{"id":13020,"date":"2018-02-21T16:16:08","date_gmt":"2018-02-21T13:16:08","guid":{"rendered":"https:\/\/www.ibtdi.com\/?p=13020"},"modified":"2018-02-21T16:16:08","modified_gmt":"2018-02-21T13:16:08","slug":"5-major-reasons-behind-the-failure-of-startups","status":"publish","type":"post","link":"https:\/\/www.ibtdi.com\/en\/5-major-reasons-behind-the-failure-of-startups\/","title":{"rendered":"5 Major Reasons Behind Startup Failure"},"content":{"rendered":"<p><a href=\"https:\/\/wp.me\/p6Laog-3o0\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter\" src=\"https:\/\/www.meydan.tv\/images\/cms-image-000030118.png\" alt=\"Related image\" width=\"422\" height=\"397\" \/><\/a><\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">There is no doubt that the risk of failure <a href=\"https:\/\/www.ibtdi.com\/en\/22-lessons-for-founders-of-startups-from-oliver-sommer\/\">Startups<\/a> is significant. Starting a business is inherently risky, and <a href=\"https:\/\/www.ibtdi.com\/en\/wrong-popular-beliefs-about-entrepreneurs\/\">\u0631\u0648\u0627\u062f \u0627\u0644\u0623\u0639\u0645\u0627\u0644<\/a> \u0623\u062e\u0630 \u0627\u062d\u062a\u0645\u0627\u0644 \u0641\u0634\u0644 <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">their startup may fail into account. There are <a href=\"https:\/\/wp.me\/p6Laog-3o0\" target=\"_blank\" rel=\"noopener\">five key reasons startups fail, <\/a><\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">Mistakes entrepreneurs should avoid to set their startups up for success:<\/span><\/p>\n<h2 style=\"text-align: center;\">.<br \/>\n<span style=\"font-size: 28px; font-family: 'comic sans ms', sans-serif; color: #00ccff;\"> <strong>Starting a startup solely to make a profit:<\/strong><\/span><\/h2>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">\u00a0\u064a\u062e\u062a\u0644\u0641 <a href=\"https:\/\/www.ibtdi.com\/en\/10-steps-to-establish-your-startup-company\/\">Starting a Startup<\/a> Unlike starting other types of businesses, launching a startup requires you to first believe in your idea and define a vision for the company, then work to achieve it. After that, you look for <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">\u0627\u0644\u0634\u0631\u0643\u0629 \u0648\u062a\u0639\u0645\u0644 \u0639\u0644\u0649 \u062a\u062d\u0642\u064a\u0642\u0647\u0627 \u0648\u0645\u0646 \u062b\u0645 \u062a\u0628\u062d\u062b \u0639\u0646 <a href=\"https:\/\/www.ibtdi.com\/en\/4-%d8%ae%d8%b7%d9%88%d8%a7%d8%aa-%d9%84%d8%aa%d8%ad%d9%82%d9%8a%d9%82-%d8%a7%d9%84%d8%a7%d8%b1%d8%a8%d8%a7%d8%ad-%d9%81%d9%8a-%d8%a7%d9%84%d8%a7%d8%b3%d9%88%d8%a7%d9%82-%d8%a7%d9%84%d9%85%d8%a7%d9%84\/\">\u062a\u062d\u0642\u064a\u0642 \u0627\u0644\u0623\u0631\u0628\u0627\u062d<\/a>If you start a startup solely to make a profit, you are bound to fail, because <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">a startup demands sacrifice and great ambition from its founder. Most importantly, the founder\u2019s passion for the idea behind the startup helps them persevere until it becomes profitable. By contrast, someone who starts a company solely to make a profit won\u2019t have the patience to wait for their company to become <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">profitable. <a href=\"https:\/\/www.ibtdi.com\/en\/how-do-you-make-the-best-profits-in-forex-markets\/\">Profits<\/a>\u060c <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">As a result, the company fails and exits the market.<\/span><\/p>\n<p>.<\/p>\n<h2 style=\"text-align: center;\"><span style=\"font-size: 28px; font-family: 'comic sans ms', sans-serif; color: #00ccff;\"> <strong>Poor management and ineffective team leadership:<\/strong><\/span><\/h2>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">\u00a0\u0644\u064a\u0633 \u0628\u0627\u0644\u0636\u0631\u0648\u0631\u0629 \u0623\u0646 \u064a\u0645\u062a\u0644\u0643 \u0631\u0627\u0626\u062f \u0627\u0644\u0623\u0639\u0645\u0627\u0644 \u0645\u0647\u0627\u0631\u0627\u062a \u0625\u062f\u0627\u0631\u064a\u0629 \u0648\u0642\u064a\u0627\u062f\u064a\u0629 \u0643\u0627\u0641\u064a\u0629 \u064a\u0633\u062a\u0637\u064a\u0639 \u0645\u0646 \u062e\u0644\u0627\u0644\u0647\u0627<a href=\"https:\/\/www.ibtdi.com\/en\/6-rules-make-team-leadership-easy\/\"> lead the team<\/a> to make the company successful. In this case, the <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">entrepreneur should bring in a CEO with strong management and leadership skills who can help the startup succeed. An entrepreneur who lacks management skills but insists on running the startup <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">will often cause it to fail.<\/span><\/p>\n<h2 style=\"text-align: center;\">.<br \/>\n<span style=\"font-size: 28px; font-family: 'comic sans ms', sans-serif; color: #00ccff;\"> <strong>Insufficient funding for the startup<\/strong>:<\/span><\/h2>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\"> An entrepreneur should ensure that <a href=\"https:\/\/www.ibtdi.com\/en\/funding-for-your-own-project\/\">Funding<\/a> their startup is funded for at least three years without taking expected profits into account, as profits may be delayed. <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">As a result, expected profits cannot be relied on to fund the startup. There may come a time when the startup cannot cover its expenses if it lacks <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">sufficient funding or relies on profit-based financing. This may force the company to close due to financial insolvency.