When starting any new venture you have countless hopes and fears, dreams and short comings. This is part of life and can’t be avoided but not being able to control them doesn’t mean to over indulge in them. This can be a factor for an early failure and watching your company crash and burn before it has even begun. There are a number of factors that contribute in killing your startup dream and avoiding them is crucial for your business. But in order to do that, you must first know what those factors are.
1. Unrealistic ideas
As the world progresses and people strive to grow more independent, more and more people are starting up their own businesses in hope of bettering their future. More often than not these new business men will jump in with unrealistic notions in mind. You can’t be rich and famous overnight. It is a long, slow and torturous road with long hours, lots of work and not enough benefits in the beginning. So kick those unrealistic ideas out of your head because its no picnic up ahead and strap in for a long journey which with the right strategy and enough effort is sure to bear fruit.
2. Underestimating the competition
Another common mistake that most startup business men do is underestimating their competition. They believe that their competition, though tough, is easily manageable and as such they don’t take the necessary steps and precautions to overcome them which may lead to them ending up in financial problems and failure. It is important to do a thorough research and make sure that the product/ service being launched will be able to stand neck in neck with the competition.
3. Supply and demand
The market is a tough place to sell nowadays. You must be completely sure that there is ample demand for the product or service you provide or else you will find yourself in a situation unfavorable for startup companies which will lead to a bad reputation not to mention you will end up incurring a lot of loss and possibly debt. That being said, make sure your statistics are correct and up to date and that the demand rate is in your favor before venturing out in the market field.
4. Wrong partners
Your partners can be the difference between a success and a failure. Choosing the right partner or partners ensures capital and sound decisions and investments. However if the wrong partnership is formed that would be the death of your company as you know it. A wrong partner can make you lose potential clients, may insist on unfavorable decisions and son on. It is best to avoid situations like that.
5. Help wanted
Never be too proud or ashamed to admit you need help. It is normal for a person to want help in a new venture or in daily matters as well. If need be, hire someone who is familiar with the ways and methods of the business industry and can guide you on the best moves to be made. Asking for help is a part of life and one should never be too uncomfortable in asking for it. Most businesses don’t work out from the beginning because they are unable to admit that they need help.
When starting up a company the more cautious you are, the better it is for you and your company. It is always better to be safe than sorry. You need to make sure that none of the above mentioned factors apply to you or you will be in some really stormy waters.
NOTE:This article is inspired from the teachings of Jose Carlos Gonzalez Hurtado who is considered to be the Icon in the startup world.