Coface insurance and safety specialists know for sure: most businesses fail during their first year of existence. Companies lose money not because credit mistakes or lack of insurance, but because their main business ideas just can’t go on living long lives. Still, choosing that idea correctly, it is possible to avoid a failure of your startup, and then to go on developing it for many years. How can you do that?
Psychology and Mental Stability
Any start means enormous efforts connected to time, planning and energy expenses. Know if you are ready to sacrifice your regular family relationships, financial stability coming from regular monthly payments, friendly contacts and personal connections in order to care of your business.
Keep in mind that you should have not only to look for an office, staff, supplement and sale channels, but to track everything up to automatic activities personally. Plus to this, it is important for you to work on your personal stress tolerance. This is exactly the quality allowing you to go on moving forward without paying attention to prejudices and other people’s talks.
Field for Business
Make an analysis of a neighborhood, town or city you plan to start a business in. Find out what fields are weak, and which have the high level of competition. Determine if you have a real wish to work in the chosen field, to get results and to wait for your income periods.
Wrongly chosen field will lead you to the loss of interest. As a result, your control will weaken and your efforts will become wasted. Additionally, it will be very important for you to learn all the nuances and to gain total control of your specialists to understand the real state of your own business.
Here is one thing: you should not refuse your plans because of lack of enough money. Start from the smallest things. Of course, it will cause take a lot of time, but will allow you to start a small business without huge loans, high percentages and urgent payments.
You should understand that it is quite difficult to receive a credit for a small business startup. In addition, you will have to pay out quite a big monthly credit sum. This is why you need instant incomes in that case. But consider the fact, that no business is smooth at the very beginning.
Still, do not use funds that were saved for children, for medical or studying purposes, for strategic goals. Try to be smart even if someone offers you a big-scale business “recouping” itself in two months or a franchising start-up. Those virtually profitable projects cause big expenses and not always fulfill expectations of investors.
Choose Your Goal
Be sincere and honest with yourself about the result you expect to get from your business. Maybe, you look for a possibility to become rich or to rule people. Mostly, people try to prove their abilities for others through becoming successful businessmen.
If any of these three goals is yours, then it is most likely to lead you to negative consequences.
A business is a set of actions where it is important to love your project and to join goals. You have to be sure about the good result from the very beginning. Only a positive person can perceive the situation correctly and to choose the most optimal solutions.
Think About Quality
Know how serious is your will to fight for the quality of your services or goods. It is worth to know that many modern businessmen bet for quantity in order to recoup their first investments fast. At the same time, they do not want to work with claims and appeals of their customers.
So, modern customers choose the service which has a good history. This is how sales channels, partnership relations and positive reputation appear. Answer the question: what is the quality of goods you sale?
The starting period of any business often determines its future success or failure.
Coface credit and insurance experts are always ready to give their experience to your startup. Guarantee yourself the Prosperity!