Launching a business comes with many challenges, and while some of them are easy to overcome, others can mean failure for your company. If you do not believe us, just ask the 25% of businesses that failed in their first year, or the 71% of businesses that experienced the same after 10 years of existence. The major causes of their failure (46%) usually happen due to the lack of competency and planning. Most of these causes can be prevented by entrepreneurs who know what they are doing and how they should be doing it. So, if you want to run a successful company, here are a few tips to live by.
Know why you’re getting into it
Many entrepreneurs get into the business just for the sake of it. Their primary goal is to “be their own boss” and achieve success, regardless of its true meaning. There are also those whose primary goal is to earn money. Although there is nothing wrong with that, money is not a thing that will keep you excited about the business, especially not when the rainy days come, and in the business world, rainy days always come. If you are getting into a business, do it because you are good at something or you want to make a difference.
Be passionate about it
This means that you need to be really passionate about the industry in which you want to work. The excitement and the interest you have in a specific field will push your company forward, help you cope with the hard days we mentioned, inspire the people working for you and draw investors and partners.
Don’t rush into it
So, you have a great business idea? Seems like the perfect moment to quit your job, take a bank loan and take out a mortgage on your house, right? Wrong. If you have a flexible-hours job, you can still manage to work and earn money while you are establishing your company or maybe you're starting a new business on a limited budget - called bootstrap business.
But before you get to the establishing part, you should take some time and hire a market research firm, and test the interest for your product and/or service.
Organization is everything
When you get over the initial obstacles, you need to start running your business efficiently. The foundation for that is proper organization, which includes dividing your staff into teams and establishing hierarchy, getting your money in order (expenses, revenues, taxes, etc.), having a clutter-free office and a clear and simple labeling system. For the last one, you will need great tools for identification and labeling, such as the ones offered by DymoOnline – excellent for labeling anything from files to toolboxes.
Think about branding (but not only your business)
Branding is not only a buzzword. It is something that can make or break your business. Think about what your company stands for and how you can give it a face and voice. However, your company isn’t the only thing that needs a story – you, as an entrepreneur should have it too. How did you get there? What is the most important thing for you (idea, creativity, imagination, risk-taking, local community, etc.)? What are you trying to achieve?
Find a balance between the professional and casual behavior
Many new entrepreneurs include their friends, family members and previous acquaintances into their workforce. Although it is fantastic to work with people you know and love, you need to keep a certain level of professionalism and hierarchy within your organization. This doesn’t mean that you should cut the ties outside the workplace. Also, avoid being too uptight in the office. That goes for everything from the dress code to the communication with your employees. Try to find the perfect balance between professionalism and informality.
In a world where entrepreneurs rise and fall every day, it is imperative to remain focused on your goal and give your maximum effort from the day one. Let your passion guide you, but don’t put your knowledge aside and rely only on your employees and HR management. Learn from every mistake, and reward every success.