05 Nov What problems often plague start-ups
What a new start-up business will often face as their biggest problems aren’t those that come from external factors, but ones that originate inside their own business. It’s called the work-life balance and relates to how best to maintain a suitable balance between your professional and personal lives whilst staying on top of your game.
Many of the start-ups that have grown into successful £M companies today have the same stories. Their early days were fraught with excessive work, running back and forth between investors and forsaking sleep and food to the detriment of their health. However, there is a way to navigate this realm and still come out better for it. Here are a few other problems that often plague start-ups.
Location, Location, Location
The brightest of businesses fail to see where they can make the most impact and set up shop where no one will notice them. It’s about gauging what your demographic is and where most people will find and like you. Once you do that, the only thing that’s left to do is work hard. However, if you don’t pay attention to location, you may find your work being ignored or worse, being shut down due to a lack of interest.
No Business Plans
Winging it is not an option in business. It’s a tough world out there and you need to plan out when you’re going to be rolling out your next product, when you’re going to be working on different parts of your projects and when you’re going to be taking a break. That last part is especially important since breaks taken with high frequency can derail many projects. If you chart out time when you can work and play, you’re more likely to succeed than if you don’t. Most importantly, you’re more likely to succeed early.
Lack of Funding
This is well known to be the highest risk to start-ups and what causes a large number of start-ups to fail in their early days. Secure sufficient funding as even if you have the best idea in the world, if you sell it poorly, no one will invest. And if you do not have stable funding, word will travel fast and cause companies to fail. Also, watch out for over funding and overvaluation. It can sometimes make people overconfident and they can overspend what they have only to find out that the work is half done. For this, go back to business planning.
We all hate it when a really great idea is let out of the bag to the outside world and other people patent it so as to not let anyone else take advantage of it. Now thankfully patents naturally expire, but you have to be wary that your product isn’t too similar to someone else’s. Remember, Apple sued Samsung on rounded corners after all.
If you do want to use a patent, you should have permission from the owners.