<\/span><\/p>\n<p style=\"text-align: center;\">.<br \/>\n<span style=\"font-size: 28px; font-family: 'comic sans ms', sans-serif; color: #00ccff;\"> <strong>Poor planning for the startup<\/strong>:<\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\"> Startups often fail because they lack a clear plan or specific goals to work toward, which inevitably wastes company funds. <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">startup and scatter their efforts <a href=\"https:\/\/www.ibtdi.com\/en\/%d8%a7%d9%84%d8%b3%d9%85%d8%a7%d8%aa-%d8%a7%d9%84%d8%a3%d8%b3%d8%a7%d8%b3%d9%8a%d8%a9-%d9%84%d9%81%d8%b1%d9%8a%d9%82-%d8%a7%d9%84%d8%b9%d9%85%d9%84-%d8%a7%d9%84%d9%86%d8%a7%d8%ac%d8%ad\/\">Team<\/a>.<\/span><\/p>\n<h2 style=\"text-align: center;\">.<br \/>\n<span style=\"font-size: 28px; font-family: 'comic sans ms', sans-serif; color: #00ccff;\"> <strong>Building a startup as a large company from day one:<\/strong><\/span><\/h2>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">\u00a0\u0625\u0646 \u0648\u062c\u0648\u062f \u0631\u0624\u064a\u0629 \u063a\u064a\u0631 \u0645\u0646\u0637\u0642\u064a\u0629 \u0644\u0644\u0634\u0631\u0643\u0629 \u0627\u0644\u0646\u0627\u0634\u0626\u0629 \u064a\u062f\u0641\u0639 \u063a\u0627\u0644\u0628\u064a\u0629 <a href=\"https:\/\/www.ibtdi.com\/en\/5-keys-to-achieve-balance-in-entrepreneurial-life\/\">\u0631\u0648\u0627\u062f \u0627\u0644\u0623\u0639\u0645\u0627\u0644<\/a> to establish large companies from the outset and spend huge sums on rent and furnishings <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">and incur hefty costs by hiring a large number of employees, along with other signs of a company\u2019s size. This excessive enthusiasm on the part of the entrepreneur and the vision <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">Unrealistic expectations for a startup will lead to failure, because after some time the entrepreneur may no longer be able to cover the company\u2019s high expenses. <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">Instead, entrepreneurs should start their companies small\u2014or even without an office\u2014and then work to grow them. Some of the most famous <\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-size: 20px; font-family: 'comic sans ms', sans-serif;\">entrepreneurs started modest companies, or even launched their startups without an office.<\/span><\/p>","protected":false},"excerpt":{"rendered":"<p>&nbsp; \u0644\u0627 \u0634\u0643 \u0623\u0646 \u0627\u062d\u062a\u0645\u0627\u0644 \u0641\u0634\u0644 \u0627\u0644\u0634\u0631\u0643\u0627\u062a \u0627\u0644\u0646\u0627\u0634\u0626\u0629 \u0627\u062d\u062a\u0645\u0627\u0644 \u0648\u0627\u0631\u062f \u0648\u0628\u0646\u0633\u0628\u0629 \u0643\u0628\u064a\u0631\u0629\u060c \u0641\u062a\u0623\u0633\u064a\u0633 \u0627\u0644\u0634\u0631\u0643\u0627\u062a \u0627\u0644\u0646\u0627\u0634\u0626\u0629 \u0645\u062d\u0641\u0648\u0641 \u0628\u0627\u0644\u0645\u062e\u0627\u0637\u0631 \u0648\u0639\u0644\u0649 \u0631\u0648\u0627\u062f \u0627\u0644\u0623\u0639\u0645\u0627\u0644 \u0623\u062e\u0630 \u0627\u062d\u062a\u0645\u0627\u0644 \u0641\u0634\u0644 \u0634\u0631\u0643\u0627\u062a\u0647\u0645 \u0627\u0644\u0646\u0627\u0634\u0626\u0629 \u0641\u064a<span class=\"excerpt-hellip\"> [\u2026]<\/span><\/p>\n","protected":false},"author":3,"featured_media":13030,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_ibtdi_aa_focus_keyword":"","_ibtdi_aa_secondary_keywords":"","_ibtdi_aa_audience":"","_ibtdi_aa_tone":"","_ibtdi_aa_summary":"","_ibtdi_aa_reviewer_name":"","_ibtdi_aa_reviewer_bio":"","_ibtdi_aa_reviewer_url":"","_ibtdi_aa_reviewed_date":"","_ibtdi_aa_service_id":"","_ibtdi_aa_related_ids":"","_ibtdi_aa_human_reviewed":"","_ibtdi_aa_disable":"","_ibtdi_aa_disable_links":"","_ibtdi_aa_sources":"","_ibtdi_aa_update_notes":"","footnotes":""},"categories":[491],"tags":[15490,2027,782,785,4563,15491,10234,793,2055,11597],"class_list":["post-13020","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-491","tag-5-------","tag-2027","tag-782","tag-785","tag-4563","tag-15491","tag-10234","tag-793","tag-2055","tag-11597"],"_links":{"self":[{"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/posts\/13020","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/comments?post=13020"}],"version-history":[{"count":0,"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/posts\/13020\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/media\/13030"}],"wp:attachment":[{"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/media?parent=13020"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/categories?post=13020"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ibtdi.com\/en\/wp-json\/wp\/v2\/tags?post=13020"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}