Are you interested in starting a business? During the research phase, you may find a statistic that shows that 23.2% of private sector companies in the US fail within a year.
And if a company survives that difficult first year, it is not out of the woods as 48% of companies crash and burn within five years, and 65.3% fail at -within 10 years.
Since you want to keep your business going for the long term, consider the seven things startups need to do to survive and thrive.
1. Stay on top of your finances
Many new companies experience financial problems. Make sure you have a team responsible for bookkeeping and accounting, regularly create and review financial reports. You need to be aware of your company’s financial situation, because money problems could be the proverbial stick of dynamite under the foundation of your young company.
2. Create leads
Lead generation is essential for companies and at all stages of growth. Getting it right can increase profitability, awareness, return on investment (ROI), revenue, and customer base. If you’re not generating new leads, you’ll see growth plateau or decline completely. When considering lead generation, look at different strategies to see what works for your business.
3. Focus on existing customers
When you want to grow your business, it’s easy to focus more on finding new customers than servicing the ones you already have. But it is more expensive to attract new customers than to retain the existing customer base. You don’t want a churn rate where the rate at which you find new customers is offset by the rate at which existing customers are looking elsewhere.
Whatever you did to earn your customers, keep doing it to earn their continued support. You need a customer-centric corporate culture that prioritizes providing excellent customer service. That’s the only way to increase the likelihood of long-term customer retention.
4. Find ways to save money
When starting a new business, you need to find ways to save money. That might include investing in software that helps you do more with less. For example, you can use invoicing software if you don’t have a specific payment department. Accounting, inventory management, and other software packages can help your business save money that you can use for other things.
5. Invest in your business
Although money may be tight, you should invest in your business. You need to invest in product and service development and innovation to differentiate your offering from the competition. Investing in your business also means focusing on your employees, your website, and your marketing efforts. These investments will be money well spent.
6. Find your demographic online
With billions of people around the world in it social media, they are worth finding and connecting with online. Social media makes it easier to target a specific demographic, and it can be more cost-effective to launch marketing campaigns online than in newspapers or magazines.
You can find new clients and stay in touch with current clients. If social media isn’t part of your marketing and outreach efforts, you’re leaving money on the table.
7. Hire the right people
Focus on finding the right people for your business. First, some employees may need to multitask. Therefore, finding versatile employees is essential. While it’s not a good idea to ask too much from employees, you need people who can do more than their job descriptions. Starting a business is easy. But it is not grown for long-term survival. Remember these tips to increase your company’s chances of success.
2024-04-20 04:04:13
#Business #Survive #Succeed #Moyens
