SMEs - Tag Archive

Common Reasons Online Business Startups Fail

9 Replies Debra Johnson

It seems like starting a website should be easy enough – there are almost unlimited free online resources spouting off advice, it can be relatively cheap to launch a website, and, naturally, you have the best business idea for your website. So why is it that so many website startups fail?

1. Low Quality Web Design

One of the biggest mistakes that web startups make is having poor web design. Your website is the most important aspect of you company so why would you skimp on that? The overall design of your site is what initially draws people in, it’s what their first impression of you as a company is, so having a solid website design is crucial to your success.

2. Poor Content

In the same respect as low quality web design, having poor content on your site will be a huge turn off to people. To retain visitors you need to be able to provide content that wows them. You want to show anyone and everyone that visits your site the best you have to offer, so why would you fill your site with uninteresting or poorly written content?

3. Poor Marketing

Google SEO Chart

Google is one of the best places to start your online marketing – both simple SEO and paid ads are are good place to start.

You can have the best website and the best content in the world, but if no one ever sees it then it won’t really matter, will it? You can never retain a customer if you can’t even catch their eye to begin with. This is why it’s imperative to spend ample time marketing on social media, through email campaigns, and through traditional marketing routes. You have to be willing to put time and money into your marketing scheme to achieve the best possible outcome – after all, you reap what you sow.

4. No Passion

Picking a niche market just because you think it will be profitable is one of the worst reasons to start a business. You have to actually be passionate about what you’re trying to make money off of, otherwise it’s going to be a lost cause and people will be able to see right through you.

5. Not Enough Funds

When you don’t allocate enough money for a startup company, you run the risk of forcing the company to fizzle out because you lack the proper funds to keep it going – or worse, you risk driving yourself into debt.

Get rich quick schemes rarely work in life and the same holds true for web startups. The road to success can only be reached by hard work, dedication, and money. So if you’re contemplating launching a startup business, make sure that it’s something you really want to do, otherwise you’ll be doing your potential customers and yourself a disservice.

Advantages of working for a startup

9 Replies Susan

Ask any recent college graduate today what their number one worry is and it will no doubt be “getting a job”. Today we are bombarded with the discussion of a failing economy, record unemployment, and the impossibilities of landing a job.

It’s a terrifying thing to face when the past four years your life has consisted of all night study sessions in the library, drunken weekends, and the endless hopefulness of a soon-to-be college graduate.

Graduation papers and a graduation hat

Graduation doesn't guarantee a job

While landing a job is no doubt extremely difficult in today’s society for any individual, there are numerous opportunities available out there for young graduates.

One idea is to apply for jobs at startups and SMEs, rather than applying to those cushy jobs at the major corporations, which are in high demand.

Here are three reasons working for a startup company might be a better choice than that corporate office high-rise.

More Responsibility

Yes, more responsibility means more work, which can also mean more opportunities. Responsibility is a good thing in the working world. Not only will job functions and demands that require more responsibility look better on a resume, it will also make your daily work more interesting and rewarding.

One thing about working in an ‘entry level’ job at a big corporation that can be really discouraging, is how little control and say you often have in the operations of things. At a startup company you will likely be working with a small, close-knit group of individuals.

Startups look for individuals with specific skill sets and drive, that are unique and useful for their specific job description. This means that you will be unique among your peers. You will have a voice within the group that wants to be heard. Much of this has to do with the mere scale of the operations.

At a startup company, operations are small and groups are small – every voice and idea is important. More responsibility means more work, but more work means more experience and more experience means greater rewards – potentially money. The bottom line is that it is easier to move up and forward in a small startup than it is in an established corporate office.

That said, startups often have flatter organisational structures, so there are less chances for promotion than in larger firms.

The Startup Atmosphere

If you’re looking for buttoned down corporate America, a startup is most likely not the right path for you. Due to their size and calibre, most startup companies exude an extremely relaxed atmosphere.

