Every day, a new startup is coming into existence. The competition in the market is getting doubled with each passing moment. In such a situation, it’s stupidity to think that your startup will remain on the top as it has a uniquely awesome idea.
Many startups who have made a fabulous beginning soon find themselves going on the wrong track and drowning- might be due to wrong strategy, or small glitches that turned into big obstacles.
If you are experiencing the same and think that your company has no future, don’t panic or get hopeless. Instead follow these points and make a fresh start:
Take responsibilities and admit your mistakes
One thing that I have realized while interacting with different entrepreneurs is that many startup founder are not ready to admit that they have made a mistake and should work on a perfect recovery plan. Rather, they keep on playing the blaming game and do more worse to the company.
If you do not want your startup to become a history, analyze all of your decisions- find where you were wrong and what can be done to compensate it.
We all are humans and it is obvious to make mistakes- you won’t lose your reputation on admitting your mistake. Instead, this will make your employees trust you and follow you.
Invest in right people
To be very frank, there are several employees who do not give their 100%, especially when they knew that company can shut down any day. Call those people for a personal meet and give them an option to work hard or leave the company. After all, quality matters not the quantity.
It is better to have 5 employees that delivers productive results than having a big team of lazy employees.
Use hidden assets
At the time of emergency, one must stay calm, optimistic and make a list of what all he/she has. A hardly used store room can be turned into a small office space, a friend or family member can be involved in the company work to increase the hard work, etc. Just look for your hidden assets. But, don’t take decision in a hurry- take time, have a future-vision and then act.
Outsource the work
You need not have an individual for a task less done. This will just add to the expenses of the company. Instead, look for freelancers and outsource your work. Pay them as per the work and this way, make some savings.
I would suggest to hire HR department and Marketing team by this method.
Take the perks of free marketing tools
Many startups and entrepreneurs make the mistake of ignoring the free marketing tools, and thus lessen the chances of rising up again. There are various ways to promote your company and services without paying a single penny, including blogging on free websites, promoting on social media platforms like Facebook, Pinterest and Instagram.
Hold minimum inventory
I can understand that cost matters a lot, but it is always better to lower down your price to increase productivity. When you give discounts on your services or provide enticing offers, people get excited to buy soon.
It is better to sell three products at lower price, then struggling to sell one at higher price.
It’s like an investment! But, lowering down price does not mean you start selling products at free or compromise with quality.
Be transparent, increase communication
When the business is not running smoothly, the gossips increases. People divert their mind from working for the company to commenting on the company. In such a situation, the best move one can make is to be transparent.
Hold meetings in public, show them reality, connect with them emotionally and ask for their favor for the best of the company.
When everyone will be familiar with everything, they will be loyal to you. Whereas, if you hold secret meetings or say different things to different people, the company will get disintegrated in different groups and this would be the real failure of your startup.
So, stay passionate, follow these points and work with a strategy to bring better future for all associated with your startup.