Obstacles are always on the way when you are on the journey of achieving your dreams. But never take your eyes off the goals that you’ve set. Continue working hard and encourage yourself never to stop learning the obvious pitfalls that you can avoid.
In this article, we have compiled the common challenges that many startup businesses usually face. According to statistics, only 1% of businesses survive after a year of operation. It just shows that a staggering number of 95% fails.
Though there are many reasons why startups struggle, we seek to compile only the most common challenges that are most likely you’re going to encounter. Here are some of the challenges that you should be aware of:
1. Secure your money
Keep in mind that you’re always going to need money; it’s the lifeline of your business. Yes, you may be going to receive cash flows straight away from investors and sales. But, there’s a huge chance that you may not receive straight cash flow.
So, always secure your money. This may result in paying some of your equipment in installments. Do what you can do to avoid paying your workers or employees late. Remember that one of the most important keys to making your business work is your works.
Capital or money that is in your “hands” is extremely important, so it may skyrocket both of your product and software development. Make sure that your focus your money, where the income flows. If you noticed that some of your employees are not contributing to your company, then don’t have second thoughts to shed your staff into half.
As mentioned, only invest or reinvest your money to the things that “make your money.” if you have a helping heart, you may automatically donate 3% of every product you sell to charities or orphanages. But never spend what you can’t afford to recover.
As the owner of your business, it is your job to manage the money and time that is needed to take your business to the next level.
2. Neglecting marketing
Marketing is very important- this is the bridge that allows people to cross from their position to your business. Most of the common challenges startup businesses encounter is poor traffic. How could you possibly attract more people without putting your business’ brand out there?
Just a pro-tip, never ignore the marketing plan of your business. Make a structured plan on how you can lure people to your business. Yes, it’s possible that you can grow your business organically. But as much as possible, attract people on social media. You can try doing Instagram, Facebook, and Twitter.
Never try to put faith that people will magically discover your business. Invest in marketing and ads; this will further promote your startup. And trust me, it’s going to be money that’s well spent.
3. Lack of planning
One of the major reasons businesses plan is because they don’t have a structured plan. You must have got included in your plans. Including the development, sales, skills shortage, investment, and funding.
However, keep in mind that you must also be flexible and versatile in terms of structuring your plans. Another thing you shouldn’t forget is to consider “efficiency” in constructing your plans. You must get the details in the right order, no matter how small.
4. Hire the right people
There are two strongest virtues that you should look for in terms of looking for your staff 1) attitude 2) skills. It’s important that you people with certain skills that could elevate your business to the next level.
Find the right personnel who’s going to help your business grow will save you a lot of time in the future. This is the type of process that your business can’t afford to delay. You must look for the right people that could lead the mission and the vision of your company.
5. Time Management
Just know that there’s never enough time when it comes to business. There will be many times where you wish that you had more time in a day, so you can get everything set and ready. There are only 24 hours in a day, and you need to make use of this time, perfectly.
You have to start minimizing the distractions and eliminate the practices that no longer serve you. You must also make time where you can make decisions on important matters. Know what agenda you should prioritize and what meetings could you move the next day. You have to come up with the answers and deal with solutions within the day.
Of course, do not fail to entice and communicate with potential investors who might see a sparkling potential in your business. You have to present your plans and help them understand the essence of your business.
You can either meet up with investors online and set up a meeting in person. In this way, you will be able to explain to them better the mission and vision of your business. It’s important that you set aside some of your time to look for investors or potential business partners. So, scaling up your business wouldn’t be so difficult.
7. Scaling up
It’s going to be challenging to take your business to the next level. The great news is that many products and services can help you skyrocket your business. If you feel like it’s time for you to hire more employees, then you must set them to the right areas. You will also be needing a larger office space. If you have the capital to fund this, then great. Yes, it’s going to be a stiff process, but in the end, everything will be worth it.
Starting up your business is difficult alone, how much more taking it to the next level? These are some of the most common challenges that you are about to face, so be ready and be prepared for it.
Be flexible enough in a manner that you can push yourself out of your comfort zone and do something creative and out of the box. Always think of fresh and bright ideas that you think will further push the brand of your business. And of course, don’t forget to have fun during the whole process!