Innovators and entrepreneurs face a lot of challenges in today’s contemporary business world. There are a lot of resources online to enable them curb some of the challenges, but it seems there is need for more practical solutions rather than the usual textbook solutions. Innovators come up with ideas quite often that offer good solutions to problems we encounter daily, but transforming it into a business becomes the hurdle, that's now how entrepreneurship comes in. It is at times so difficult to be good in both innovation and entrepreneurship, that’s why partners are of essence. Do not be selfish with your idea, share it out to your partners to be able to get their feedback and builds on the same. They will also help work on the market strategy, seek avenues to raise capital and create valuable networks for your success. Having a mentor is an added advantage since they often challenge your ideas and help you brainstorm on other unchartered ventures. Here are some of the challenges that most entrepreneurs encounter and their possible solutions.
1.Lack of self-confidence.
“What will people say about me if I fail”, this statement is the major mental roadblock to success.The lack of courage to step up and face the challenges and all the negative talk is what makes most potential business ideas to remain dreams to their beholders.
You may be running a business that is neither growing nor meeting its set targets. This can be really frustrating and can make one lose their confidence in the business and end closing shop.
To overcome such, form a well-researched strong support team which knows you well. They will guide you in making your goal lists and will work hard and smart to enable you achieve the success. Persevere and bear in mind that the undertakings that you engage in now are definitely going to bear fruits in future.
2.Marketing.
Different marketing strategies have also different outcomes. Print media, online, advertising and also social marketing are some of the few. The challenge is always to pick that which is economically efficient and meets its targets in the shortest period possible.
The best way is to outsource your marketing plan to marketing firm or a freelancer who has a large mass of followers on social media to put out your ads. Have concrete marketing activities like promotions for customers gets into draws to win grand prices, which will motivate customers to try your product. Ensure that the allocated amount is well crafted and serves a long-term benefit to the business.
3.Accounts management.
The main challenge experienced is management of the cash flow. Sometimes one is not able to separate the business funds, from personal funds. At times when you are given tenders to supply goods or services to customers invoices written mature after a period of thirty days, this leaves you struggling to maintain your business and pay your personal bills.
To overcome such learn to separate business funds from your personal funds.You also need to be a pundit in understanding and managing the working capital requirements of the business. Some strategies include seeking down payments from customers, balancing average collection period against the average payment terms, establish a friendly relationship with both your suppliers and customers, to make them understand your working strategy among others.Above all always have and stick to a well-planned budget.
4.The Capital challenge.
This is assumed to only affect first timers who are setting up their startup businesses but it cuts across to also the established ventures that needs to grow. There are many avenues nowadays to earn business funding like loans, investor’s funding and also well-wishers contribution. That’s one way to start or grow your business. I would advise especially for those who already have set up shop to let the business fund its own growing culture. The lack of patience in most entrepreneurs tarnishes this norm. The Priorities set at times is a bit worrying, since it mainly aims at building multi-dollar business empires rather than focus on customer satisfaction, and production of quality products and services. Starting your business small and letting it escalate its way up is the best option, since it enables you to deal with each challenge at every stage before it becomes a problem at a later stage.
5.Tasks delegation.
You cannot engage yourself in all the activities, thinking that without you nothing can go according to your expectations. Admit your weakeness and give chance to the specialists. Outsourcing the tasks to contract companies is way to go about it though it might be expensive, but it translates to save a lot in the long-run. When engaging such firms, clearly outline what you want done, and how you want it done. Assuming that they have been trained to do the job well be a disservice to the business. A good example is when you bring system auditors on board for maintance or seal some security loope holes, and you don’t tell them what is system isn’t doing right and you expect them to fix system just because they are trained for the jobl.
6.Product management.
It so hard to pick on what to sell, to compete the well-established products in the current market. You may have an idea of a product but it has to meet customer needs and be sustainable in the market. The solution for such in startups is to delegate the role to a research guru in the field. A freelancer is the best option because hiring a huge marketing or PR firm may be expensive and ends up financially straining your business. Their experience in market research, retail or service industry will enable you know the strengths, weaknesses, opportunities, and threats of the proposed business. The report that will be issued will be play a major role in your decision making, therefore entrepreneurs are advised to stick to their own decisions and not be influenced by a second or third party.
7Lack of managerial skills.
It is a problem that most startups encounter since most of them do not have enough funds to hire managerial experts. It could be in marketing, human resource or finance. It becomes expensive for them to maintain such employees’ on full time basis. The solution to such is hiring a part time manager or a consulting firm to oversee the running of the business, identify financial traps and give ways to go about them. Having a superb managerial team is all you need to take the business to the next level.
Wawerukamotho97@yahoo.com
Content sources: Business insider UK.
www.theentreprenuermagazine.com
www.fortune.com
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