According to recent studies, 90% of new startups will fail due to one reason or another, so it’s incredibly important as a new startup to understand how to take responsibility in certain areas to prevent that failure. Although no one goes into business with the plan of failure, many people fail to plan, and that’s the number one mistake that you can make as a startup. It’s important to take responsible steps as a business owner to prevent failing before you even get things moving. Here are some ways that you can better prepare yourself and your business while lowering your risk of failure.
Creating Responsible Habits
There are many things to do to create responsible habits, and they all start with small lifestyle changes. When a group of millionaires was surveyed, a total of 89% of them recorded that they sleep a solid 7-8 hours during the night to ensure they get proper rest. Getting adequate sleep and waking up early enough to make progress and set aside your goals for the day gives you more time and energy to get things done. Sleeping gives your body the fuel and mental energy to recuperate and regulate your mood. However, adequate sleep isn’t the only essential habit of creating responsibility and success. Surrounding yourself with successful and like-minded individuals is known to assist you in developing healthy and successful habits such as those around you. It’s been said that you are a mix of the top five people that you surround yourself with, so choose your peers wisely. Just as you feed your environmental habits with people, you also need to feed your mental habits with successful knowledge by reading. Self-help and development books are some of the top genres that self-made millionaires tend to read, and they usually spend up to 30 minutes or more devoted to reading during the day.
Lowering the Risk of Failure
Lowering your risk of failure is the number one prevention of failure, to begin with, and with every one out of three startups failing after two years, it’s crucial that you take the proper steps beforehand. The biggest problem that business owners tend to have is the failure to plan in the beginning, as well as throughout their entire journey. You will need a long-term vision for your business with set goals to achieve along the way. By properly maintaining and managing your cash flow from sales and expenses, you stay ahead of the game and lower the risk of debt. There needs to be a balance between this cash flow to ensure that you are investing the right amount back into your business without going over your profits.
What Can You Do?
As a new startup, you need to stay ahead of the competition and plan for the unexpected – whatever that may be. Stay up to date with new changes in technology and your target market. You can learn from your competitors on what to do and what not to do when it comes to decision making and technology changes. However, it’s important to always keep your customers in mind during this time. They are your number one focus and should be respected and considered. Continue to plan ahead for the future of your business and take the proper measures to create responsible habits.
No one plans to fail with their business, but too many new startups fail to properly plan how to successfully grow their business. Learn to create important and successful habits that will prepare you for personal and entrepreneurial growth. Give yourself the proper planning for success and prevent that failure before it becomes an option.