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Top 5 Common Challenges That Many Startups Face Today

Startups are emerging out everywhere these days. Today, startups are mushrooming in the area of the entire marketplace and everywhere, students are even advised in schools and other educational institution to go for startups in the future.

Nowadays, unique stories of startup entrepreneurs and business owners seem to be on the front page of every newspaper and magazine issue, serving as an encouragement for more people to brainstorm and come up with ideas of investing for startups.

People see technological breakthroughs as something that could change the entire world and open people up to more abundant opportunities

The unspoken truth about startups is this: Starting and maintaining one is not that easy as successful entrepreneurs make it look. There are more avenues being made available for startups to emerge and flourish, but there are still some challenges that are not being met. As an enthusiastic startup entrepreneur, you should not feel hesitant to face some time-tested challenges and roadblocks.

Startups face challenges at different stages on their way to meet success. Issues may vary depending on the difficulty encountered in achieving different goals and objectives and the ability of the entrepreneur(s) to manage different issues as they come while going through the avenue of a startup. Startup entrepreneurs make mistakes, depending on the type of startup or group of individuals working together (if any). However, there are some difficulties that are facing startups at the basic level today.

Here is a list of the 5 major challenges that your startup will face and how you handle them will go a long way in determining whether your startup will achieve success or fail:-

  • Funding:

    The big issue comes first. Funding remains one of the biggest problems that emerging startups face. It’s a really dicey issue in the sense that every investor prefers to play safe with their investment. Hence, they usually invest their money in already well established and successful startups. Logical as it is for the investors, it also limits the number of successful startups accessible today.

  • Lack of Innovation:

    The innovation is extremely lacking in entrepreneurs today. When investors and clients find these, they become reluctant to invest as they do not get to see the difference between these new startups and old ones. A major method for attracting funds for a startup is to have at least one new feature; something that makes you stand out from the enumerable number of startups that are related to, or similar yours.

  • Unfeasible Goals:

    It’s always helpful and advantageous to set goals for your startup. Goals give your business a guideline, provide a means of measuring your business’ growth over time, act as a means to assess the success your business and serve as a method of bringing your business against other businesses in your domain.

It is essential that your startup exceeds (or at least meet) your defined objectives when running startups; it shows that you’re on the right track for future successes. However, where most startups get it wrong is the goal-setting part. Most of the times, upcoming startups set goals that are simply unrealistic. For consistency, it is important to set high but controlled and generally attainable goals and objectives, given a level of funding and your infrastructure of meeting those goals.

  • Decision Making:

    This challenge is mostly faced in businesses that have their base on partnership. While partnerships are great as they offer a greater funding base, these businesses are usually made up of owners who come from various backgrounds and who differ from each other in their business orientations. In running a startup, it is essential to be able to make quick decisions especially when the window of time you have to act is very small or when the opportunity that presents itself to you is about to close.

  • Personnel Selection:

    No matter how great your business management skills are as an entrepreneur, you’ll still need a team to work around you. Finding suitable team members can be a challenging affair; you have to select people who have the same passion as you and people who are capable of handling the difficulties that come with the job.

The right personnel will greatly help you; their skills will eventually help in relieving you of some of the work. Choosing the right personnel is a job that must be done with care and impartiality. You should not be having any bias while selecting your team. Your mistake bounces back on your business badly, you must always remember this.

In today’s world, we all are facing challenges in every step of our life. So it is not unlikely that you will face challenges in your startup business also. How you face it and go ahead for achieving success, let that be the biggest challenge in your life.

Key reasons why a startup should go for a Business Consultant

Starting a business and making it a successful game is the dream of many people but a single man team may not handle all the aspect of business when it is in the initial stage. As you need a proper recipe to make yummy food, a professional business consultant is a crucial part of a great successful business in the near future.

