10 Most Common Challenges Faced By Start-ups Everywhere
Imagine a tiny sapling growing in your porch. With time, by getting enough sunlight and water, it grows into a big tree, and provides shade and peace to whoever comes across it - a bird, a small bud growing nearby, or even a passerby. That is how a company covers its course from its days of a beginner to a giant.
CH Mridula
Last Updated: Dec 03, 2018
Which is the highest selling human invention of all time? If you are thinking of clothes, burgers, fries, or a bottle of Coke, then it might surprise you that, the Rubik's Cube is the highest selling item around the world; the second being the iPhone.
Start-ups not only face cut throat competition from other similar start-ups, but they face a tough challenge from settled entities as well. They need to be vigilant about the moves of both, small and big size markets.
This issue is always faced by start-ups. Due to the need of being innovative and out-of-the-box, start-ups tend to hire more people to find something which could fuel their attempt of doing something exceptional.
The market is ever-evolving; it is a cycle where there is always something new taking over the old, and something big surpassing the small. Every moment is an earning moment for an entity, and thus, it becomes really exhaustive to cope with changing market trends.
One of the key challenges faced by start-ups is when they cross ways with the state or central authority.
Sometimes, a product has the chance to become a commercial success, but if it is receiving minimal funds and loans from the government, or if related licenses don't get issued, the whole project is aborted; sparing a huge innovation setback for the budding company.
A common problem faced by start-ups is the fluidity of funds. Raising funds from investors or loans from the market is not an easy job. Everything could fall apart if the company suffers a financial problem.
Any business or idea could flourish only when, even a few people, if not many, praise it. The key aim for any business is to earn profit, along with providing services, and all these depend on the frequency or the number of times it is sought by someone; be it an individual or a business-to-business entity.
Investing available resources and manpower in the best alternative is a tough call for a tech start-up, owing to its size and financial conditions.
Knowing the positives and negatives of its personnel, and creating new alleys to channelize their energy and intelligence is a profitable thing, but due to stringent deadlines and time spans, they often prove non-committal towards beginners.
Be it an individual client or a business-to-business company, every start-up has to pass the litmus test of delivering services as per consumer expectations. They often come across invisible pressure and targets, which they need to crack in order to sustain in the market.
Market situations are highly fluctuating. In such a scenario, many start-ups finish even before starting. Any rise and fall in the monetary rate, or a business cycle change, brings a heavy effect on the existence of the company. Also, it depends on the type of business it is venturing into.
Faith is a key instrument for a start-up to explore the realms of success.
And, often it happens that, one of the founding fathers of the entity, or one of the partners decides to drop the current one and work on different projects, rather than investing time on the same one. In such a case, the company tends to lag behind, as everything needs to be figured out right from scratch again.
