Did you know that 44% of startups fail to make it past the four-year mark?
If you’re thinking about launching a startup, a stat like that can be very intimidating. That said, there are some things you can do to extend the life of your startup so that it doesn’t crash and burn.
Below you’ll discover three key factors that drive the growth of the most successful startups in the world. With the help of these tips, you should be able to create a company that’s built to last.
1. Don’t Forget to Pivot
If you want your startup to be successful, you should be open to ‘pivoting‘ if your current approach is yielding lackluster results.
Pivoting essentially means that you change the nature of your business.
This could mean that you cater to a different market, or that you change your product so that it performs a different function.
Pivoting is more of an art than a science, and it’s hard to say when you should pivot.
Pay attention to the feedback you’re getting from your customers. If they tell you they like a certain feature of your product, it might be worth pivoting your business so that you focus on that specific feature.
Or, if customers tell you that they need a particular service, you might pivot your business so that you can provide the service in question.
2. Learn How to Run a Business
You may have a brilliant startup idea, but it will count for nothing if you don’t know how to run a business.
At the most basic level, you need to know which approach is best when creating a legal entity that represents your business.
Generally, this comes down to choosing between setting up an S Corp or an LLC. If you’re not sure which approach is best, think about speaking to a lawyer.
You’ll also need to learn how you can manage the accounting side of your business. If you think you might struggle with this, consider hiring an accountant so that you can avoid errors that might get you into trouble.
3. Look After Yourself
Running a startup is stressful, and the entire process can put a significant strain on your physical and mental health.
It’s important you’re aware of this so that you can take care of yourself and avoid burnout.
One way you could do this is by setting strict hours in regards to when you work on the business. You might even want to start meditating so that you’re better able to manage stress and anxiety.
The Importance of Studying Successful Startups
If you want your startup to succeed, it’s vital that you study successful startups.
To begin with, this means that you should learn from established companies in your industry. As your business grows, though, learning from other industries is the better option as there’s so much knowledge on offer.
In any case, there’s nothing you can do to guarantee the success of your startup. However, as long as you keep learning from the best, you should be able to tip the odds in your favor.
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