Top 7 Challenges That Arise When Creating a Start-Up
Create your own business, create a start-up: this is what makes you dream. But behind the glitter, there is the work of a marathoner. To have all the chances of success on your side, it is better to know the reality that you will have to face and be prepared for it.
1st Challenge: The First Version of Your Idea Is Probably Not Going to Work
When you are going to confront your idea (your business model, your value proposition) with reality, that is to say potential customers, you will probably find that all of this does not work. Customers don’t buy. It doesn’t mean that your idea is bad, or that you don’t know how to implement your project. Quite simply, the initial idea rarely works at the first time.
Do you have to be stubborn, consider that you are right despite everything and not change anything? In front of a client, you have to know how to be modest. Because he is the one who knows what he needs and what he wants to buy. One effective method is to test hypotheses with clients as early as possible, before initiating operations and spending cash.
2nd Challenge: You Will Be Frustrated by Some Customers
You will be happy and relieved to sign with your first clients. But when you have customers, the trouble begins. You will have to focus on satisfying them, but without necessarily meeting all their requests…. Because the demands of one client will often conflict with those of another. How to identify what is a market need from a specific customer need? You will need to use good judgment and (business) authority to communicate your position to clients.
3rd Challenge: Success Is Rarely Immediate
Do not expect an extraordinary luck, be prepared to work hard for years to get your start-up on the way to success. You will have to overcome many obstacles: technical problems, customer reaction, competition, employee morale, cash flow… the list goes on, but never give up. Success is at the end of the way. Between failure and success there is often just a little more perseverance. So Never Give Up.
4th Challenge: Create a Team
It starts by finding your co-founders, your starting associates: profiles compatible with you, who are complementary to you, able to invest as much as you; but accepting that you keep control of your project. It takes longer than you might think. Then it will be necessary to maintain the cohesion and the motivation of this team during the storms.
Then you will recruit collaborators to whom you will ask for motivation, adhesion to the project. In any case, it will be your job to motivate them and get them to join… There will be resignations, layoffs, recruitments. Which will be all the more painful the smaller the size of your company is. In these conditions, fostering an entrepreneurial spirit, the DNA of your company, is a challenge that is crucial to meet.
5th Challenge: Everything Will Take More Time Than You Planned
Double the time you have planned to complete the various stages of launching your business. Did you expect that you would get your first customer 2 months after launching your product? Instead, count 4 months. And plan cash flow according this hypothesis. Nothing goes always as planned when you create your start-up. Everything is more complex than initially planned, because many imponderables can happen. You will be less stressed by applying this recommendation. Take this into account if you have to write a business plan: even your low assumption may be overly optimistic.
6th Challenge: You Will Be Paid Less for a While
If your motivation for starting a business is primarily money, you are on the wrong track. Money will be the reward if your start-up is successful. But first, you will have to work hard for sometimes much lower pay than you would get as an employee, at least initially. Some entrepreneurs haven’t paid themselves for 1 or 2 years!
7th Challenge: Keep the Vision and Stay at the Course
Before creating your start-up, you have matured your project for a long time and you have built your vision. A solid vision. It is on this basis that you built your business model and developed your business plan. You have prepared for the unknown and the opposing elements. This is what makes the beauty of starting a business, of being an entrepreneur. A profession of permanent creation, innovation, motivation to pass on to others. “You are the guarantor of this vision. And you have to defend it tooth and nail in the face of adversity, you must stand firm. Never give up.