According to new research, approximately 6 in 10 businesses fail. This happens for a variety of reasons, including negative cash flow, failure to plan, lack of market, improper management, and unplanned growth.
To make sure your start-up is successful, here are the 7 essential tips you need to know.
- Continue to Learn
Some entrepreneurs make the mistake of stopping after mastering the essentials, but when it comes to business, there is always something new. To be successful, get a mentor, attend events and seminars, and never stop looking for ways to improve both your knowledge and the way your start-up operates.
- Look After Customers First
Your customers are at the centre of your business. Without them, you would have no sales, no revenue and therefore, no business. This means you must look after your customers and put them first. Before making any decisions, think about how it will impact your customers and what they want from your start-up.
- Invest in Marketing
Because your customers are number one, attraction and retention should be prioritised. While a strong customer experience can help retain customers, you need an excellent marketing strategy to bring in new business. Remember, marketing is key to start-up growth and success, so it should represent a large portion of your time and expenditure.
- Always Plan Ahead
When launching a start-up, a business plan is a must. Containing financial forecasts, business aims and overviews of the company, it is a planning tool that should be referred to regularly, to keep you focussed. However, remember to also set new short and medium-term goals, to keep the business moving.
- Adapt and Grow
Everyone makes mistakes, including entrepreneurs and business owners. As such, you should always be ready to adapt. Implement new tech and processes that could automate business processes, prepare for seasonal changes to revenue, and be ready to bring in new talent. Remember, the key to success to adapt, not react.
- Protect Your Venture
There are many things that could go wrong with a start-up, but legal issues could lead to ruin. This means it is essential to protect your venture. If you work with the public, public liability insurance is essential. If you design or provide a consultancy service, you will need professional indemnity insurance. Or if you operate vehicles, motor trade insurance is vital.
- Negotiate, Negotiate, Negotiate
It is no secret that running a business can be expensive. This can be a problem as the majority of start-ups have limited capital. This means it is imperative to negotiate. While you may feel nervous, if successful, you could secure a discount for your start-up and reduce pressure on cashflow.
Building a successful start-up is not an easy feat. However, if you follow these tips, they should help get your start-up off the ground and turn it into a profitable, self-sustainable enterprise.
