Due to limited entrepreneurial or business experience, many start-ups experience failure in their first year. External factors beyond your control and a lack of overall experience can cause your business to collapse. However, the question is — how do you prevent failure?
1. Setting a foundation- A common problem in many startups are weak management teams. Managers are the lifeblood of a company. Some of the mistakes that can be avoided by managers are:
- Conducting a market analysis around consumer behavior and the need for a specific service or product.
- Not underestimating the need for marketing investment. A start-up will require various platforms to amplify brand awareness and increase brand knowledge.
2. Running out of funding: A second major reason that startups struggle is because they run out of funds. CEO’s of company’s must have sound knowledge on the financial health of the organisation. Wrongly allocating cash reserves could prevent your company from reaching significant milestones. Finances are also there for reinvestment; sufficient profits need to be reinvested to see a business stay afloat.
3. Work with other entrepreneurs. Networking plays a vital role in individuals and businesses survival. Therefore, startups should expose themselves to more entrepreneurs. Ways to expose your company are; social events, social media, or simply introduce your company to other business owners. The office building you chose to operate in can also have a direct effect on your long-term business survival plans.
4. Personal time off. As a new business owner, the extreme pressures and stress can result in an eventual burn-out. Taking regular breaks to recollect your thoughts and mind towards yourself at the end of every day is essential. The mental state of many business owners is crucial to a company’s survival. Well-rested minds make informed decisions that can generate long term revenue streams for a sustainable startup.
5. Finding affordable office space. Your new office should be in a well-developed area, which is close to your prospects and close to essentials amenities. At Infinity Properties we have several businesses from various industries who occupy our office spaces. Infinity Properties allows young entrepreneurs the access to other businesses, presenting opportunities to partner efforts in creating sustainable business futures.
Infinity Properties has entrepreneurs’ interests as a high priority on their rental fulfilment needs. We understand the pressures that startups face and therefore, we are offering a deal you cannot refuse… When entering a rental agreement with Infinity Property, you will have financial ease to focus on your startup efforts. Our rental agreement only requires full rental payments from the 5th month of your occupancy. Now you have the option of occupying a professional space yet using the rental savings towards other business initiatives. Contact Infinity Properties or visit our website to view our affordable rental spaces infinityproperties.co.za/