How to make a startup successful?
10 questions to an expert on extending startup life
Some people compare a startup to raising a child, others to winning the lottery. Either way, it is a responsible job that requires a lot of attention, effort, and also good fortune. That's why entrepreneurs are trying to find their own formula for success, estimate the challenges and rewards of a startup. Certainly, there is no single and correct way of starting a business. Yet there are keys to increasing the chances of a positive outcome.
One of the methods for introducing a product to the market is the constant accumulation of knowledge and experience in the field of business. We invited a specialist to ask the most common questions of entrepreneurs.
Excellent idea = success. Does this formula still miss certain components?
As with creating a startup, we will start from the beginning, with the emergence of an idea. The notion of an "excellent idea" equals success is a common belief but it's not always the case. Although a good idea is definitely a key element of building a successful startup, there are many other aspects that affect the fate of an enterprise:
- Understanding the market is crucial to formulate a feasible business model.
- The capability to pivot and adjust to market conditions and customer demands is vital to long-term achievements.
- Even the most innovative concepts will fail if they're not properly executed. A well-thought-out business plan, effective processes, and a solid team are essential to turn the idea into a profitable business.
- The success of an idea is contingent on the time of its debut in the market. An idea that is far ahead of its time might not be able to find an audience.
- Connections to the industry and resources can provide an advantage. “ - Karamjit notes.
The combination of these components together with a brilliant idea can result in success.
How to set the goal of business existence? Is making money a sufficient goal or does it not guarantee a startup's survival?
It is said that starting a business is not about personal success. For a startup to find a response, you need to solve someone's pain. So let's test this hypothesis.
"Setting clear and achievable objectives for new business is essential to making sure that it succeeds. The goals may differ depending on the kind of organization however, it must be something that is quantifiable as well as achievable and time-bound. A company that offers an excellent product or service that addresses a real demand in the market will be more likely to last and expand.
One of the primary missions of every company is to earn an income. A profitable business is able to invest in its growth, pay its employees, and finance its operations. But, earning a profit must not be the only purpose of a business." - expert says.
How to organize work and track the growth of your startup? How can handy software specially designed for business needs help in this matter?
"Tracking and organizing the progress of a startup isn't easy, but there are many techniques and tools to aid. The most important steps to organize your work and track the growth of your company include:
- Creating a strategy. Making a thorough plan of action that lists the steps required to reach your objectives.
- Establishing a system for keeping track of progress. It could be simple by using spreadsheets, whiteboards, or more sophisticated tools, such as software for managing projects” - Karamjit answers.
The workflow management system is a great solution for organizing a series of tasks. By performing daily activities, the development of a startup will be confident and systematic. The IXORD platform is designed to automate workflows. Set up your processes so that you can see the benefits of your daily efforts with your own eyes.
- “Performance measurement. Continuously evaluate your startup's performance as well as its performance against your objectives. Make use of this information to take decisions and make changes as necessary.
- Delegating and prioritizing tasks. This will enable you to get the most effective utilization of time as well as your resources.” With the IXORD platform, you can easily work in a team. Common tasks are less time-consuming thanks to automation. When a colleague completes a part of the work, you will receive a notification that a new task is available. And then you can prioritize it on the activity board.
- “Avoiding micromanagement. Stepping into the workflow and not being distracted by organizational issues is the key to productivity. When you don't have to spend valuable time searching for last year's report, you can focus on more important things. You should first customize the platform for your startup's needs and then use a convenient system.“
Software for workflow management is a great tool to create a system for monitoring the progress of your project and assigning tasks to members of the team.
What to choose, a conservative method of doing business, or trying to conquer the peaks that progress sets?
The world is constantly moving forward, causing a lot of change. Therefore, many entrepreneurs are interested in the question of whether the great efforts to master such changes are worth taking possible benefits. So, will the industry stand still without using the latest technologies? Or will the conservative method bring the desired result? Karamjit Singh knows what to advise on this issue.
“A cautious approach to business can be advantageous to businesses operating in stable markets and having a reliable client base. This could result in a more predictable and steady income stream. triving to reach the highs of progress may require embracing innovative technologies, trying out new business models, and taking sensible risks. It can be advantageous for companies operating in rapidly changing markets or for those who seek to challenge existing markets.
