Most people hate failure. Correct me if I am wrong. Unbelievably, even you are one of them. However, we are not.
We have had many successes and failures coming our way. Nevertheless, we did not just run away from our failures. Instead, we saw them as our useful learning experiences. Since the time we have started knowing how to overcome failures, we help startups not just to avoid failures but also move on to the next stage with ease saving a lot on time, money, efforts, and resources.
As per our own experiences, and what we have seen our clients go through, we have concluded these 9 major factors where every single startup falter:
1. Many think in a wrong direction
In most cases, entrepreneurs get their focus so much engrossed in their own vision that they actually lose the broader way of seeing things. They do not visualize pros or cons from a third person perspective. The best way to involve a third person mindset is to involve a professional company like us who can help you out tackling with all minor as well as major problems through our years of experience.
2. The concept does not focus on major issues
Nearly for every single problem, there is a solution. With more and more solutions coming into play, the technological world has took a giant leap. This has made the market even more complex and given room to bigger problems. This has resulted in need for bigger solutions rather than focusing on day-to-day minor problems. Solutions solving problems on minor level cannot be expected to live long.
3. No money to spend out of pocket
Bootstrapping is a process that requires many cash to be invested. If the companies falter here, may be due to poor burnout rate, delay in funding, improper planning, or wrong allocation of budget, they have no cash to spend for upcoming stages, because their budget has already been used up.
4. Ideas invented not leading to complete products
It is always wonderful to see new ideas coming up but what’s the use if customers can’t get a physical feel or if they are not able to utilize the idea. Only conceptualizing ideas, is just not enough. Implement it further into products that can prove to be useful for end-users in terms of usability or entertainment.
5. A strategy full of loopholes with major gaps to be filled
Sometimes a startup can take all big things into consideration but neglect small things to fulfill. Almost all major hurdles are forecasted in advance. However, what about the minor ones? These small hurdles can such as infrastructure routine expenses, resources availability, selecting the most affordable option, and so on, can turn out to be big in long run, if neglected.
6. Lack of a professional team
Founders along with the professional team members do not get along well, in case if initial strategy does not work out. Everything falls flat if a highly qualified team is not in place, with team members not working in cohesion with each other. It takes a lot of co-operation, commitment, dedication, knowledge expertise, to put things together for a common purpose.
7. Neglecting the capacities of existing competitors
Underestimating the existing competition could be fatal. You might enter an industry thinking it has far less competitors or may be the competitors are not that much capable enough to give a fight. However, it could be the biggest blunder that you can make because your competition might be quite overwhelming than you expected. Whether small or big, less or more, never be judgmental regarding what you are up against.
8. Can’t handle the uncertainties arising in the market
Every market is uncertain with ups and downs showing up unexpectedly. Startups are not aware of the movement of the trends and so they fail in the trap of moving in a right direction. Only a professional company can handle things in a completely different manner that makes situations sailable.
9. Bad advice is the one ruining up everything
Following the wrong advice from wrong people can destroy all your aspirations in just one shot. With entrepreneurship being one of the most talked about subjects all over the web, it is evident that you can come across both good and bad advices. You might be surprised to know that Internet is filled with loads of bad advices from unqualified sources. That means there is a high probability that you could mix up right advices with the wrong ones. Only someone like us having years of industry presence could identify what could be best for you and what is not.
Being a startup, you might have started thinking after reading all this. Are there any solutions to avoid these 9 pitfalls in startup? Well yes it is. Just go through our article on “how startups can be successful?” to get answers to all your questions.