Why Most of the Startups Get Failed | Reasons Why Startups get Failed

 

Introduction to this Article

Hi Guys, Welcome to another blog. In today's blog, we are going to analyze that why most of the Startups get failed in their early days. While Recently I have discussed 'Top 10 Startups In India' If you want to read that article just click here.

If you have read the previous article you can predict why most of the startups get failed in their early days. While this is the main topic of our today's blog.

As you know that in 2015, the Indian government has started a startup revolution and encouraging youngsters to start up their business with the help of government. Prime ministers said that the Indian government is going to give Rs 10,000 crores funds to encourage youngsters to promote their creative business idea into the practical business or startup;

And many new startups got huge funds for their business but in the end, they get failed to grow their business in the next level. Why those startups get failed? I'm gonna be showing you the reasons that why 90% of startups get failed in their early days. Also, I'm gonna be giving some great tips to grow your business into the next level. As these are not only the reasons for getting failed in their business career, there are a lot of reasons of getting failed in the business, but these are the common reason that most of the failed startup does.

Top Reasons why most of the startups get failed

Now, Before moving on to the reasons be sure to subscribe to our blog for more articles like this one.

An Entrepreneur never fails, Only when he fails when he stops doing. It doesn't mean that your startup gets failed you cannot do business learn from your mistakes and bring improvements as innovation in your business.

• More Relying on Funds

Seriously, An organization structure is very important in any business whether it is small or big. 'Size Doesn't matter'. Likewise, many new startups rely on the funds to start their business for the next level growth but If you see the history of the big companies like Google, Facebook, or any other big companies, when they started their company as a startup they haven't relied on funds. Yes, I agree that funds are the most important thing in business growth but always remember the idea and execution of your idea into the practical way in the business is more important compared to funds needed on business for the idea execution. 

Well, Relying more on funds depending on the nature of the business or the business idea. The creative idea doesn't mean that your business will grow on the next level and that's come to the next point.

• The idea doesn't matter Most

Many youngsters think that idea matters most but my friend idea matters but not most. Many of you don't want to do business or start up their startup and we also come to creative ideas on our mind, But we don't execute because we don't want to do business; And some of us want to start business and we also come to great creative ideas but many of us don't implement on their business.

The creative idea doesn't mean that your business will grow surely. And this is the biggest problem occurs when a youngsters start his business but the owner of the startup doesn't realize this problem. 

While before implementing your creative idea on your business you need to study following things to overcome more risk of your idea.

• Study your marketplace
• Know your competitors that How they implement, How they market their product.
• Study the market condition
• Copyrights
• Trademarks
• Branding
• Marketing
• Advertising
• Financial Skill ( Next Point )

Always remember if you want to grow your startup on the next level always learn and gain experience. "An Entrepreneur never fails he learn from his failure and bring improvements as innovation".

• Financial Skills

Before starting anything whether it is business or anything out there you need prior knowledge to sustain your growth on any field whether it sports or business. And that brings to the most important knowledge that a startup owner doesn't have is 'Financial Skills'.

Financial Skill is very important in any business whether it is an online or offline business. Financial knowledge helps you to decide when? where? why? to invest in your business. Likewise, if you don't know which thing or improvement we should bring in our business to increase our growth in the market. 

Financial skills can also be called as soft skills every businessman or normal person should have according to a different situation. While financial skills is a very vast topic to discuss. 

• They Don't bother to learn new things

As a learner, I suggest that everyone should have willing to learn new things because that will help you to gain new experience and that's the important thing which helps in small business to grow on the next level.

I don't think that learning new things is harmful to you rather it is more beneficial to you. If you want to start your startup and grow very fastly learn from your mistakes as well as from other businessman mistakes cuz to grow your startup to big company learn from other companies and find a problem so that you can bring the solution as improvement or new product on your business.

• They don't invest

Usually, Many of us don't invest whether it is time or money or anything. After learning new things for business we should invest that knowledge in their business to grow it on the next level. Also, If you have your first profit or salary don't do party or anything which waste your money as well as your time. Invest your time and money to learn new things whether it is riskful or clear, Always remember you are investing your money and time to gain experience not to earn more money.

• They usually focus on Profit not Quality

Before starting your startup you need to ask a question that Why I'm doing this activity to earn a profit or to solve the market problem through py product. Likewise, Amazon solved everyone's problem through the internet. Likewise, if your product doesn't have superior quality and you are spending more money on marketing of your product what will be the result of this? Yes, Consumer will not buy your product because your product is way too expensive and doesn't have superior quality in it. So, Always focus on Quality then the profit will increase automatically.

As there are more reasons that why startups failed but these are common in every failed startup.