Every business is unique. There’s no one-size-fits-all way of running a business. However, with new startups, it can be tricky to break the glass ceiling and learn the ropes. But once you identify the challenges you’re likely to face in this endeavour, then it becomes easy to deal with them. Some of the top 5 challenges faced by new businesses include:
Over-reliance on one client
If more than 50% of your income comes from one client, then you’re putting yourself in a tight spot. If anything happens to that one client, your business might crash. But diversifying your client portfolio is not a walk in the park. You’ll need to have the best people in your team with an extensive network to get more clients.
Poor cash flow management
Cash flow is king in almost all investments. As they say, you need money to make money. So if your cash gets locked up in long-term assets, you may not have enough to keep the business afloat.
Founder over-dependence
Entrepreneurs get into the habit of doing everything by themselves. They don’t trust anyone else to handle the business, and that’s a mistake. Get yourself skilled employees and trust them to run the business. Delegate with intelligence.
Rigidity
Most startups don’t want to change how they do things simply because it’s worked for them before. But times are changing and your business needs to change too. Don’t be rigid.
Poor government relations
When starting a new business, always be on the lookout for new government policies. They change rapidly.
And OSAR Enterprises is here for you. We specialize in making a success out of new ideas. Let us handle all your Product Testing,Concept assessment, Sample/Prototype development, Business architecting, and government relations needs.