owner of a startup, you are definitely a risk-taker. The danger is that you may
become comfortable with taking a risk that you can sometimes ignore smart and
simple ways to minimise the impact of any potential failure.
risks. Applying this will lessen the chances of your business
failing.
Diversify your income
You must not depend on one
source of income as a business man. The reason for having multiple sources is to
cushion the effect of business failure.
Save more money
When
you build a business, there is nothing more comforting than having a savings
account. This will come handy when times are tough. Importantly, you should
never go on a spending spree especially when your business is
booming.
Do a market research
You must never start a business
without doing a market research. This is will give you an idea of your target
users/audience as well as determine the sustainability of your
product.
Business forecast
You do not need superpowers to
make a business forecast. There are basic things you can predict including when
you are going to run out of cash, periods when turnover will slow and when you
have to cut cost. If you cannot do this, you can employ an
expert.
Work hard
As an entrepreneur, you have to work
round-the-clock. Despite this, you have to ensure that you do not only work hard
but work smarter. In addition, you must find a work-life balance to prevent
entrepreneurial burnout.
Insure against risks
As a startup,
the last thing you will think of is insurance. This is because you are probably
bootstrapping to run your enterprise. Regardless, you should still insure your
properties in case the business fails. It will prevent you from losing
everything.
