SOURCE: ADOTAS

A start­up is a rel­a­tive­ly new com­pa­ny that is still in a phase of devel­op­ing. Gen­er­al­ly, star­tups are small and are financed by one or more peo­ple that are also work­ing in a start­up com­pa­ny. Often, these types of com­pa­nies offer some­thing new on the mar­ket. The star­tups are try­ing to get out there and reach a cer­tain lev­el of brand aware­ness.

Being in the start­up phase can be very excit­ing for the com­pa­ny and every­body involved in it. Feel­ing the mag­ic of cre­at­ing some­thing new and over­com­ing all the prob­lems that you might encounter along the way is what make it worth. How­ev­er, lead­ing a start­up has its chal­lenges as well. It can be a very frus­trat­ing and stress­ful time, and some days it might feel like you’re not mov­ing from a dead spot. That is why doing your research on things that you need to know before you jump into the start­up are­na can be of great impor­tance for the suc­cess of your com­pa­ny.

1. You will not get money easily

When it comes to star­tups, peo­ple tend to not be so keen on giv­ing their mon­ey. That’s the prob­lem with the investors. When it comes to banks and oth­er types of finan­cial insti­tu­tions, they are too often very reluc­tant when it comes to giv­ing out loans to star­tups. The fact that there are not many types of busi­ness grants out there and that very few of them are open for star­tups means that you might not get the finan­cial sup­port for your start­up very eas­i­ly.

That is why you should con­sid­er an incu­ba­tor pro­gram where you will have access to mon­ey so you can test your idea for a start­up. How­ev­er, these types of pro­grams will require the star­tups to give up a part of the equi­ty. Anoth­er pos­si­ble option is gov­ern­ment fund­ing pro­grams that might be the safest path to make your start­up suc­ceed.

You will not get money easily

2. Don’t be afraid to be picky

It’s okay to say no to some invest­ment oppor­tu­ni­ties if you feel like the con­di­tions that they’re offer­ing you are not fair to your start­up idea. Expect the investors to nego­ti­ate the terms with you very pas­sion­ate­ly, but keep in mind your expec­ta­tions for your busi­ness. Make sure that you do much research and you bench­mark your start­up idea against glob­al aver­ages to be able to get a fair offer from the investors. Every­thing may look okay with the offer and the oblig­a­tions, and then when the nego­ti­a­tions hap­pen you real­ize that the investors have an idea about your start­up that is a lot less worth than yours. In cas­es like these, don’t be afraid to say no, and to do it over and over again until you find some­thing that is fair. Some­times, even com­bin­ing mul­ti­ple fund­ing sources can be the right deci­sion.

3. Don’t try to be a superhuman

When start­ing a busi­ness, you’re most like­ly to be in charge of many things that you might not be an expert on. Try­ing to save up mon­ey and play­ing all the dif­fer­ent roles in your start­up can both be exhaust­ing and impact the suc­cess of the start­up. Instead, bring in staff that will be your sup­port like accoun­tants, recep­tion­ist, social media man­agers, and any oth­er types of spe­cial­ists need­ed for your par­tic­u­lar start­up. This way, you can focus on the essen­tial parts of devel­op­ing your busi­ness, and keep your men­tal health intact.

4. Don’t be afraid of adapting to changes

Even though you might have a great idea that you want to hold on to, some­times the cir­cum­stances can dic­tate anoth­er thing. Being open to adapt­ing to changes can be the cru­cial thing in the suc­cess or fail­ure of your start­up. If you are stub­born and you are stick­ing to your idea, the chances that the busi­ness will fail are increas­ing. Know how to detox the weak ele­ments of your thoughts. The idea on its own is not enough, how you devel­op it and mar­ket it can make a whole dif­fer­ence in whether you suc­ceed.

5. Set it up right

If you’re doing it, do it the right way. Make sure you set it up legal­ly, so the start­up is reg­is­tered with all the nec­es­sary doc­u­men­ta­tion. Re-check that your busi­ness is okay with all the reg­u­la­tions and tax­es from the gov­ern­ment. Get the prop­er insur­ance from the start since cut­ting on costs at the begin­ning can cost you much more if some­thing unpre­dict­ed hap­pens in the start­up lat­er. Also, make sure that you start net­work­ing as soon as you can because busi­ness con­nec­tions are what makes a huge dif­fer­ence in how suc­cess­ful your busi­ness will be.