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Startup Mistakes and How to Avoid Them

Startup Mistakes and How to Avoid Them

The journey of a startup is full of obstacles, challenges, and tribulations. Everyone wants an edge over their competitors, so they set themselves up for success. However, many pitfalls and mistakes can harm their chances of success.

Startups Are Prone To Making Startup Mistakes

90% of startups fail.

Scary?

But here is the most terrifying fact: startups fail due to self-destruction. They don’t do research before starting the startup.

Starting up could be the best decision if you are making many good decisions. There are many players in the market who can keep you away from their customers, as the market is full of startups.

In this blog, we can read about startup mistakes and learn how to avoid them.

Here’s a list of five startup mistakes you should avoid at all costs.

1. The business model is not appropriate. 

Startup Mistakes when the business model is not appropriate:

Too many businesses start without making any basic plans, and if you fail to plan, you are essentially planning to fail.

A startup should map out a business model, even if it is just one page. It should include how much it costs to operate, how much you anticipate selling, who would purchase your product, and how you sell it.

How do I avoid startup mistakes by creating an appropriate business model?

If you are planning things, you can avoid failure in your startup by identifying your target market, defining the problem you will solve, detailing your unique selling proposition, creating proper pricing strategies, establishing operational practices, conducting market research, approaching people, capturing profitability, and anticipating various challenges.

2. Working with the wrong team

Startup mistakes while working with the wrong team:

Building the wrong team is one of the startup mistakes made by entrepreneurs. Hiring more people does not always mean that you are hiring the right team.

Many people start thinking about doing business with their friends and family, but they do not know that doing business without working on it always leads to the failure of the startup. Always know the working background of the people you are hiring.

How do I avoid mistakes in startups by creating a good team?

You always have to keep in mind that building a good team means adding value to the business. Never be afraid to learn, try new things, and do new things. Everything is risky but take some risks. 

You can’t do everything by yourself. To avoid startup mistakes, you need to delegate tasks and responsibilities, have effective communication, and provide feedback and support.

3. Lack of funding and resources

Funding is one of the factors that new startups don’t get at the beginning. Many startups have a good idea but lack the resources, due to which they fail.

Tips to avoid startup mistakes due to a lack of funding and resources:

To avoid startup mistakes, here are a few hints for new business startups to get financing in India:

  • Make a comprehensive and precise startup business plan that emphasizes your vision, objectives, and growth potential.
  • Build a strong team and track records of success.
  • Utilize your networks and look for connections with potential investors.
  • Pitch deck 
  • Social media, branding, and advertisements to build a strong presence online.

Many startups have a success story by securing funding, like Flipkart, one of the leading e-commerce platforms.

4. Acting without Planning 

Brilliant businesses can also get lost without planning. It is impossible for startups to succeed if they don’t know where they are and what they want to achieve. Most companies start without planning. This is one of the greatest startup mistakes. Thus, know your startup’s ins and outs, understand your product or services, and most importantly, understand your market potential.

How to avoid startup mistakes by proper planning

To avoid startup mistakes through proper planning, we need to follow some important tips:

  • Careful planning, execution, and thorough evaluation are necessary to avoid any startup mistakes. 
  • Executive summary
  • A carefully planned business has the least chance of failure.
  • Investigate the pros and cons, and prepare for the worst.
  • Market research and make strategies.

Conclusion

Entrepreneurs are super awesome people, and what makes them special is that they are driven by ambition   The number of startups failing each year is countless, but the reasons for their failure are limited. 

Startups that manage to avoid these shortcomings always have a better shot at success than those who are not willing to plan them at the beginning. Invest in planning and know how to avoid startup mistakes

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