Believe it or not, a lot of businessmen long for the days of their first ventures and companies. They miss the passion, dedication, excitement and other dynamics involved in building a company from scratch.
This is why the startup fever is something that big businesses want to create. But what business incubators in Silicon Valley have as an edge compared to your ordinary startup is a wealth of tried-and-tested business strategies. If you can mix innovation, passion and sound financial strategies, you may just be setting up your company to last longer than five years.
Here are some key pieces of advice that business experts want startups to know:
1. Plan for worst case scenarios
A crumbling business isn’t so scary if you know what to do when the worst happens. Talking to insolvency firms in Perth, such as hardieslawyers.com, even before you’re in the red can help you stay afloat during dry spells and slow months.
2. Provide excellence and professionalism so you can demand it in return
Better products, on-time delivery and fully-paid contracts are the best way to make it easier to demand the same from customers and suppliers. You’ll feel less like you need to give way and please delinquent clients if you can offer better service to customers who respect you.
3. Offer benefits and bonuses for early payments and bulk orders
When you’re starting out, you have to incur some losses or sacrifice profits so you can get on the good side of industry influencers and market leaders. But this doesn’t mean you lose capital. You gain credibility and build good relationships with the right people when you give incentives for being good customers.
4. Always have a plan B when it comes to cash reserves
Dry spells are an inevitability for a startup. Planning for these events ahead of time help you get through them much easier and with less stress. Everything also seems less difficult if you already have a borrowing facility or cash reserves on standby.
Balancing shrewd business sense with passion is the key to surviving beyond the startup phase. Remember these great pieces of advice from Australian business experts so you survive longer than other startups.