Nightmare For Startup
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Every stage along corporate journey faces different challenges and each may seem as nightmare for many executives to overcome. Though we know that terrains are rough, there had never been anyone told us about that business works just like a game where every deal is a progressive stage from another and discovery of the treasure is impossibly tough yet rewarding. Even professional players try out different tactics to overcome the devils before passing through angels’ gate. In reality, these devils are causing disruption to entrepreneurs before they are willing to give up such wonderful opportunity.
In startup phase, having negative cash flow is a common phenomenon and it is perfectly fine as large percentage of the startup fund goes to administrative charges and product development. Though it is normal, this is always a nightmare for entrepreneurs who whose motivation of continuing business is money. Unless the product provides good solution, hard fetched customers are unlikely to return and give recommendation, sustainable revenue is unlikely to fulfill and hence causing team to split with un-motivating figure. During startup phase, founders should think small by developing a good solution to solve real world problem. As time passes, entrepreneurs should only hope that news will spread viral through internet media and give rightful credits to the owner.
While investment is always what startups are hoping for, entrepreneurs should not be dependent on it. Money should not be the only factor that discourages the continuity of passion as soon as financial difficulties hit in. Enough for comfort, accepting investment might as well be lethal enough to kill the game. Investor who bring in fresh capital and professional network to support some potential products is in exchange for their rightful stake in the company. More commonly, they invest in potential startups while pushing the real value low in exchange for a higher stake and this might deal with amateur founders who are overly obsessed over capital. In time for harvesting fruits, the inventor will feel pinch once the mistake for accepting small initial investment. In some cases when objectives are not aligned, investors stress the amateur to hereby and accept the strategies that might not suit well to achieving corporate milestone.
Accepting investors from the same trade is important as one understands the same struggle that once appeared and knows exactly how to leverage the startup to global platform through its network. In all cases, new entrepreneurs should always take some time to discover beauty of its founding, stand by it and only make some sensible changes when it brings in true value in long term. Fear not if investors do not understand the principal of the business idea and should look beyond accepting investment for cash.
Entrepreneurism is a route that test on endurance to individuals. From the beginning time, ideas are generated quick and fresh, entrepreneurs are extremely hardworking in pushing through new products to the market without evaluating the public acceptance to new favor. While such enthusiasm is commendable, too much of adrenalin may lead to over exhaustion and disappointment for poor evaluated results. The whole process of building a brand is progressive, steps led from one to another should never be skipped; then gradually open more opportunities to revenue returns, partnership, investors’ investment or even bargained acquisition.
While those are factors can be predicted and controlled, the scariest nightmare about entrepreneurship is receiving insufficient public affirmation to adopt its brilliant solution. The founder may be the only person in this world who think it works. This is a fault of nobody. The presence of established brand has veered the nature of consumer purchasing behavior to making deals from accredited dealer to avoid negative experience. Hence, it is always good to understand that entrepreneurialism is a lonely process where every gritty matter needs to be faced alone regardless of all possible outcomes.
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