There’s no getting away from the fact that for every ten startups launched, five will fail within the first year. That’s a downright terrifying statistic if you are a new business owner, isn’t it? It basically says that you have a 50% chance of failure, which most probably isn’t what you want to hear. The good news is that it is possible to survive as a startup because every year half of all new startups do succeed. The question is, how do the successful startups do it? What do they all have in common? Below we’ve outlined four things that all successful startups seem to have in common.
1. A solid business plan
Business plans are an essential tool for launching and running a successful business. This is because business plans are what allow you to determine what you need to do to meet your goals, they also encourage you to define your goals. Running a business without a business plan is like attempting to sail a ship without taking sailing lessons – you might be able to stay afloat but it will be a rocky ride and will most probably end with a sinking ship. The fact is that if you are serious about being successful, a business plan is crucial.
2. A carefully constructed budget
Did you know that the most common reason that startups fail is because of money, or a lack of it? The fact is that the majority of all failed businesses fail is because of a lack of funds. So if you want to ensure that your business succeeds, it’s important to have a carefully constructed budget in place. Otherwise, your chances of failure are much higher. What it’s also important to do is make an effort to cut costs wherever possible, such as when it comes to your phone system that is in place. By opting to a cloud-based phone system, like Hosted PBX Solutions, you can cut costs and save money. There are various other ways that you can cut costs and make your money go further, that’s just one example.
3. An understanding of the importance of networking
All the most successful entrepreneurs have a clear understanding of the importance of networking. They understand that when it comes to business success, most of the time it’s not about what you know but about who you know. That’s why attending regular networking events within your sector is so important, to help you build a brand that is strong and well known, making success more likely.
4. An effective marketing plan
You could have the most amazing product or services, but if no one knows about what you are offering, then you have little chance of success. That’s why having an effective marketing plan in place that advertises your products and services properly is so important. Because if you don’t have a marketing plan in place that works well, it will impact how successful your brand is.
There you have it, a guide to the four things that all successful startups seem to have in common.