If you ask 7 Out of 10 people in the market, They will tell you Some unique idea, but most of the People have no courage and will power to proceed the idea and convert them to reality. But nowadays more than Lakhs of Startups are coming, getting funded but even after getting funding more than 90% of Startups are getting shut down.
There are lots of basic factors which affect the Startups in getting Shut down their Shop within 3 years of their existence. Only idea making team and getting funding is not an only basic requirement for any Startup to scale up and make them Profitable. Today we will discuss the Top 5 most Important main reasons why do most of the Startups get failure.
Co-Founder and Team:
Finding a good and Co-operative Co-Founder is the most difficult task and this is the most common reason For startups get Failure. In most of the cases mismatch between the Founders, Percentage issues, lack of Co-operation, Team management, not having highly Skilled, Experienced and Co-operative Team arethe reasons for failure.
Product not fit for Market :
Only getting a Unique idea is not enough to run a Company. If your product is a copy paste of any other Product or not fit as per the market then it will not generate sales and revenue and finally leads to failure and frustration.
3. Execution and Marketing :
Executing the Work Properly mostly depends on lots of Factors like Co-operation between Team members, Assigning Proper Task to each individual and Team member. Arranging a time to time Team meetings and Feedback, Making result oriented Team etc.
Nowadays Digital marketing is the best way to increase your online presence and driving traffic to the website. If your business is online then you must hire Best digital media Experts and growth hackers who can drive traffic to your website and make your website authority strong. Not having strong marketing skills is one of the biggest reason for getting failure of a startups.
Lack of Funding and Patience :
Startups need Patience and long term Vision. We need to Focus on our Work and our vision should be long term. From Ideation stage to making Profitable we see lots of ups and downs in our business. We need to have enough patience to stick to one work and vision and make them to reality.
Funding plays a biggest role for scaling the business but a startup should know when and how to use the fund . Most of the startup getting closed because of misuse of Funding and sometime they are not able to run the company because of lack of sufficient fund also.
Lack of Skill and Experience :
We have seen many Startups hire not many skillful and experienced candidates because of Salary issues or lots of other reasons. They should know that hiring the best candidates as per their product or company requirement will build a great team and they can analyze and understand your product very well.
Read more : How to build a Startup Company From Scratch In 2018
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