The entrepreneurship wind has totally revolutionized the traditional business trends by introducing a new approach for the innovative minds. The startups that have turned into billion dollar company like Facebook have proven that nothing is impossible. With this agenda, thousands of entrepreneurs jump into the battlefield with the aim to conquer the market. However in the race to get successful only few are able to touch the finish line, while most fall down during the run. There is no doubt that anyone can be entrepreneur but starting something doesn’t ensure that you gonna achieve your goals.
Most of the startups fails to make it big in spite of having talent and potential due to making some common mistakes. After analyzing hundreds of startup that fails during their journey to success we have listed down top 5 mistakes that you should avoid to ensure your startup’s future.
1.Not understanding the market need
The most common mistake that most of the failed startups did was not digging deep into the market need. The customers or consumers will be willing to pay only when you are solving any of their problems and this requires you know first what they need. The most of the startups keep investing in their service without knowing that how much of the audience actually need it.
2.No more fund
The second most startup killing reason is the running out of cash, which almost every failed startup faced. In order to survive and grow, the startups need to raise funding from the investors. This investment helps the startups to acquire more resources and multiply their productivity. However not taking part in big funding rounds or unable to convince the investors eventually makes the startups to put a lock on their idea.
3.Not having the right team
The founding team or people aren’t able to run a startup on their own for long. Eventually, the startup needs a bigger team to grow and increase productivity but hiring the right people is not an easy task. The other mistakes that a lot of startups made was not hiring a perfect team for their business. While hiring people looking only for the skills or capabilities is the amjor reason tp sucl with the wrong people. Along with the required skills the startups also need to seek compatibility, likewise mindset and sharing enthusiasm among the applicants.
4.User-Unfriendly Product Or Attributes
The competition in the market is tougher than ever and the technology has given the opportunity to everyone for competing. This requires every startup to make their service or product so much simple that a major portion of the targeted users is able to avail it without any hassle. However, to outrun the competitions most of the startups overlook the product’s simplicity and end up making their product to hard to understand. Making the product complicated for the user is one of the biggest mistakes of the startups that led them towards failure.
Having a unique idea and making one in a billion product with all required functionalities is not enough until you are unable to put it in the user’s hand. Knowing the target consumers and having an effective market plan to penetrate the audience brings the maximum number of leads. The market is stuffed with competitors everywhere, every startup needs to have an expert created marketing strategies for promoting their product. Having less knowledge about the latest marketing techniques and poor marketing activities is the reason for most of the startup’s death.
The above-mentioned reasons are among the top most answers to ‘why most of the startups fail?. If you want your startup to turn into a successful organization in the future than you need to make sure that you avoid these top five mistakes done by most of the startups.