Will your startup succeed ?
An international organization appraised that there will be more than 10000 startup ventures in upcoming 3 years globally. Many organizations and governments are emphasizing their youth to become an entrepreneur. They try to support as much possible. Consequently, a lot of people are interested in their own startup.
The important question is “Will the startup be successful ?” You may have heard of many startups that have failed. What was the cause? What are the points that increase the success percentage of a startup?
11 Points one must analyze :
1. Need of Service:
If you are thinking of your own business that is a startup, first of all you have to think about your service. A simple market survey is required in order to know the requirement of your service. The service, your startup will provide should have a significant rate of necessity in the market. A service with good requirement rate would easily prevail in the market.
2. Targeted customers:
Once you have analyzed the service requirement, you should think about the customers. Who will be your customers? Customers are divided in to various category like categorization by age group, by profession, by gender etc. You should have statistics of all the category and information that which category of customers will easily and largely accept your service.
3. Market Competition:
Market competition is very important factor for any startup. Before launching a startup, you should know your market rivalry. Also, you should have a blueprint of strategies that will compete with your competitors. Any startup should also analyze the strongest and weakest part of its competitors. It is very challenging work to capture a market where a prevailing brands provide their service.
4. Investment vs Profit:
Before launching a startup company, an entrepreneur should be an actuary. A startup should calculate their investment and the profit generation. A startup company suffers from lack of money. In this situation, they should invest frugally. The important thing in the investment process is that, if the startup will not raise any profit for some time (2-3 months), an entrepreneur should not worry and there would sufficient money to run the startup.
5. Operational Feasibility:
Operational feasibility is important feasibility analysis before launching a startup. Operational feasibility includes many components of a company. To run a company properly, an entrepreneur should take care all types of feasibility. It includes technical feasibility, marketing feasibility, production feasibility, manpower feasibility, logistics feasibility, customer relations and feedback etc.
6. Place of Company:
A good place for a company boosts its sales and reduces investments. Before launching your startup company you should select place of company wisely. The transportation raw materials human power etc. should available easily and cost effective. So that the production would be at minimum cost.
Marketing is very important factor to success a startup. A creative idea of marketing make psychological impact on the customers. Indeed Indian customers are affected due to marketing. So, a startup must design an innovative marketing strategies.
8. Future Scope:
Today’s market is very volatile. The choices of customers and correspondingly service providers changes frequently. To run a startup for a long time, an entrepreneur should not only concern with the present scenario of market and the service. They should have clear scenario of market after 5 years and hence their service. Before launching your service you should make a note that how will change the service with market. What improvements would require in future to the service.
9. How to persist:
A startup company should know that how to persist in the market. There are lots of competitor in the market. Due to rigorous competition profit margin is very low. In all the cases entrepreneur should have to persist. They have proper strategies and planning to tackle off all the stuffs.
10. How to prevail:
For a startup it is difficult to prevail in the market. In fact prevailing in market is a slow process. It depend on many factor. Some of the important factors that should keep in mind is the quality of your service, Price of service and delivery of service.
11. Business Partner:
It is hard to find a right business partner. Be aware and clever in choosing your business partner. A good partner will always make a good contribution to your startup. But selecting a wrong person may ruin your startup.
These all points are fundamentals. Besides these points there might be many others. But these all are must contemplate. You can read about many failure startup. It will make you realize that the mistake that was done by them should not repeat with your own startup.
Feel free for any comment. Suggest if any other important factors.
Image credits: igyaan
Also read Don’t be Scared(Should we be scared?), Factors that are supporting and Find your self (Who are You?)