What start-up business owners often overlook
There was a record number of new businesses launched during the pandemic, as people were forced to look for new ways to earn an income, and as exciting opportunities/gaps in markets presented themselves to potential entrepreneurs.
To someone who has never run a business before, it may appear overwhelming, the amount of information they need to know in order to avoid pitfalls or problems further down the line.
Whilst it may seem natural in most life situations to ask for help, some new business owners can seem reluctant to admit defeat so early in their entrepreneurial journey and try instead to fathom things out for themselves.
Here are some elements they commonly overlook, misjudge or fail to apply…
Whilst many new business owners happily carry out market research within their defined target audience before launching their product or service, there are just as many who make the leap blindly. They believe their offering will sell, but wait until they’re in business and relying on the income of their enterprise before they find out whether this is true (or not).
You need to know if there is demand for what you provide before you supply it.
Market research does not just concern your customers; if you don’t assess who your competitors are and the market share they hold (and why), you could become unstuck. If customers are happy to buy from your rivals, why would they come to you? You need to study your pricing and that of other people who offer the same thing you do; you need to ascertain your USP and how you can differentiate from them; you need to work out all the hurdles and objections your customer may have/hold that could prevent them parting with their money.
There’s a lot of fact-checking and study to be done prior to launch, if you wish to start a viable business.
Having a plan
Again, there is a proportion of new business owners who allow their business journey to simply play out under its own steam. They make no short- or long-term plans, they don’t create business goals, they don’t spend every day/week working on aspects of their business that could foster growth. They just leave it up to the universe.
This is a very risky, if not lazy, way to run a business, which will stifle any expansion and could even threaten its very existence.
No one is suggesting that you need thousands and thousands of pounds behind you when you start a business—bootstrapping enterprises can still grow, for example, albeit very slowly. Savvy business owners know that you need to speculate to accumulate, and this is absolutely true when it comes to your marketing.
If you scrimp on this aspect, it will take you a long, long time to gain any momentum or notoriety in your market. Having a marketing budget when you start out is hugely important; it will put you on a good footing, upon which you can build a strong, healthy, fruitful company.
There will be many hiccups on your business journey. Ask any successful brand how they got to that point and every single one will detail some challenge or other that they didn’t foresee but which they eventually overcame.
If you’re unable to adapt to issues when they arise, it won’t be long before you’re out of business. To be a successful entrepreneur you need to apply creative thinking and have the ability to go with the flow if your carefully formed plans don’t come to fruition.
These are just a few of the fundamental issues every new business owner needs to overcome or apply on their business journey. Can you think of more? Let us know @in theknowmagazine
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