on poor management. Most business owners are having a hard time managing finances, production, purchasing, selling, and most of all people. Other entrepreneurs are neglecting their business putting much trust on others to run their business that eventually leads to betrayal and fraud.
It is the task of every entrepreneur to carefully study, analyze, plan, and control all aspects of their business. If they feel overwhelmed by the responsibility, they can always seek help of their employees but see to it that you still know what’s going on. Market research is also essential for you to know the trends and how will you keep up with the competition. As an entrepreneur, you must have the eye of choosing the best people to train and delegate tasks in the business. Finally, strategic thinking and planning makes entrepreneurs have the vision of possibilities that their startup can take for the future.
- Lack of Funds – Ideas maybe good but for them to make it happen, money is a must. This aspect of business is taken for granted by most entrepreneurs thinking that they can handle everything with the amount of money that they have. The bad news is you will need money not only to begin but also stay in your business.
As an owner, you must consider funding for two years as this is the critical years for most startups to establish. This means that you will need money to get your business going until such time that revenues can pay up for your costs. You may seek help from the pros in projecting how much money you will need to make your business up and running.
- Bad Business Location – Choosing where to setup your business is crucial especially if you are planning to put up a retail or service-oriented startup. A good business location enables you to succeed whereas to a bad location with an evenly managed business.
You need to consider the location that matches your target customers, its accessibility, safety conditions of the building or area, and lastly the reception of your business at the prospective area. You can also check if your target area offers incentive programs for startup business and possible competition within the area as well.
- Little to No Online Presence – Most entrepreneurs take for granted the advantage of using the Internet to promote their services. They think that it is a waste of money to hire or outsource people that will take care of their online presence. They didn’t realize the benefits they can get with up-to-date online presence.
By online presence means not only a website for your business but also requires you to be active in social media. Every business should setup a professional-looking website with all the information about your business. Make sure that your website is accessible and easy to find by your target customers. With the advent of social media sites like Facebook and Twitter, this makes it easier for business owners to promote their business. Make sure that you don’t only promote but also interact with your audience to create an impression that you are someone they can rely on. (Check out on Accede Holdings Internet Marketing Solution for your business)
Success in startups will always depend on the business owner. Armed with passion, drive, determination, funding, and optimism entrepreneurs will see problems as opportunities to learn and improve. It might take time but always keep eye on the prize and that is phenomenal success and staying power.