Most startup businesses in India remain in doubt about their growth in the competitive market. This happens due to varied reasons, which may lead their insecurity to survive in the market hardly. Below are 10 major reasons behind the failure of startups in India such as:
Many of the startup businesses have issues with sufficient fund, which is the most prominent need for a trade to start or the put first stone in the market. If there is a lack of money in hand, then it becomes difficult to arrange necessary raw material, machines, equipment, staff and other basic necessities of a startup firm. Thus, it’s mandatory to have enough fund in advance before going to establish a new venture in the market.
Inadequate Client Dealing by Non-professionals
There are many startup businesses in the market, which are facing difficulties while dealing with their clients. As they do not have skilled staff or professionals, who are able to handle with the customers or resolve their queries related to product and services smartly. With untrained staff, it’s been difficult to satisfy with clientele and make sure about on time services to win their trust.
Less Market Experience
By having a team of less marketing experienced staff or professionals, it becomes very difficult to win the trust of clients and business partners. However, many startups do not have a potential sales workforce to understand the requirement of their customers and make false promises by the sales people with patrons. All the factors will lead the doubt in the minds of clientele, if sales & marketing professionals of the company do not give a positive response towards their duties.
Taking into account of failure of startups, unskilled staff is also a big reason for that. The untrained workforce related to diverse departments of a firm such as management & administration, technical, operations, customer support etc., If there are some unprofessional people working in the team, they might be found capable to meet their target. It impacts badly on the revenue and performance of the company will also go down in the end.
Less Number of Investors & clients
The startups are lacking in the market due to the less number of investors, who do not trust on the new ones. With less fund investors and clients in the market, it seems difficult to imagine future of any startup. As it does not give options to move ahead in the industry.
No Action Plan
Without having any action plan, it’s not easy to streamline the business and run it on the right track. However, every business needs to have a strong action plan to check out needs and execution of the strategies designed in the blueprint.
No Team Management
With a scattered team of employees in the house, it’s not easy to manage all works on time. However, every startup needs to do right management of the staff according to the caliber and skills of team members wisely.
Less Experienced Mentors
By having less experienced mentors, it becomes quite difficult to lead the team and employees of a department. As the head of the department plays a significant role to supervise the fresher workers and employees to perform correctly and smartly.
No Quality in Products & Services
Every company, whether it’s a startup or growing one has to deliver quality in their products and services of all types without fail. As, customers do impress with the quality in all works delivered by the firm. Thus, the quality in services is also a big concern for every startup that should be taken care of wisely.
On time Delivery
Delivery of the required products or consignment on time is also an important aspect of every business. If a startup is not able to deliver the item on time, then it may lead a negative impact on the customers and will also lose the trust on the firm.