Roughly 20% of small businesses fail within the first year. By five years out, that number hikes up to 50%.
These numbers, of course, do little to deter the hundreds of thousands of new business owners throughout the US. Full of passion for their projects, they dive into their work in hopes of cranking out a successful startup—to the tune of the mixed results above. By the time they look back, they’ll have learned some vital lessons about starting a business, including a few things they wish they knew before starting their company.
If you’re considering your own startup, here are a few things to keep in mind.
Money Will Be Tight
For most entrepreneurs, the biggest concern when it comes to starting a business is the financial aspect—but many still feel unprepared for how tight the money will be. Financial hurdles continue to be one of the biggest reasons new businesses close, so plan wisely.
Your Legal Structure Matters
In the whirlwind of setting up your business, it may seem like your company’s legal structure won’t play a significant role. However, choosing the best setup can help you protect your assets in the long term, and you’ll have different benefits and consequences for each structure. Talk to a business lawyer to help make the decision.
Think Twice Before Acting
You may have heard the old carpenter’s proverb: “measure twice, cut once.” This idea is just as critical when you’re rushing headlong into a new adventure. Reflect on new initiatives before implementing them, especially if you find yourself working on many ideas at once.
Focus on Your Website
In today’s digital world, it’s critical to have a functional and professional website, even if your business also has a brick-and-mortar location. A good website can mean the difference between finding customers and losing out to better-prepared organizations. Consider working with experts for the solutions you need, whether that’s IT services or a high-volume XML to PDF software as needed.
Mentors and Other Business Owners Are Lifesavers
If you want to leap over your early hurdles with fewer headaches, you’ll need to turn to someone who’s run the race before. Mentors can help guide you through the perils of your business’s first days, and it can help to have objective and honest feedback for your decisions. Network with other startup founders in your area to find a good mentor, or opt to cultivate this kind of relationship online.
The First Year Will Be Hard
Many entrepreneurs jump onto the chance to start a business because they want more freedom. Many hope to spend more time with family, more time traveling, and less time doing pointless work for their supervisors. However, the first year of entrepreneurship can be grueling, leaving many new business owners to muddle through the early days until their business is more stable.
Keep These Critical Lessons in Mind
There’s a delicate balance when it comes to running a startup, especially for new business owners desperate for growth. Your first few months and even years as an entrepreneur will be rife with challenges, but if you’re careful, you’ll find that triumphs are just as sure to follow. Keep these tips in mind as you move toward success!
Want more business tips to keep your startup running strong? Our site is packed with helpful guides to let you do just that, so take a look at the rest of our blog for more info.
An author of Namaste UI, published several articles focused on blogging, business, web design & development, e-commerce, finance, health, lifestyle, marketing, social media, SEO, travel.
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