You won’t have to go out immediately after graduation and spend a small fortune on business attire. Typically, jeans and casual wear will cut it at a startup company. Of course, this casual atmosphere isn’t always the case and it will depend on the type of business the startup is involved in. You do get big corporations that have similar relaxed or non existent dress codes too, but it is usually more common among SMEs.

Furthermore, in a startup, the offices are typically small, young, and cohesive, hence the atmosphere in the office is more relaxed. I’m not saying you should count on this and this should not be your sole reason for seeking a job at a startup company, but it certainly can be a perk for a recent college graduate, or anyone who doesn’t like the idea of always having to wear a suit and tie.

Work Will Be Recognized (Good and Bad)

One of the most common complaints you hear from those in the working world is that their constant hard work goes unnoticed. This can be an extremely difficult thing to deal with. Feeling like you are putting in your greatest effort and doing a good job at it, but getting no recognition in return can be extremely disheartening. It seems that big corporations are the biggest offenders for this.

Of course, it can be nearly impossible to give your employees due credit for the hard work when you have hundreds (if not more) of them to oversee.

At a startup company, because numbers are so small and every ounce of work really matters, it is nearly impossible for hard work to go unnoticed. Typically startup employees work in small teams where every task completed is essential and credit is given. Your coworkers and boss know what projects you’ve contributed to.

This is a great way to feel that your work is being recognized and is a wonderful way to stay motivated to do the absolute best job that you can.

If things are noticed when everything goes right, things are certainly noticed when they go wrong as well. This will keep you on your toes, so that you produce work that both you and your employer are proud of.

There are also advantages for working for big corporations, however your personality and preference will determine which you are best suited to work for. Don’t think startups are the answer, but don’t rule them out either!

The positives and negatives of outsourcing work for SMEs

18 Replies Andrew Doyle

In challenging economic times small and medium sized enterprises (SMEs) have to look at costs and reduce overheads in virtually every area possible. One of the first things that small businesses look at in order to free up time and resource is to outsource work in order to focus on other aspects of their organisation.

Outsourcing of work can have a hugely positive impact on the output and growth of an organisation.

However the decision to outsource important work to freelancers and professionals across the country and overseas should not be made lightly. It is important to outsource work for the right reasons rather than employing someone in-house to complete the task.

There may be times in business in order to progress that you will take on projects that you just don’t have the necessary skills to do so. Outsourcing enables SMEs to improve their specialised skill sets via third parties, to improve their reputation and get the job done quicker.

Here are some of the many other pros and cons of outsourcing work that businesses must consider to determine whether it is the right option for your organisation.

Pros:

  •  Increased speed and quality of delivery – If your business is willing to take on work in areas which you don’t particularly specialise then outsourcing work can significantly enhance the speed and quality of completed work. Not only will you be able to complete work on time and within budget, you will be able to focus your energies on other pressing projects better suited to your expertise.
  • Free up office space – Space is precious in commercial properties and by outsourcing work within a particular department you can minimise the number of workstations and employees required, with the ability to communicate and work with third parties online with minimal fuss.
  • Ideal for business start-ups – In the infancy of any business outsourcing work proves significantly cheaper than hiring full-time staff with the same level of support. However, as businesses grow it is prudent to re-evaluate the outsourcing of particular tasks as it may prove more beneficial to employ a full-time employee to work in-house and adapt to your growing and changing needs.

Cons:

  •  Concerns over quality control – Many small businesses are frightened to work with third parties as they lose the ability to manage projects in-house. This can have a significant impact on quality control, particularly if you make a poor choice of freelancer to complete a specific project.
  • Communication frustrations – If you choose to outsource a task overseas there is always the risk of work demands getting lost in translation. This can lead to hold ups in work which may result in frustration from clients and potentially the end of lucrative working relationships.
  • Difficulties selecting appropriate vendors – SMEs inexperienced with the process of selecting a freelancer or professional for outsourced work may find it hard to decipher reliable proposals from the downright shady.

Unfortunately outsourcing work is not an exact science, but with a little common sense and research you can work successfully with third parties with the necessary knowledge and work ethic.