Startups are all the rage with today’s youth wanting to challenge social conventions and making a mark for themselves and forming their own identity. The mindset of the youth is changing with more and more individuals opting to start a venture of their own and be their own boss rather than do a 9-5 job and get stuck in an everyday office rut.
Starting a business is never easy. It needs an exceptional business idea, labor, hard work and a supportive team to see the business through in the initial days before it kicks off. Even if you have all these elements, there are few mistakes every entrepreneur and startup needs to avoid which could spell doom for the business. If you’re handling your own venture, watch out for these big blunders you might commit along the way:
Being Blinded By your Idea
So you’ve had a stroke of brilliance and a business idea you know has potential and can grow big – good for you! However, you need to keep in mind that your love for your idea might be the very hindering factor not letting you make the right decisions. In order for the business to flourish, you need to set a target audience, set a price for your service and a have a scheme of plan on how to advertise it. There might be conflicting views amongst team mates and you must be ready to listen and reason with them all and not just do what “you feel is right for your idea”. Your idea might be good but it can get better with others giving in valuable suggestions which you must be ready to listen to and act upon if necessary. It is only with hard work that startups like Flipkart have become so successful.
As your business takes on a growth trajectory, you might be running out of funds quickly, which is why you might think of turning to angel investors. However, before narrowing down on a particular investor, have a good conversation with him to see what his interests and motives are for investing in your business, whether he shares common visions or not. If an investor is only interested in you making profit, be sure he’ll soon become quite nosey and will interfere in day to day activities and want reports on everything which might become difficult to manage. Instead, find an investor who wants to see your business grow and help you accomplish your business vision.
The Hiring Factor
Once your business starts finding an audience, you’ll soon need a larger team to work for you and help you manage various facets of business be it finance, marketing, advertising or operations. However, when you interview people, be sure to check their motive of wanting to work for you, whether they’re interested in this line of work and how much industry knowledge do they have. If they’re just people looking for a job and want a salary at the end of every month, then you’re in a jam. Be sure to hire people who will prove to be enthusiastic and ready to take the business to higher levels, who’re driven by passion and not just money! Hiring a great team is the reason startups like CashKaro is doing exceptionally well and growing many folds.
Always remember the saying – practice makes perfect! It is only with time will you be able to perfect your business model into a well oiled machine which spits out profits for you. If you’re looking to be great and perfect at everything from the start, you’re making a huge mistake. Before getting in anything new for the business, do a thorough cost benefit analysis and see if it’s a feature you really need at the moment or are you just going for it because it makes you look good. Don’t be after perfection from day one, it’s a process which takes time and something you have to strive for.
Set your Targets
Setting targets becomes essential for every business. The problem with most startups is that they try to achieve it all from the start and want to target every audience possible on a big scale. Instead, think about what your business is about, who your target audience is and focus on making your business to work for them. Once you find a good balance, you can learn from mistakes and then grow bigger and set your next target. Don’t try to blindly aim your business at just about anyone in the hopes of finding success better with a larger customer audience. Focus on finding a loyal customer audience even if it’s small and then branch out.
Be sure to keep these factors in mind which are sure to pop up in your entrepreneurial journey. No business is easy to start and sometimes you’ll face situations of having to make tougher choices, but in the end you must remember, it is these choices which will shape you and your business!