How To Ensure Your Startup Will Survive The First Year
Follow these business startup tips which will mean the difference between surviving and failing that first year of operation.
With the number of British startups at an all-time high, it’s more important than ever to achieve business success in your new venture. 660,000 companies launched in 2016, marking an increase of more than 50,000 from the previous year. But with ongoing concerns that 8 out of 10 startups will fail within the first twelve months, how do you make sure your organisation falls within the successful 20%? Incorporate these five essential elements into your strategy to make sure you’re still going strong beyond the first-year anniversary.
A Clear Business Focus
It’s important to identify the focus of your business from the outset. Whilst some entrepreneurs will have created a brand-new product or piece of tech to solve a typical consumer problem, many successful ventures take an existing business model and simply improve it. You’ll need to conduct thorough research of your competitors, learn what they’re offering and then go one step further to make sure your service or product stands out from the crowd.
Building Your Team
Your business is only as successful as the people that work for it. Putting together a great team is a key area of focus when you’re starting out. Your business plan and the vision for what you want to achieve, should include the roles that you’ll need to recruit for and the skillsets that you’ll require from your employees.
But a successful team isn’t about individuals. No matter how impressive a person’s career history is, you’ll also need to invest time in team building, to make sure that your employees work together towards your business goals.
Even if you’re going it alone, contacts are still important in the business world. The difference between success and failure can sometimes come down to who you know. This doesn’t mean that you need to break bread with your rivals, but it will likely be advantageous to build up a network of fellow entrepreneurs, perhaps on social media or by attending industry events. Such contacts can be useful to share ideas with or perhaps turn to for professional assistance in areas where you lack the required skills.
Delegation is an important part of running a business. It allows you to entrust various tasks to your employees which will free up time for you to focus on other areas of the business. However, when you’re a startup, it simply may not be possible to delegate the menial jobs when the company is in its infancy. Therefore, it’s important that the senior staff in your organisation are willing to muck in and get their hands dirty. By doing so, not only will you save money, but by getting involved in the basic operations of your venture, you’ll have a great understanding of your internal processes and know where improvements could be made.
Perfecting Your Pitch
One thing that all businesses have in common, is that they all need to sell something to make money. Whether you’re promoting a service, a product or even a web page, you’ll need to get the attention of your target audience. Sales is an area that requires a concentrated effort right from the birth of your business. You need to know what you’re selling inside out; learn how to perfect your pitch and put your best sales team together to do so. They need to be confident at presenting, whether it’s one-on-one or to a board of directors.
Now that you know which areas to concentrate on, it’s time to readdress your startup strategy. Make sure everything is in place before you launch, or if you’re already up and running, then take immediate steps to course correct and ensure a successful business in 2018.