Pitfalls to Avoid When Launching a Start-up
We regularly share advice on how to launch a new business or a start-up to full effect. This time, we thought it would be useful to highlight the most common mistakes that many new business owners make within their first year of trading, as this will help you to avoid them from day one.
Neglecting the business plan
Whether it’s a case of a business plan being a bit shoddy or left out entirely, this is a major risk for any new business owner to take. Your business plan isn’t just a document to show your bank manager and investors, as it also brings everything together in one place and acts as a blueprint for your start-up journey.
Most importantly, a business plan doesn’t necessarily have to be really long or even super detailed – it simply charts what you’re setting out to achieve, how you plan to do it, and the milestones that will indicate your performance. It can then be referred to whenever required, which helps to jog your memory, motivate you during tough times, and ensure that you’re staying on track.
Poor financial preparation
Even if you have an amazing idea for a start-up business and fantastic people on board, it will always require money to make it happen. Failing to plan your finances and include a contingency budget is a recipe for disaster, making it one of the most common reasons why many start-ups don’t make it past their first twelve months.
The finance specialists here at TreyBridge Accountants can help you with all types of financial planning, including funding bids and applying for grants that will give you that all-important initial boost.
Buying instead of leasing
We completely understand that the idea of owning assets such as property and equipment is very attractive, yet it seriously eats into your cash. Instead, consider what can be rented and leased, such as your commercial property, vehicles, IT systems and any machinery involved.
As well as protecting your cash flow, leasing also usually includes a maintenance contract. This means you don’t have to worry about forking out huge sums for replacing assets when they break down or reach the end of their lifecycle.
Taking a 100% DIY approach
You’re smart, experienced, full of ideas and raring to go – we really admire that, but it doesn’t mean you have to do everything yourself. A great example of effective outsourcing is accountancy, payroll and tax management provided by TreyBridge Accountants, which will ensure that your new business always runs at peak efficiency.
Then there’s the wealth of advice available from peer networks, seasoned industry mentors, business clubs, online resources and much more – all of these will help you to fine-tune your business at a very early stage, which maximises its chances of long-term success.
Not researching your audience
Each marketplace is constantly changing, which includes everything from consumer behaviours and online trends to pricing structures and service delivery models. All of these need to be thoroughly researched before and after your business launches, enabling you to stay in touch with what your customers actually want.
Forgetting about marketing
No matter how wonderful your products and services may be, there’s an awful lot of noise out there and you need to know how to cut through it. By taking on a team of outsourced professionals, you have everything required to grab attention, start conversations and convert clicks into custom.
We can introduce you to talented and competitively priced web developers, graphic designers, copywriters, social media managers, photographers, video makers and other types of marketing specialists, so don’t be afraid to ask us for some top recommendations.
We’re here to help launch your business
Advice and guidance from TreyBridge Accountants can mean the difference between your new business merely surviving and genuinely thriving. To find out more about start-up support, call our Yorkshire office on 01482 235575, our London office on 0207 885 0605, or fill in the contact form below.
Tagged as: Small Business Help
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