TOP REASONS FOR STARTUPS FAILURE (2020)

Top Reasons for Startups failure (2020). Today majority of startups are failing miserably, we all know in-spite of huge capital and resources. As we go deep to find the exact reasons, I see most of the startups are consist of 2 people, with some experience in MNC or startup companies. They quit their high paying jobs dreaming big and make plans for future. Majority of them are from IT industry who knows nothing about Indian Market. As a result they expect huge success and money overnight, but often end up as failure due to cut off from market reality.

Startups without Mentor - The main reason specially co-founders of any startups do is that they start business taking things for granted. Keep in mind startups without a mentor is anyways bound to fail. Young Entrepreneurs always commit mistakes which can be prevented by mentors. So whenever you plan to start a business first hire a senior person with more than 25 years’ experience in that particular field. This would be a first big step towards success of any startup vision. It can change startup programs.

Strong Sales & Marketing skills - The second most important reason is to know startup menu for marketing. The reason behind success recipe for all startups in one way or the other is sales & marketing. Any startup company to succeed, one co-founder should be very strong in marketing. As we see many startup founders are extremely poor on marketing and this is one major reason for their failure. If one person is strong in marketing and other in technical field, if both brains work together the company will sure succeed. For Example – Two people decided to start a small sandals manufacturing company. In this one guy was expert in making various designs and the other has lot of networking contacts who sell sandals every day to customers. Forget about product quality but the company boomed over a period of time due to strong marketing skills of one of the co-founder. Trust me startups never succeed unless you know sales and marketing. If still you do your company may shut down even if your products are of best quality. The co-founders must get to the ground before starting a company to get a taste of the market.

Startups Product without Innovation - The other major reason for failing of startups is lack of innovation. Instead of innovating unique product, they just start company and offer products and services which already exist in the market. They will not be able to compete and close business over a period of time. Launching product without innovation may fail miserably, so focus on innovation and marketing. Remember market is ruthless. It will kill your product mercilessly so you need to fight with existing rivals and become successful. Your startups focus should be only on innovation and quality, money will chase you. Just dreaming big is of no use. You need to get down to reality do market survey by evaluating your products and make strategy. To become a better businessman study about market behavior and sales channels of your rivals.

Working All Alone in Startups -I see one more common reason with many co-founders is that they want to do it all alone, never do that way. Always you delegate work to experts and get the work done. Your focus need to be on your core niche & startups success. Keep in mind success can be embraced only with right product and strategy of sales and marketing. Keep your customers always happy by not comprising the quality of your product and service. Any concerns from your customers address them immediately with corrective measures. Never take markets for granted, it will crush your product or services if not careful. Never start a business without experience. Always before starting any startups, work in that particular field for at-least one or two years are so. This would be the turning point for your startup gaining more knowledge about it. THANK YOU