With the entry of Startup transformation, various Startup Consulting Firms have flown up the majority of which give complimentary yet fundamental administrations to Startups like organization enrollment, strategy for success achievement, pitch decks, and pledge drive designs. A portion of the presumed ones do offer Strategy and Management Consulting administrations also.

Take a look at the following points to know the benefits of hiring a startup service for your business.

1. Feedback free from bias:

Most startups work with the existing talent, experience; knowledge, and expertise of the business ignore the changes happening outside world. That’s why it can be extremely useful for startups to receive honest and unbiased feedback, and this is where the function of a startup consultant becomes so crucial. Startup consultants can provide a much-required external outlook to the practices and basic model of the startup. The startup will get feedback not only about the concept that is there behind your business but about the details of implementation, organization and other critical matters.

2. Positive advice for management:

Right from initial idea and vision through the upcoming phases and steps of the startup business, the blueprint of your business is just excelling sheets, word documents and Bullet Point presentations on your consultant’s computer. The expertise and advice of startup consultants can be extended to many different areas of your business, and they offer many different consulting services. Many people running startups are comparatively young, who have MBA’s out of top B-schools and have chosen to follow their own enthusiasm rather than working under someone else. The people in charge of running these businesses can thus be expected to be lacking the requisite managerial experience or knowledge to navigate the venture in the correct direction, because of obvious handicaps, like young age and absence of experience. A start-up advisor can give management advice based on their knowledge in leadership, finance, strategy, advertising and growth to a young, relatively inexperienced CEO who is just learning to steer his business through the ups and downs of the business executive word. The client is given insight and gains clarity through working with an experienced professional who has been through the process many times.

3. Drawing a road map:

Planning a strategy is one of the key services provided by startup consultants. Startup consultants assist their customers through assessment, statistics, and strategy. Forming a strategy is the key for any business, but it’s especially the center point for startups. Clients partner with experienced consultants to plan critical steps for their startup business. Most startups don’t have a dependable roadmap or even objectives to begin the venture, hence this remains one of the major constrains for a startup in the beginning. A startup consultant will put make a strategic plan and create a roadmap for your business.

4. Expertise:

A startup advisor brings in the required knowledge and expertise for a business which may be beyond the current expertise of the existing skill of the business. A startup consultant is regarded to be an expert in his field of specialization and has extensive training and understanding of the recent strategies and techniques for moving a business forward. Business growth comprises a number of tasks and processes generally that usually aim to develop and implement growth opportunities within and between organizations and only a professional startup advisor can help you with that.

5. Survey of the business market:

Your startup consultant will meticulously research the market and the area in which you plan to grow your business. Market research is considered one of the key strategic decision-making tools. Market Research information includes but is not limited to data on your customers’ needs, your competitors’ capability limit and trends within the business industry. Professional startup consultants are known for their continuous analysis of the market trends and dynamics which means that they are highly alert to changes and developments in different business sectors and they will advise you of any suitable chances that they come across.

Business consultancy is the practice of providing professional, prudent third-party advice, expertise and support to company managers in order to improve the efficiency of the company. A business consultant can help your business maximize its presence, reputation, and revenue by researching your target markets in detail, opponents of similar business models, and their marketing strategies and take out a succinct report that will prove vital to your future e-commerce business.

Usually, a consultant with a proven track record to accept a business challenge can be hired on the hourly or contractual basis. Consultants are usually brought in to solve an immediate crisis identified in the business, which looks deeper into the symptoms plaguing the business and supports the client in diagnosing the business towards recovery.

With the mushrooming of startup companies, many businesses consultants now offer affordable services for smaller companies so cost may not always be a problem. Business consultants for startups in India prove an immense help to entrepreneurs that have a business idea but don’t have the knowledge, resources or the experience to navigate their concept forward. Business consultants can bring in tremendous benefits for startups when hired for the right reasons.

Startup Formations, one of the best business consultants helping startups and SMEs to accelerate their revenue growth by providing smart management consultation. Contact for any query. We are here to help you 24*7