There is nothing more exciting than launching your first business venture, but as a new entrepreneur you need to be prepared because the first year is particularly challenging and there are sure to be few obstacles along the way. Knowing what the common issues are should help you to quickly find solutions and steady the ship.
Here are a few common obstacles which you might encounter.
If you have taken out a business loan you may find it difficult to keep up with repayments as your business finds its feet which can be a huge problem. Fortunately, places like Liberis offer funding where you pay back a percentage of your monthly takings so you should always be able to manage repayments.
Lack of Income
It is notoriously difficult to turn profit when you first launch a business which can destroy a company before it has even had a chance to succeed. This means that you need to keep costs as low as possible. You can do this by outsourcing instead of hiring, working remotely, compare energy provides, negotiate with vendors etc.
It is hard to attract customers when you first launch because it can be hard to get your name out there and compete against the larger brands. The best way to attract customers to your business when first starting out is to invest in digital marketing from an experienced agency, to run deals and promotions, to use social media effectively and to make customer service a priority.
Developing Brand Reputation
Leading on from this, it is hard to succeed in your first year when you do not have a reputation. You can build a positive brand reputation by asking for reviews/testimonials and by using these on social media and your company website. Increasing your visibility online can also be helpful for boosting brand reputation.
Lack of Planning
Startups will often launch before they are ready which can be a huge problem. A lack of planning is a recipe for disaster because you will not know how to navigate certain obstacles and start off on the wrong foot – it is then very hard to correct this and change your reputation. You can avoid this through detailed planning and then continuously visiting your business plan throughout the year.
The first year can be a huge challenge particularly as a new entrepreneur. Hopefully this post will help you to navigate your first year with confidence and build the foundation for a successful business.