That is always useful to be optimistic when you got lost in the foreign city or dark forest. If you went to exam or applied for a new job. However, when you think about startups you have to always be not optimistic but realistic.
Pay attention to every little thing connected somehow with your project. Count all your expenses. Accurately choose the place for your building. Create the most attractive logo ever. Carefully choose the most effective and cheap advertising method and utilities. After all these you will have the bails of a successful startup. However, we all know that the conception of any business is fully created of risks. Ones of the main risks of businesses are the unexpected changes, force-majeure. That is why, even a startup with all of these points within might fail in some point.
Let us move to that well-known cliché:
“You must learn from the mistakes of others. You can’t possible live long enough to make them all yourself”.
I know that you already heard it thousand times while growing up. You are literally tired of hearing this phrase. Despite the mentioned fact, this phrase cannot even pretend to be any other thing but cliché. If googling it to find out the real owner, you would come up with lots of answers. From Groucho Marx to Eleanor Roosevelt, many people said it over millions of times. However, I would certainly suggest you to believe in this cliché. Especially, believe in it while reading this article. This is about 9 mistakes you would rather escape for your startup.
1. Starting with Wrong Purpose
Would you like to know a simple life-hack for knowing if one started his business with wrong purpose? Just ask why he ran a start-up. If the answer would be a sentence long, then probably you talk with the unsuccessful businessman/woman. A sentence. That is what really matters.
“The main goal of mine was becoming rich.”
“I was so sick and tired of my boss. I decided to open my own restaurant because I have enough collected money and I know how to cook.”
Everyone wants to be rich or at least to be able to satisfy their main needs. However, creating a business around this idea would become a terrible startup. Talented person could be talented in any sphere. However, specialist would rather not overestimate himself and frequently witch their profession to another one. They would rather have enough time to gain all the required skills for becoming double specialized.
Always remember that even these people are a step closer to success. The others do not do anything but daily dreaming about a successful startup. Do not get lost in your mind. Just keep a positive mindset. Try to be much more realistic and try one more time to answer that simple question – Why?
2. Miscounted Necessary Capital
This might seem a nonrealistic fact but oftentimes people overestimate the thickness of their wallet. They spend lots of money on pointless advertisements for unknown startup or design of it. Eventually, they come up with no results but empty bank accounts that become the main signs of failed startups.
Thus, one of the main actions you should go through while running a startup is counting every single expense. You would rather make sure that you have enough money for a successful startup. And also to keep business working for the beginning two years. Regardless, never forget about this fact. You can create yourself gigantic discounts for your startup by knowing some useful clues about the internet tools. For instance, if you need a cheap and one-time payment but constant using advertisement for your startup you can create one by using the latest inventions of the IT sphere – popups. What you would do is just putting some popups on your web-page. Afterwards, observe how quickly your brand becomes a best-seller for startup in the market.
3. A Not Clear Business Plan
While writing a business plan sometimes people run into unrealistic factors that seem unique and innovatory for them. Often writing about the most creative ways might become into an essay of the fantasy genre that is never possible to include in a startup. And this usually becomes the first reason of making a not clear business plan.
The advice is as obvious as the problem, you would always look for realistic features of the context of your business plan comparing it to your capital and trying to guess if it is possible to run this kind of startup.
The second issue is connected with the word – tautology. I am sure it is not too strange word and we all know how to escape the existence of tautology in our texts but sometimes it becomes too hard to explain a startup with certain word in the straightest way. That is how we get lots of pages including sentences of a paragraph long.
The solution to this issue is concentrating on developing the writing and critical thinking skills and of course on the conciliation of all this stuff. You better just remember that a good business plan can be even one-page long.
4. Ineffective Management and Poor Leadership
It is essential to always keep that gold medium of any concept of the business. For startups this clue has a much more important role because the startup creates the basis. One of those necessary skills are the management and leadership. If talking about management startup runners usually mismanage using all the resources of the industry of their choice and eventually remaining with nothing but hopes for a great future.
The advices are doing a little research to remind yourself about the limitedness of the resources that you use and of course trying your best to manage the most important resource – time.
Leadership is the main clue of successful work. Especially, if we talk about teamwork, group thinking and startups. If there would be the best specialist in the team and no leader, they would show the same results as the freshmen on their first teamwork in the class. It is worth to mention that leaders should perfectly know all the requirements and opportunities of theirs to not become a humble and ineffective ones or dominant and aggressive ones.
The advice is becoming the leader of your startup group, yourself! Whether finding the best person for this title.