Given that 90% of startups fail and 20% close up shop in the first year, it’s important to understand what ingredients go into the perfect recipe for startup success. Most people assume that a unique idea and adequate funding are all you need for a successful startup. Even so, it takes a lot more than that to make it in today’s business environment.
So, what does it take to make sure that your startup will succeed in a cut-throat business landscape?
- A unique idea
In a sea of businesses offering variations of the same products or services, it takes a really unique idea to create lasting traction. If you want to build a scalable business, you won’t be doing yourself a favor by launching the next Microsoft or Apple. Your product needs to be unique enough to turn heads and get people excited.In this day and age, it wouldn’t be fair to say that you have to launch the only business of its kind. However, when you think about the value your business offers its target market, it needs to be obvious that you’re filling a gap in the market.
If you can’t say with certainty that your business is the only one that offers the unique value it’s built on, then you need to go back to the drawing board. For example, it would do you no good to open just any salon. On the other hand, a salon that is built to be a self-care haven for an underserved demographic would be a good idea.
- Irreplicable value
So you’ve confirmed that you have a unique business concept, but can you maintain that uniqueness? The reality is that the moment you launch a business, there will be many hawks circling and waiting for the perfect moment to replicate your idea. Whether you survive the cut-throat competition depends on whether you’re able to turn your clients into loyal fans.
The best ways to do this are by identifying a target audience that will be excited about your offering and dedicating effort to being the best at what you do. Otherwise, it will be all too easy for your competition to copy you and whisk your clients away.
Once you’ve earned the trust of your clients with a quality service or product, you’ll have cheerleaders who are not only committed to supporting your business but also winning new clients over to you. This brand loyalty will help your business weather the worst storms and grow in the midst of fierce competition.
- An acquisition strategy
Once you have a unique idea that has irreplicable value and excites a specific target audience, you need a strategy to win this target audience over. In order to do this effectively, you need to be your biggest cheerleader. By dialing down to your unique value proposition, you will have a much easier time convincing clients to try your brand out and stay with you in the long term. On the other hand, if you don’t believe in what you’re offering, you will have a much harder time selling the idea to potential clients.
- A price that helps you break even
With all the other jigsaw puzzles in place, you must settle on a price that will attract the right target audience while also giving your business the funds to cover its expenses. Failure to do this is a good way to run your business to the ground. It costs money to run your business so you must not sell your products for anything less if you want the business to be sustainable.
If you cannot come up with a price that will help you cover expenses while remaining competitive, then you need to rethink your idea.
- The resources to launch and maintain traction
Think about everything you need to launch your business and maintain traction in the market. This includes the financial resources, premises, and equipment required to get the product or service from an idea in your mind to a reality that delivers value to your clients.
Once you get the business off the ground, you will need consistent capital injections to keep it going strong. This is why it’s helpful to learn the right way to pitch your business idea to investors or venture capitalists. It can also be helpful to join platforms like Partner With Startups that are dedicated to connecting businesses with the right investors.
What exactly does Partner With Startups do?
Partner With Startups is an online platform that serves as a dynamic marketplace created to connect experienced angel investors looking to diversify their portfolios with high-potential ventures. By streamlining the investment process, Partner With Startups makes it easier for angel investors to find, assess, and interact with firms that meet their investment criteria.
This platform goes far beyond providing funds to business owners and investment opportunities to angel investors. In fact, Partner With Startups is a place where angel investors can assess the available investment opportunities against their criteria to make sure their investments align with their values.
6. Mentorship and support for leadership
It takes more than regular capital injections to keep a business going over the long term. The most successful businesses succeeded only because their founders were willing to put in the work consistently when they couldn’t see any immediate gains. Entrepreneurs need passion and motivation to continue pouring into the business over the first few years. However, even the most dedicated and passionate startup founders falter once in a while, and this is where external support in the form of mentorship comes in handy.
Luckily, Partner With Startups provides a supportive environment where business owners can benefit from such mentorship. By leveraging their experience to mentor the next generation of entrepreneurs on Partner With Startups, investors can promote innovation and business success.
On the other hand, startup founders who rely on investors through the Partner With Startups network benefit from valuable industry expertise. This expertise can help startup founders scale even the most impossible obstacles and navigate the most challenging business environments.
Getting started on Partner With Startups is designed to be a short process. Once an angel investor has signed up, they can browse through the business listings to find startups that match their investment criteria. By signing up, entrepreneurs can give themselves a leg up in a competitive business environment with access to valued expertise in addition to the cash inflow.