The decision between these different routes will be determined by the goal of the business and the company's particular requirements. Businesses that are confident in taking risks, possess innovative products or services, and are operating in highly competitive markets may break through the peaks created by advancement. Those operating in a stable environment might prefer an approach more prudent to keep the standard of the game.” - he advises.
If you are not on social networks, you do not exist. Myth or modern reality?
Karamjit draws attention: “This idea is more than a fact. Although social media is an effective tool for increasing brand recognition and reaching out to customers it's not the only option to accomplish this.
There are a variety of methods to promote businesses, including traditional advertising as well as email marketing, content marketing, SEO, and other strategies of digital marketing.
The most effective strategy for a company is to try different channels for marketing and choose the most effective for your audience.”
What character traits can be beneficial in entrepreneurship?
“Risk-taking and leadership are crucial traits for entrepreneurs. It allows to motivate and guide the team, establish a clear vision for their business, and take decisions. It also helps identify opportunities to capitalize even in the face of uncertainty.
Other important character traits for entrepreneurs include:
If the strategy doesn't work, do you throw it in the trash or change the ways of achieving it?
“If a strategy isn't performing, it's recommended to review the situation to determine if the strategy is actually the problem, or if it's the implementation of the strategy which needs to be modified.
If the strategy is not working - It could be time to toss it into the trash and begin again.
If the plan is solid but the execution is not up to scratch - It might be better to modify the method, instead of throwing the strategy away.
If the strategy is great but does not fit in the current situation - It may be necessary to pivot and adapt the strategy.
It's important to realize that no plan works all the time”
If a business appears seemingly out of nowhere, is the entrepreneur just lucky, or is there always a long, not visible path behind the success?
“The success of launching an enterprise could be the result of years of planning, research, and development. Entrepreneurs are known for their long, hard hours and for taking risks. These usually occur in the shadows and aren't visible to other people.
Luck can be a factor of success however, the majority of competitive companies are the result of perseverance, hard work, and the capacity to seize opportunities as they occur.” - he says.
How to overcome failures and collapses? When money and effort are wasted, how to keep working and not give up trying to be an entrepreneur?
Failures in business are an inevitable and sometimes essential aspect of the entrepreneurial process. It's challenging to carry on after a total failure or collapse, but it's crucial to keep in mind that each loss is a chance to grow and learn. Ways to overcome the failure the expert proposes:
“Retrospective on the mistakes. Examine what went wrong, and what could you change.
Let yourself grieve. It's normal to have feelings of despair, sadness, or even anger after failure. Allow yourself to process emotions and accept what happened.
Keep your mind focused and positive about the future. Being an entrepreneur is a thrilling ride, but it's crucial to maintain a positive outlook.
Be open to possibilities that aren't there yet. Sometimes, a negative experience can result in a better and more profitable chance.
Ask for advice from professionals. Look for experts who have been through this, done it, and achieved success.
Remember that failure is an integral part of learning. This enables entrepreneurs to discover mistakes, weaknesses, and improvement areas.”
Is it necessary to attract investments in a startup at the early stages?
“The ability to attract investors in the early stages can benefit the company for many reasons. Investments supply the necessary capital to develop production, market, and sell the service or product, to pay for the initial phase. It may be used to validate the business concept and its potential to succeed. Investors typically have connections that entrepreneurs can draw from and can offer advice and mentoring on how to build a successful business.
It's not always essential to get investors at an early stage and it is contingent on the business's model and the founder's capital and the market's potential.
Getting investment from outside takes significant time and effort in creating a sound business plan and establishing relationships with potential investors. It's crucial to select the most appropriate source of financing, based on goals and the stage of business.”
The main advice from the expert, which will summarize everything said earlier:
“One tip for those who are starting a business is to concentrate on solving a real issue for your clients. Determine a need that the customers could be suffering from and develop solutions that address the issue efficiently. Be prepared to modify and change your business model as you gain knowledge about your clients and the market. Accept feedback from customers and utilize it to enhance your product or service.”