Research points towards the fact that only half of the start-ups survive more than five years, while just one-third make it to 10. New-born companies strive to survive intense and aggressive competition, unstable markets and high employee attrition rate. Is it possible to create a sustainable company, overcoming all stumbling blocks? Of course, but one needs to have in place a strong growth strategy for that.
These 5 strategies have worked well with successful entrepreneurs
Getting a Co-founder on Board: Single proprietors generally go through a roller-coaster ride running a new business, before bowing out in majority of the cases. Finding and joining hands with a partner or a Co-founder will do a lot more good, as this will bring in different and additional skill sets. The new person on board can play the role of a mentor at times and provide another perspective for decision making. In times of need, the Co-founder can give the much appreciated emotional support!
Nurture and grow a passionate team: At the time of hiring employees and also during the initial stages of working with them, the organization should be transparent about its Vision, Mission and Values and tell the employees what they are expected to deliver. The new joinees should be in alignment with the Management team’s thoughts, besides being innovative, hardworking, flexible and passionate at the same time. Of course, in the initial stages itself, if the employer does not see the employee as an ideal fit, he will have the option of letting go of them, before the latter brings disturbances in the system and workplace.
Constant validation of the idea/overall objective: It is vital for the Entrepreneur to understand why and based on what idea was the venture started in the first place and stick to it. However, the founders should also ensure the operations are constantly improved upon and upgraded regularly to suit customers’ requirement. At any given point in time, the original business objectives and the vision should not be lost, despite turbulent market conditions.
Management metrics should be in place: In the early stages of the venture, there may or may not be profits, but only revenues, though it is important. The focus of the founders should be in understanding the entire ecosystem, stakeholders and competitors. The growth metrics to identify business strategy and direction should be in place.
Customer Engagement and Feedback: At the early stages of growth, it is even more important to get regular feedback from customers by engaging with them on an ongoing basis. This will support in establishing a strong foundation to the customer-relationship component and build the much required mutual-trust in the long run.