Recently I read an article, Spectacular Failures, where politician Robert F. Kennedysays anyone can achieve their goals,even if the person fails at the start.
So why not take preventative measures to avoid failure in the first place? Founders do not need to expect failures which is a terrible concept!
So, as a young entrepreneur, I need to keep these critical points in mind to plan a route to success.
- Thinkfor a Purpose!
As a startup business entrepreneur, I would prefer to huddle all the necessary information to become successful or face some shortcomings. It is all about thinking with a purpose. When you sit down in a quiet location and consider what you are doing, where your actions have led you, where you want to go, whom you will need to be to get there, what could go wrong, what could go well.
The wealthiest individuals take time to reflect.
As an entrepreneur, it is always beneficial to think, plan, schedule, and measure own success.
It is wisely said that when measure gets better. How can I expect to improve if I do not measure my results regularly? After all, I have nothing to show for my efforts, I will eventually be measured, either by others or by myself – the option is mine.
In 2019, according to a survey, about 90% of startups failed. Research shows 21.5% of startups fail in the first year, 30% in the second year, 50% in the fifth year, and 70% in their 10th year. (Source:https://www.investopedia.com/articles/personal-finance/040915/how-many-startups-fail-and-why.asp)
- Figure out Company’s Objectives.
Setting long-term goals assists you in determining what success means to you. Putting your thoughts on paper can sometimes help you outline a vision for your business and show you precisely what you need to do to get there.
Set these goals by sitting down with your business plan and considering your business goals. Where do you see your company in each stage? Is there a common thread running through these objectives? Write your success vision for each time and revisit the plan every year to see how your aim has changed.
(Source: https://www.businessnewsdaily.com/4161-definition-business-success.html )
- Customers Feedback on your Product.
The only way to find out what works for your customers and keeps them coming back is to test and tweak your current products and services. Even when everything is going well, start thinking about how you can improve what you are doing.Feedback on a product is essential in any business.
Markets are developing, and what your clients and customers like about you today may not be as appealing in six months. Undoubtedly, it is your job to predict your customers’ needs.
According to a survey, 34% of a business fail because of their product not fit in the market. (Source: https://www.failory.com/blog/startup-failure-rate)
So, we should keep in mind that if the product is not gaining attention, should it need to be revised? Inevitably, as an entrepreneur,everyone can do it by making few changes to compete in the market.
- Plan for Recovery!
After you have determined that you have nothing to go back to, plan for recovery! Plan B, you can implement the moment you hit one of your predetermined speed bumps. Life is full of consequences. We may not get the result that we are expecting. The circumstances and external factors always play a vital role in supporting any business. Many external factors cause trouble for our business, like the worst political conditions of a country or a natural calamity that significantly impacts the economy.
In business, if you lose customers, then you will be required to run off a portion of your successful product. Always keep a Plan B if, desire to compete in the business successfully.
(Source: https://www.themuse.com/advice/dear-everyone-stop-saying-failure-is-necessary-for-success)
- Teamwork Makes the Dreams Come True.
For running a business, it is helpful to have someone discuss both the successes and the challenges. That is why start a business with someone else. A co-founder might be crucial in building a team to the success of your company.
Things which I must keep in mind is to select the staff wisely. Do not make decisions in a hurry. Keep in mind that every individual is countable. Every person has a choice. No matter how many I hire. Our aim and vision should be the same. We should make all decisions only for the sake of the business.
According to a survey, happy employees give 31% higher productivity. Studies show that they are 37% better at selling and provide three times more creativity. (Source:https://blog.smarp.com/top-15-employee-motivation-tips-and-benefits)
- Minimal Guidance Gives Us Minimum Results
Never let you stop finding someone who can teach you! The first step, especially at the startup phase, is to discover people who can answer your questions or, at the very least, help you figure out what they are. Professional advisors, such as your lawyer and accountant, can help you learn a lot about your company. They can assist you in improving your planning and management skills if you heed their advice.
- A Mindset can Change your Life.
Now I am curious, how do I shift my mindset to achieve success?
Fortunately, if you understand how your mind works and what you can do to change a negative way of thinking, you can change your mindset and improve it for success.
It is only a change of mind that changes the entire game of life. It is a mindset that if I face a hurdle, I overcome it by the decisions of others.
- Learn From the Experiences of Others.
You can gain from other entrepreneurs’ experience by networking and talking with them. Researching, finding solutions, hiring, and identifying opportunities are all part of networking. Organizations that provide a strong network of entrepreneurs and managers from whom you may seek guidance and support can benefit. Clubs, associations, and conventions are good places to start because they provide an excellent opportunity for sharing experiences.
But the thing we can do is to learn the lesson from other’s experiences. It can minimize the chance of facing difficulties. Those experiences that if I tell others, will knock on the door of success earlier.
- When to Jump out From the Business?
If you consistently miss the break-even point date (ideally, there should only be one), it is time to reconsider your business strategy. If you have given everything you have got and tried everything you can, it might be time to call it quits!
Be sure you are on top of your financial indicators, so it does not startle you when you do not have enough cash flow to survive while bringing in sales.
You are in trouble if your firm has been up and operating for years, but you do not have a positive cash flow or enough savings to last longer than three months. Every business should keep at least six months’ worth of cash on hand, although the quantity should be lower if you are starting.
(Source: http://home.ubalt.edu/ntsbarsh/business-stat/opre504.htm)
You must fully know every up and down in a business. With complete knowledge of information, facts give an improvement in decision making. If I see that my companyhas a continuous downfall, it would be better to jump out before it is too late. Keep aside all the emotional values and switch the mode. Why I take this step? Because if I do not windup the business at the right time. I must face unbearable loss.
Final Thoughts
Summing up all these facts and figures, we can easily understand that we should change our perspective of success. Remove the word failure from our dictionary can lead us to the door of continuous success and lifetime achievements. It is the responsibility of our mentors or motivators also to show positiveness in life.
These mentors have so much impact on a business. I found out that 71% of Fortune 500 companies have mentoring programs, out of which 97% say mentors are valuable. Unluckily only 37% of professionals have a mentor. (Source: https://www.guider-ai.com/blog/mentoring-statistics-the-research-you-need-to-know)
So, if you want to start your own business, do not be discouraged by the words that failure is necessary for success. After all, if you have failed before, you are more likely to succeed than if you have never tried!
