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90% of startups fail in their early years.. 5 steps to avoid their mistakes

Startups and entrepreneurs have become common terms in the business and economic world.

Statistics indicate that there are 472 million people in the world who define themselves as entrepreneurs, and more than 300 million startup companies are established in the world every year, but these numbers do not reflect the truth; Research says that the failure rate of startups within the ten years of their establishment is up to 90%.

These statistics come in the article Published by Entrepreneur by Zuhair Dowdia, a New Jersey-based entrepreneur with more than 20 years of experience managing startups in the field of graphic design and technology, he asserts in his article that these statistics should not intimidate those who want to create their startups, on the contrary; These large numbers, especially in the number of companies established annually, are an indication that establishing these companies is not a scary matter, but it requires thoughtful thinking, planning and other things.

In his article, Dudia conveys his experiences in creating start-ups that he accumulated through setting up an online company and engaging in various businesses; where he says:

Adapt to emergency

It is the first rule – according to the writer – that makes the startup able to survive and continue, whether in Internet or non-internet companies, noting that this has been clearly evident in the past year and a half; That is, since the start of the Corona epidemic; Where companies closed their doors for weeks and months at a time, pointing out that the epidemic prompted companies to increasingly provide services online, and at the end of 2020, the share of e-commerce sales of commercial sales in general reached 44%.

The writer explains that this means that those who have adapted to the change imposed by circumstances are the ones who survived, and that the year 2020 presents an important lesson, which is that strong plans must be developed for all emergencies.

Be prepared to take risks

The writer continues his advice by saying that the entrepreneur must be prepared to personally invest his time, effort, energy, attention and even his feelings in order to succeed in establishing his startup company, indicating that the popular idea that startups are an easy way to earn money without the need to work is a wrong idea.

The writer stresses that financial funding is important for a vital start for a startup, as the more funding, the easier it will be to bypass the first few years of work and cover the difficult times caused by emergencies and disasters, but he stressed the need for the entrepreneur to be prepared to sacrifice greatly in order to achieve that success. , be prepared to sleep less and bigger problems are not easy solutions.

The entrepreneur must be prepared to personally invest his time, effort, energy and attention (Shutterstock)

be competitive

Here the writer draws attention to a situation that many entrepreneurs encounter, which is that when he thinks about a product or service and finds another person who provided it or worked on it, he stops and ignores this idea and forgets it, stressing that this is a mistake; Because experience does not say that we should be afraid of competition, but rather emphasizes that entrepreneurs should be competitors.

The writer asks, how would the mobile phone industry be if all the companies said that Motorola had made the first hand-held mobile phone in 1973, and then these companies did not participate in this industry?, stressing that instead of ignoring the idea, they should Several questions are displayed such as; What are the differences between your idea and the product that already exists? What will you change or add to the market? Then turn those questions into real answers.

Startup opportunities are everywhere, from drop-offs to delivery services to selling used laptops for cash and reselling hosting services, Dudia says, not because someone else with the same idea means they deserve less attention.

You must be focused

The writer goes on to explain that one of the problems facing entrepreneurs is the distraction of attention between the ideas they work on and establish their companies according to, stressing that although owning new ideas is a skill that not everyone possesses, new ideas should not be allowed to overcome old ideas, especially if they are It is still in its micro startup stage.

“It’s important to know when to act on an idea, and when to put it off for later so you can stay focused on your current startup,” he said.

be patient

The writer stresses that the last and most important lesson he learned in managing startups is the great need for patience, noting that startups are very similar to children; “We are all, as start-ups, anxious parents, looking forward to the point where our production starts walking and talking on its own,” he explains.

He continues, stressing that a special approach must be taken with startups, so we should not expect too much from them early on, and we should not leave them alone too much, and the company’s goals and work limits must be carefully set. Dudia concludes his article by summarizing these tips, as he stresses that for startups to succeed, they require an investment of time, effort and support.

It should also be dealt with carefully with a clear vision of the future, in addition to the need to be patient and let the company grow automatically without rushing.



Reference-www.aljazeera.net

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