Starting a new business venture can be exciting yet challenging. Unfortunately, it is estimated that 90% of startups fail. However, even with a high percentage, there are things you can do to help increase your chances of success.
Take a look at four of the most common challenges startups encounter, and what you can do to overcome them.
Everyone starts a business with some sort of expectations. Maybe you expect to reach a specific profit goal after the first 2 years, or maybe you expect the business to be self-sufficient after a couple of months. When you decide to start a business, it’s important that you set realistic expectations. They can be high expectations, but they need to be reasonable as well. Setting realistic expectations will help save you from a lot of disappointment, and increase your startup’s likelihood of achieving your goals.
Lack of Planning
Planning is an essential part of every successful business. No matter what stage your business is in, it’s important that you plan ahead. Many startups fail because they don’t do a good job planning. Make sure to make a business plan that goes over things such as:
- Your Marketing Plan
- Potential Business Strategies
- Financial Requirements
- Break-Even Analysis
- … and more
When it comes to startups, you need money to make money. If you don’t have enough capital to cover the expenses of getting up and running, your startup will likely not succeed. You will need enough money to cover things such as marketing, office space, inventory, software, and more. Even though you’re looking to minimize financial risk at the beginning, you must invest in all the important infrastructure costs to increase the chances of your startup’s success
Lack of Mentorship
You may have a wonderful idea or product, but that doesn’t necessarily come with the knowledge of how to create a successful business out of it. That’s where a mentor comes in handy. A good mentor has the experience, knowledge, or market expertise that they can pass on to you. If you can’t find a person to mentor you and your startup, look to other resources such as books, podcasts, and articles from successful entrepreneurs.
Ready to Start Your Own Business?
If you’re ready to start your own business and want to maximize your chances of success, Growth Team Strategies is your solution. We offer entrepreneurs in Maryland startup consulting services that will help their businesses succeed. Call or contact us today to get started.