26/07/2022
"Do not read if you are not a startup or intending startup"
It's a really long 5-10min read.
80% of startups fold up within the first 18months. This implies that out of every 10 startups around you, 9 are likely to crash and burn.
This could be due to a couple of reasons. since this research was carried out my international organizations, chances are that the extreme limitations peculiar to the Nigerian system wasnโt taken into consideration in the research. This would mean that the situation is worse in Nigeria.
Yet, starting a business has been proven to be a sure route to financial freedom even though it has so many risks.
As an entrepreneur or someone planning to be one, you can drastically reduce your chances of falling within the 9 out of 10 businesses that fold up. Hence, falling into the 10% that will succeed. Itโs possible!
Avoiding the mistakes, Iโve carefully outlined below would greatly increases your chances of success as an entrepreneur.
๐ญ. ๐จ๐ก๐๐๐ฅ๐ฆ๐ง๐๐ก๐๐๐ก๐ ๐ฌ๐ข๐จ๐ฅ ๐ ๐๐ฅ๐๐๐ง ๐๐ก๐ ๐ง๐๐ฅ๐๐๐ง ๐๐จ๐๐๐๐ก๐๐
This is a very common mistake among startups. It happens mostly because many are in a hurry to โjust startโ or perhaps they think money or a good product is everything you need to start a business. is there even a market for that product?
A thorough study of the market you are building for is very important as this will help you in making so many critical decisions.
The market will eat you up each time you make certain wrong decisions, the streets are not friendly, especially to someone who has failed to do his homework.
The only way to avoid this is making sure to do a thorough research about that market.
You should know where the market for your product is. How to access it. What factors affect cash flow and spending in that market. How will the economic situation affect your market? How large is the market? What are the prospects in that market? etc
You must understand your target audience sufficiently, this is the most important part of marketing. There are personal questions about your audience you have be able to specifically answer.
Donโt end up like some student-entrepreneurs I see carrying very expensive perfumes to classrooms to sell to every student. I usually find that very amusing. If they understood that market and their target audience, they wouldnโt be wasting that much energy and time trying to sell to the wrong people.
The trick here is, once you know the right questions to ask, you will get the right answers.
๐ฎ. ๐๐จ๐ฆ๐๐ก๐๐ฆ๐ฆ ๐ฃ๐๐๐ก
It might come as a surprise to you to know that many entrepreneurs go into business without a solid business plan. You might even be on this table.
All they thought to themselves wasโฆ I have this amount, I want to start selling XYZ, I will buy from ABC and sell at EFG. Adiok tutu!
A business plan will help you stay on track in your business and prevent distractions and expenses that wouldnโt help you achieve your business goals.
It doesnโt have to be so overwhelmingly detailed. It just needs to be able to provide a layout upon which you setup your business.
It should contain how much it costs to operate, important skillsets you need to successfully run the business, who will provide them, do you need to hire someone?
You should have plans for your branding and marketing too. These two are the extremely important and pivotal to your growth and sustainability.
Your plan doesnโt have to be so long, it could just be a page but there has to be a plan. If you fail to plan, you plan to fail.
๐ฏ. ๐๐๐ก๐ข๐ฅ๐๐ก๐ ๐ข๐ก๐๐๐ก๐ ๐ ๐๐ฅ๐๐๐ง๐๐ก๐
Well except you just want to make enough money for your daily needs and/or you have no long-term goals or big dreams for that business then you can keep ignoring online marketing.
Online marketing is the cheapest advertisement you can ever get, online marketing is the goldmine youโve been looking for and your ability to harness it properly will see your business succeeding massively.
Physically you cannot be everywhere, thereโs a limit to how far you can reach. but with online marketing you can almost be everywhere and sell to almost anyone.
For starters you need a strong online presence for your business.
since people may not get to have a physical encounter with you, their perception about your business will be totally dependent on how you present yourself online, beginning from the visuals (people see first before they read).
Hence you have to pay serious attention to hiring a good graphics designer for your graphics content. It has to be creative, catchy, functional and consistent with your brand.
The first encounter is visual. If the wrong perception is gotten about your brand at first contact, then subsequent contacts might just be of very little use.
Online marketing is a skill, you might need to hire someone for it. Or invest in yourself and business by paying to learn how to do it. Consider that one of the best investments you will make.
๐ฐ. ๐๐ก๐๐๐๐ค๐จ๐๐ง๐ ๐๐๐ก๐๐ก๐๐๐๐ ๐ฃ๐ฅ๐๐ฃ๐๐ฅ๐๐ง๐๐ข๐ก ๐๐ก๐ ๐ฅ๐๐ฆ๐ข๐จ๐ฅ๐๐๐ฆ
Many entrepreneurs build everything on hope and positivism and end up in ruins and frustration.
Positivity is very good, but it has its place. You should be able to balance realism and optimism.
Sometimes, the problem is that the startup is unable to properly project the expenses that would be necessary to take that business off the ground and running.
Even when you have to start with what you have, there are necessities you canโt simply do without. Like the basic tools. Example a laptop for a developer.
There are also very important things you shouldnโt leave out. Such as branding. The perception you give the public about your brand at the beginning could stick so hard that it becomes difficult to correct. If this impression was the wrong one then it could ruin or be a hindrance to what you are trying to build.
You should be able to cover you spending needs for at least a few months of operation.
๐ฑ. ๐๐๐ก๐ข๐ฅ๐๐ก๐ ๐ง๐๐๐๐ก๐ข๐๐ข๐๐ฌ
Embracing technology and staying on the lookout for technological advancement that will improve your brand experience and help you achieve more in your business will give you an edge over you competitors and help you scale your business.
Modern technology is one of the best things to happen to business over the last few years.
It should be one of your necessary investments and should as a matter of fact be top of that list.
I am not referring to acquiring technological gadgets for showoff, I mean going after innovation that is useful and profitable to your business.
Study blogs and other businesses to see what new technologies are coming through the pipelines.
Knowledge of what is available will help you decide what your business really needs.
It is an information age ladies and gentlemen; certain mistakes are in excusable. In case you are already making one of the above mentioned. I suggest you take a pause; evaluate you position and seek how to get it right.
I look to see you do better than yesterday and achieve more!!!
