Being a start-up comes with all kinds of opportunities that other, more established companies may not have access to. However, it also comes with its own challenges and obstacles to success. Here's ten of the biggest problems your start up may face, and how to avoid them.
1. Not being able to find the right team
One key problem is that as a start up, you need a team with certain skills, but you don't yet have the capital in which to attract them. You may have to start out with a small, multitasking team, and branch out later.
2. Unrealistic expectations
It's easy to get excited about your potential, and predict growth in your company that just isn't possible. Take it slow and steady, and you'll be able to grow at a much more sustainable rate.
3. Problems with funding
One of the biggest problems will always be capital. As a start up, you just don't have the clout of more established businesses, and may find it harder to get funding. If you get creative, there's other ways of getting the capital in to make your business dreams a reality.
4. Choosing a brand name that doesn't work
Picking a brand name that works is crucial. It's the name that potential customer sees first, and it needs to give a good impression. Take this infographic of domains before they were taken over by famous businesses. The companies that took over created unique, memorable but not obscure names for themselves, and that's why we still know about them today.
5. Customer retention
Many start-ups focus so hard on gaining their first customers that they forget all about retaining the ones they have, once they've got them. You'll need to have a plan in place to retain them, to keep your cash flow stable.
6. Replication of existing ideas
A lot of start-ups, rather than bringing a fresh idea to the table, simply replicate existing ones. This is seen most often in the app development industry. Make sure you have something new and fresh you can offer, rather than something stale.
7. Using bad grammar online
Your introduction to the world will often be your website, so your copy needs to be clean. Websites that have glaring grammar or spelling errors, or it's going to put off potential customers. Use a grammar guide or a good proofreading service to make sure that doesn't happen.
8. Lack of planning
Starting a business isn't all about the short term, you need to be thinking into the future too. Start-ups that fail, fail because they haven't been able to sustain themselves through the long term. Plans may be useless but planning is indispensable. Create a detailed project plan (Microsoft Project, Oracle Primavera, Wrike are the most obvious choices) and delivered your team for feedback at least once a week so everyone can be updated about how the project is progressing.
9. Time management
Time management is also a huge factor in why some start-ups fail. If you're focusing on smaller details, you won't see the bigger picture. Think about what really needs your attention and what can have less time dedicated to it.
10. Not pushing yourselves
Of course, if you want to get noticed you're going to have to push yourselves. No one's going to sweep you off your feet and offer you a deal, so you need to get out there and get it. Don't be afraid to tell the right people why you're just so awesome, and you'll find that your business will be a runaway success.
Now you know the potential pitfalls, it's time to plan around them so you don't fall in. All it takes is some time and thought, and of course some old fashioned hard work. Everyone has to start somewhere, so make sure your business has the best start in life it possibly can.
About the author
Mary Walton is a professional writer from UK dissertation service. Being educational consultant she understands what students need to help them achieve higher grades.