Negosentro.com | Important Tips to Help You Run a Tech Business | Although running a tech Startup is exciting, it can also be challenging. Even if you have a compelling idea, you have plenty of work to do before you can develop a scalable business model. If you don’t lay the groundwork, your Startup could crash before it has a chance to thrive. Here are some important tips to help you run a tech business:
#1 Have a Healthy Cash Flow
There are many reasons why most Startups fail. They either don’t have a good value proposition or they lack a good business model, or their management team is poor. But one of the most tragic reasons is that they run out of cash.
A Startup can need a cash boost at any time. For example, if your business has scaled well, it may need more funding to speed up its expansion. But even with a proven business model, additional funding from angel investors, venture capitalists, crowd funders, and Startup accelerators can take time. Here, you can consider applying for short term business funding from an alternative funder that approves most applicants and provides money rapidly.
Such a funder can provide a loan of up to $150K within two weeks at competitive interest rates. Interestingly, the size of the funding is based on your personal credit score. The higher the score, the better your chances of qualifying for a business credit card or a personal loan for your Startup.
#2 Have a Balanced Team
Many Startups struggle because their teams are mostly technologically focused. The truth is that you’ll need a team that can manage the commercial, marketing, sales, and operations of your Startup as well.
#3 Have Realistic Expectations
While it’s easy to get ahead of yourself when you are part of an exciting Startup, this can be counterproductive. Although your goals should be high, they should also be realistic. Unrealistic expectations can demoralize the team.
#4 Prototype Early
Instead of waiting till you acquire capital to start app development, create a simple prototype that allows your audience to interact with the product. Your product is more likely to generate buzz this way.
#5 Know Your Audience
Consider minimizing the technical jargon when speaking at business presentations. Know your audience and speak in a language that they can understand. Don’t just get lost in the technology. Your audience should understand the business benefit of your product.
#6 Don’t Be a Zombie Startup
Many tech Startups pitch models based on customer data and not sales. Investors have noticed that while these companies keep going after funding dries, they don’t grow. Termed as Zombie Startups, these businesses are no longer considered attractive investments. Make sure that your Startup has long-term goals and can generate actual sales to real customers to stand out from Zombie Startups.
If a plan isn’t working, then heed the signs. Accept feedback from your team and learn to adapt. Create a company culture where great ideas are given a chance to flourish.
Remember, that there’s no foolproof way to run a successful Startup. Stay organized, believe in yourself, seek support when you need it, and enjoy the process.