10 tips to stay away from failure for start-ups

The moment of inertia in jumping into the fray of business may be lingering and intense. Even though you have pondered over it for long, the initial move is the hardest to take. While some start- ups do not take off, some others start-ups flourish faster than anticipated. When the very best laid plans go haywire, it is only natural that you as an entrepreneur feel deterred. Now that you have decided to plunge into a start-up Let us discuss the ways to stay away from failures in your venture.

Startup

1. Create an exhaustive and fail proof business plan

By setting up an exhaustive and comprehensive plan of activities, you can be assured of a good amount of the business venture as done. The plan should contain the cohesive idea of the ultimate goal is. It should spell out how you are going to accomplish it. The details will comprise of the goal, product profile, finances, customer segment, etc. Any amount of time spends on making this business plan will be rewarding in the ultimate analysis. Basically, in this plan, you are writing your dream in black and white. The plan is essential for a focus in your business.

2. Finance management

You have to be realistic of balance funding you need to get your business off the ground in a reasonable time frame. Deviating from the solid financial planning is not advisable unless an emergency takes place. The high return on investment shall have to be the primary criterion. The stock, investment, reserve, etc. shall have to be given due consideration. The over investing tendency shall have to be avoided. A financial disciple is very crucial for the overall health of the start-up. Meanwhile, under-funding may prevent your business from taking off at all.

3. The niche you were looking for

Explore what is lacking in the industry which you are capable of actually deliver; it can be a product, design, a consultancy or a service. Once you have identified that niche, the further proceeding will be easy. If you need any special tool is required, or any skill is required to be mastered, ponder over it in acquiring it. Now that you are superior to your competitors, you can dictate your price. Soon you will be highly sought after in that field.

READ  How can you convert freelancing from a hobby to business

4. Stop being rigid

Being rigid and not flexible for the operation will be fatal for your business interest. You should be adjustable and adaptable to the dynamic situations the market demands. When the customer requests the latest product or service, you should be in a position to offer. If a website need be updated to suit the changing and challenging business pattern, there is no point in procrastination. You should be prepared for contingencies, challenges and changes. The reluctance for change did hamper the growth of many start-ups.

5. Be realistic to the core

realistic

Put your foot firmly on the ground. You have to be patient and do not miracles overnight. You may stop comparing why your start-up is not flourishing compared to the one next door. Maybe the slow pace in which you conduct the business will give you sufficient time to analyse the reasons behind it. You have every right to change the strategy to cope up with the situation. You should talk to customers and vendors to find out the reason for slow pedaling. With that knowledge, you can adapt new approach.

6. Cash flow management

Besides an active finance management, you should have an equally strong cash flow management. Unless a close watch is made on the cash flow, a lot of drain and leak can happen. For example, unless the interest payment is strictly monitored, start-ups paying interest on interest may occur. A financial forecast is a must to avoid a surge of over-payment. Also, unless the inflow and dues are controlled properly, there can be financial jeopardy in your start up. The cash flow management is imperative if the customer profile and payment vary considerably. Always you should have a backup plan.

7. Delegation and decentralization

It is paramount that system is flexible enough to delegate the workload. Decentralization is the key for efficient operation of business. For cost cutting the reduction of man, power is one way. But in that case you will be doing all things yourselves and the expansion of the start-up takes a back seat. By doing all functions, yourself will have a toll on your efficiency and well-being. By decentralization, more accountability factor can be brought in an organisation. Small units of profit centers within the organisation are proven globally as the most efficient way for involving employees.

READ  5 Important tips for aspiring freelancers

8. Give emphasis to the marketing plan

You should make your presence felt in the market by all available means. Being memberships and active participation in trade confederations and associations is an effective way. Advertisements, exhibitions and conferences would facilitate better interaction and rapport with existing as well as prospective customers. A cohesive marketing plan in tune with your vision and mission will carry your business with a positive note. Your social media presence is also needed to be kept up.

9. Introspection and criticism

In spite of the fact that you are incredibly creative, passionate and confident in your business idea, introspection at every stage is critical. The contemplation will give a new dimension to the business in totality. You may have to the advice from business owners, management experts and industry leader in the right way. Your willingness to accept the positive criticism is also a key factor for success. For better sustainability and business growth, interaction with the people around you is crucial.

10. Failure is the stepping stone to success

Failure in business is not uncommon at all. Probably the most important tip to remember is even if your business idea fails, you gain the knowledge of the necessary steps to launch a business, as well as connections within your business community. Everybody you meet and every process you go through is worth something that will make your next attempt that much better. The plethora of experience you gain every day in running a business is invaluable to rejuvenate and carry forward.

Amit Acharya
Get Latest Updates on SEO, Blogging and Marketing!

Get Latest Updates on SEO, Blogging and Marketing!

Its high time to get access to the awesomeness!

You have Successfully Subscribed!