How to be sure that you are doing just the right things to run your start-up?
If you want to grow a tree you need to have patience, but to grow a grass all you need is persistence. However, these both qualities come in handy when you are trying to run your own start-up.
Running a start-up is perilous especially when you are a functioning in such a dynamic and competitive environment. Many beginners and start-up co-founders are often lost, lack of proper planning, lack of apt resources and guidance which often obscures the start-ups and results in failures.
Well, but how does one know that they are doing just the right things to run a successful start-up?
Even as per the recent study of the “ Entrepreneurial India” which was conducted by the IBM Business Value and Oxford economics, 90% of the Indian start-ups fail due to lack of innovation, though India now has the third largest ecosystem for start-ups. They are continuously failing, so keeping a check on your operations is a must!
If you are confused as to what are the things that will give surety if your start-up is in the right path on the dicey way to success? Then here are the few things which work as a check list to the upcoming start-ups to know that if they are in the right direction.
- A clear vision statement
Success is a very subjective concept, do not have a vague impression about it, make sure your vision statement is objective and there is an appropriate and relative mission statement that is complementary.
Working towards success is much easier if your goals are clear and there is an action plan for it. So if you have a clear vision statement and you are making all efforts to head towards it, you are doing it right.
- Be adaptive
In the dynamic business environment where customer preferences change like a coming tide, one must understand that only change is constant.
One cannot function with efficiency if they are rigid, being adaptive is very important, understanding that plans change as per situation is foremost.
- Funding and usage of resources.
Start-ups who have successfully raised funds from the venture capitalists now have to understand that though this is very beneficial this is no proof of success. Making optimum utilization of the capital resources and effectively using them is a must.
Take the funds which are fitting do not go overboard with it, if you are a start-up co-founder who has successfully raised funds to make sure you draw a map to navigate your way to success.
As no man can live on an island alone, no start-up can survive without having networks, networking is similar to word of mouth promotion about your start-up’s product/service.
Other than promotion, one can also learn different and new things from every other start-up, break the traditional way and learn new and strategic things, implement them in your daily routines and analyse the repercussions.
- Back up your wits with realistic data
Investors and potential partners are looking for real data, keeping yourself updated with the real time data is a must, as the customer preferences are now dynamic. Surveys, questionnaires and focus groups are a good way to do so.
They give you an edge over benefit as you are well aware of the current market situations and can even implement the changes and perform much better than your competitors. So being a start-up if you are constantly surveying your potential audience, you are heading towards the right path.
Recruiting the right staff for a start-up is quite decisive, as they are though not the co-founders but they do work as a founding member of the companies.
If your employee’s goals and vision matches the company’s then you both are heading in the right direction, often start-ups either over staff their company to make sure there is someone for every tiny work or they over burden their limited staff, well in both the cases they will be making losses, choosing the right staff though is challenging, it is very important as well.
- Be a leader
There is a huge difference between a leader and an employer, treat all your resources as valuables, assuming that one need not work as they have the staff for it, is wrong, though a major part of the co-founders work is to take managerial decision, he should also work on the tiniest profiles of his own company.
- Your Promotions are done right
All the start-ups can now easily promote themselves at a cheaper cost using the digital media and social media handles like twitter, instagram and Facebook, one does know that they are really doing well if they are getting “Word of mouth” promotion. It means that they are been referred to others by their customers itself, but for this a start-up has to develop something more than core value to the product, adding an intrinsic value to the product and few frills will help you be in the spotlight.
- Timely targets
Though vision and mission statements are the final goals of a start-up, if you are keeping realistic targets time and time again and trying to reach them. Then the start-up is definitely heading in the right direction, it is not about achieving all the single target the start-up has kept, it is about being motivated enough throughout and trying to strive for a benchmark.
- Is your start-up customer centric or investor centric?
Often the start-ups lose their focus point, ideally, their key focus should be on business development and their target audiences, but many a time the start-ups focus their full energy on raising funds. Getting an investor on board should not be the target of your company. Having a larger market share is much more important than having someone fund your company?
So if you are a start-up are have been continuously working on better delivery of your product or service to the customers then you are definitely heading in the right direction.
Start-up’s journey is quite dicey and very challenging, however, it is one of the reasons it is exploratory and more teaching than a normal job.
“You have to stay in school. You have to. You have to go to college. You have to get your degree. Because that’s the one thing people can’t take away from you is your education. And it is worth the investment” – Michelle Obama
But one has to understand that investing your dear resource of time in a start-up has to be done in a right way, otherwise there are elevated chances of failure.
If you are a start up co-founder and had have been following all the things from the above checklist, then hats off you are likely to make success in the foreseen time.