Tips For Start-ups
There’s a big difference between starting a business, and a ‘start-up’. Starting a business includes creating a new business from scratch or buying into a pre-existing business and making the necessary changes to allow your vision to become reality. However, a ‘start-up’ involves more of an entrepreneurial spirit. It begins with an idea, a whole lot of passion — and generally speaking… not much capital. This is why start-ups commonly rely on venture capitalists and other organisations that are willing to fund the start-up due to their belief in the idea and the promise that they will see the return on their investment.
According to the Harvard Business Review, 75% of start-ups prove unsuccessful. So, with only one quarter making the cut, we thought it was about time to give you some start-up tips to get your business off to a flying start!
Put in the work
Starting a business from scratch is hard work. The workdays are long and you may not get much time off (goodbye weekends!). However, the harder you work at the beginning, the stronger foundations you are likely to build. After all, when it comes to business, you only get out what you put in!
See things from your customer’s eyes
The most successful start-up ideas aren’t based on childhood dreams, they find a niche in the market and cater to customer demand. Filling a hole in the market gives you a much larger scope for success, but it doesn’t stop there. As your business grows, continually look at your products and services from your customer’s eyes. This is a fantastic tool to refine your services and cater to your target market.
Refine your plan
Your initial business plan may have taken you months or even years to create. But it isn’t a one-stop-shop. As your business grows and the market changes, your plan will need to be revisited time and time again, with improvements and adjustments made to ensure you’re staying on track.
Lock in your funding
Unless you have enough funds to allow your ideas to come to life, you may want to consider external funding. We highly advise discussing the legalities of any funding agreements with your legal team to ensure that all agreements are transparent and that you are happy to sign on the dotted line. You may want to opt for ‘silent investors’ to ensure that you remain the sole decision-maker in the company.
Network at every opportunity
You may be working a 7-day week, but never say “no” to a networking opportunity. Word-of-mouth advertising is the most effective advertising tool in history. Why? Because it’s free and it spreads like wildfire (picture your chatty aunt and you’ll know what we mean). Accept the invites, put yourself out there and talk about your business at every opportunity. You never know who is listening, and the domino effect of one successful conversation.
Never stop learning
Many start-ups are founded on an innovative idea. And like all ideas, there are always ways to make them better, faster, more efficient, cheaper, stronger… you get the point. Alongside product and service improvements, it pays to stay involved in your community and continue learning about the market in which you operate. Keeping your finger on the pulse will allow you to make informed decisions when it comes to your business.
Remember, failure isn’t the end
Start-ups can fail. They’ll hit speed bumps and roadblocks, but it doesn’t always mean it’s time to throw in the towel. There is rarely a start-up that soars from day one, which means you’re going to encounter your fair share of challenges along the way. But with the right team of professionals on your side, there’s no limit to what you can achieve.
If you’ve got a fantastic start-up idea and what to weigh up your options, contact us today and book your appointment. At LXD Business Solutions, we know business — and with our extensive contacts in the industry, we’ll be able to guide you through your start-up journey from the very beginning.