BUT 8 THINGS TO CONSIDER…
I have always argued that if you want to launch a new business,product,services then March is the best time in the year.Why? You ask.
In the month of January everyone still has the Christmas hangovers in them, the traffic is so slow and they are all trying to pick up from where they left in the previous year. In February, everybody is catching up. For an entrepreneur, this is the time to start sending out E-mails informing the target audience of the new product /business to be launched and informing the clients to mark their calendars as the business event to attend.
For the new month , the year is still young if I may say so. Many aspiring entrepreneurs will flirt with the idea of leaving their full time employment and start their own businesses. However, the current slowdown in economic growth and uncertainty will be enough to discourage even the most determined people from taking a leap of faith.
The reality is that times are tough. Therefore, strong-willed entrepreneurs who want to forge ahead with their business ideas, will have to tread cautiously and be prepared to deal with the many risks and challenges associated with starting a new business.
Even when the economy is doing well, we still see about 90% of all start up businesses in Kenya failing during their first year of inception
Furthermore in the beginning of the year the economy is not doing well in that, consumers often have less income at their disposal. So, during this time they are looking for value for money, and will not think twice about supporting any business that offers value.
Starting and operating a business when times are tough can often benefit the entrepreneur in the long-term, as it places the business in a good position to thrive when the economy recovers.
Industry and competitor research —It is important to do thorough and comprehensive research about the industry and your competitors. Failure to do so, results in start-ups failure in the early stages.
Business plan — A water-tight business plan which has been scrutinized to the finest detail is essential when starting a business in tough times. You simply cannot afford to let anything slip.
Capital — Before starting a business make sure that you have enough capital to cover basic and unplanned business expenses. If things don’t go according to plan, you will find yourself in financial difficulties.
Outsource — Many new entrepreneurs often make the mistake of wanting to tackle everything on their own; at the expense of the business. Is it essential to outsource whenever possible. For example, you cannot be an accountant, fleet manager, events specialists and managing director at the same time.
Risk management — When starting a business, it is essential to take all possible risks into consideration and be prepared to adequately deal with them. The first step is to compile a risk management plan.
Cash Flow management — Properly managing cash flow both in and out of the business can often determine its success. Therefore, implementing good cash flow management principles from the onset is essential.
Customer needs — Identifying a customer problem that requires solving and creating a customer centric solution is absolutely key. Customers must accept that the problem they are experiencing needs solving, and that your solution is the one they want.
Pursuing transformative purposes — Entrepreneurs should attempt to solve problems that resonate with them, which are important enough for them to focus their efforts on, and continue to pursue, even when the going turns rough.