Planning to finally go for your dream business, but the bank is running a little dry? Putting up a business in the middle of a global pandemic is definitely not the easiest thing to do both economically and financially. The current situation has started to freeze large-scale funding for startups. Finding alternative sources is also particularly harder.
Several statistics have also come out recently saying that only about three percent of aspiring business owners today will be able to get their hands-on significant funds that would enable them to raise the capital they need. That’s right. Three percent. The chances are not looking very bright, so what should you do? Or better yet, what can you do?
- Start by looking at the gap you can fill. “Is there a gap in the current market? What can I do differently to uniquely and successfully fill that gap?” Take the opportunity of the current chaotic market to identify unfulfilled customer demands and needs that may have arisen due to the pandemic.
2. If things don’t go right, go left! If investors or outside financiers take a liking to your ideas, then you’re in the game. If your unique ideas fail to be extraordinary and you don’t get the funding that you need, it’s not the end of the world. In fact, sometimes, putting up a business is not all about being the pioneer, or being so extraordinarily unique. Sometimes, it’s all about knowing the right people. So if asking yourself about the gap you can fill, you can ask yourself, “What do I know and who do I know?”
3. Thoroughly assess what you have. Before looking at other sources of funding, you may want to take advantage of yourself first. Consider your skillset, history, and experience. You should also know exactly what tangible resources you have access to. What you have or had experience and access to can be a good tool to build your business venture.
4. Reach out to the right people, make a map of your network. Doing things alone, especially in the business world is not going to be easy. So scour your memory for the people that you personally know, or that your friends personally know that you believe can help you. Whether it’s through financial gains, valuable field insight, or technical skills and expertise, extra hands on deck would be valuable for you.
5. Be aware of loss and failure. These two things are almost synonymous with business and success. So make sure to only invest what you are willing to lose. Do not make the rookie mistake of “giving everything that you can” in the hopes of making it work and getting your investment return. Instead, identify the amount that you can afford to lose, secure your overall financial stability, and try to make however much that is to work. Small amounts are easier to manage anyway, and in case of failure, you will have room to invest again and you won’t end up losing everything you have.
6. Get ready for change and embrace it. Being flexible and adaptive to the market is a huge game-changer in the field of business. This economy and the global pandemic are good examples. So don’t be afraid of starting out having one idea and end up venturing on a totally different one. Take advantage of the “newness” of your brand. Older and more established companies usually find it harder to adapt to changing times because, well, they are already established.
7. Take advantage of cheap but effective digital marketing. As a startup with very limited budget, social media and the digital space is your best friend. Though the market is undoubtedly saturated, it does have undeniable potential and reach. This is also something that you can do yourself, especially when you’re just starting out. With all the free tools and websites, you wouldn’t need to outsource and spend extra cash.
8. Google is your best friend, and it’s not the search bar. Google Trends and Google Analytics are just some of the accessible tools that you can use to get an idea of the latest trends around you. These can help you target specific locations, age demographics, and pop cultures. Google Ads is also a handy tool if you want to get into paid ads and product listings.