Sadly, seven out of ten businesses fail within the first ten years! How awful is that?! We at MGA want to change this and see startups thrive.
So, we have put together five things to know when starting a business. These surefire pieces of advice will help you lay a solid foundation for running a successful startup.
5 things to consider before you start a new business
- Find your passion project
By this we mean, pick a business you can build around your passions. You want to start something you're willing to commit to. Think to yourself, 'can I imagine doing this in five years time?'
If you can't, it's probably not worth pursuing. If it doesn't fuel you with excitement, you're probably not going to make it work in the long haul.
- Be prepared to learn
You won't know everything you need straight away. The biggest hiccup you can make is to be so arrogant as to think you'll possess all the knowledge you need. Whether it's learning how to utilize a new social media platform to market your business, or optimizing your website for local SEO, commit to learning about the subject and put it into practice.
In the first few years, you'll learn new lessons, daily. Embrace this. It's the only way you'll improve as an entrepreneur.
- Pick one thing and stick to it
Don't start a million projects without following through. Enthusiastic entrepreneurs tend to suffer from 'shiny object syndrome.' We love to start things without finishing them!
So, write a list of everything you want to achieve and then rank them regarding their importance. Then, gradually work your way through the list.
- Be careful who you work with
Nothing will hinder your success more than working with the wrong people, especially when you're first starting out. If you want to partner with someone, don't just go for a colleague because it's convenient, i.e., they're local, they have the funding, they have the time, etc.
Instead, surround yourself with colleagues you can learn from, someone who will push you to work harder and will help you grow your business and implement your vision.
- Don't undercharge
No, we're not saying to rip your customers off. However, just because you're new to the industry, doesn't mean you have to slash your prices to the bone to make yourself competitive.
Yes, you need to acquire customers to get the ball rolling, but focus on attracting them by providing tons of value. If you start with super low prices, it becomes tricky to raise your prices without cheesing off your following.
Need a hand?
If you are looking for a trusted business partner to help you get your business started on the right foot, we are here for you. We offer a wide variety of advisory and consulting services and can help you work through all the intricate details of forming a new business. From structuring to analysis, we can help you get started.
To read more about how we are consulting with other entrepreneurs and helping them run successful startups, click here.