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Are you thinking about setting up a business this year? You’re probably worried about that little statistic that while just a number, points to a worrying picture. 97 percent of startups fail in their first year.
Why does this happen? A business can fail for a lot of reasons, but rather than listing all of them; you should look at this from another angle.
Don’t get fixated on why businesses fail, consider why that 3 percent of businesses succeed. As it turns out that’s a much easier question to answer, and once you understand why they succeed, you can follow in their footsteps. So, let’s look at some of the traits of successful businesses.
It’s true; diverse businesses are about 49 percent more successful than less diverse businesses. This is due to the fact that the world is essentially a massive melting pot. There are very few people they days who live less than thirty miles from the home where they originally grew up.
Instead, people relocate to different countries, continents and time zones to find the right job and set up a new life for themselves. When this happens, the entire world becomes a huge muddle of different people, culture and ideologies.
When you run a business, you have to make sure that you are appealing to your customers. Customers are more likely to connect to a business where they can relate to different members of your staff, and this is why it pays to be diverse. In particular, you should make sure that representation of men and women is more or less equal.
They’re Doing Good
A lot of new businesses have found success because they have had a philanthropic angle to the business model. A great example of this would be Bio-Bean in London. The tech firm was able to establish its name by helping London Transport service power buses with bio fuel.
By doing this, they were helping the planet, and it also helped build their brand. One of the first things you can be on the business market today is indistinguishable. If your company can’t be separated and see as a separate entity, then it will get lost in the shuffle.
Of course, you don’t need to have a tech angle for this type of business model to work. You just need to make sure that any area of your business is nonprofit. Non-profit lawyers are key to making sure that this section of your company is set up the right way. Essentially, the finances must be handled correctly.
They’re Being Innovative
Lastly, you need to think about keeping your business ahead of the curve. There is no point setting up a company if you’re going to offer customers things that already exist on the market. That’s not going to help you at all. Instead, it’s going to leave you in a situation where there will always be a better option that customers can choose. This is why you should spend a little time brainstorming ideas for your business before opening it on the market.