Category: Startup

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Startup

Business Networking Tips: Here Are 4 Effective Networking Tips Which Small Business Owners Can Use

Business Netowkr
Business Network (Photo Credits: Pixabay)

Mumbai, December 14: Business networking as a concept has been there since ages, but it is just the technique which has changed. Before the internet, people connected at social events, conventions, seminars and such events. Today, networking has become extremely easier for business networking groups. Business owners can connect with like-minded people through social media, online forums and video calls.

What does Business Networking Mean?

Business networking means cultivating and building relationships with individuals of similar interests in various ways that can be beneficial to people involved. This means getting leads for new businesses, searching for jobs, selling products, hiring employees and other such aspects.

We have curated 4 quick networking tips for you: 

Attend Business Networking Events: Small business owners need to identify the events where they can network. While almost any activity or event can serve as a networking opportunity,  but they should attend local business events without fail.

Develop Relationships: Networking is not about selling, but rather developing relationships that can lead to sales or referrals. The idea is to get to know people and allow them to get to know you.

Follow up: Follow up and staying in touch is one of the basic rules of networking. After the event gets over, exchange pleasantries to show how much you enjoyed meeting them. But, do not add them to your mailing list without their permission.

Be active on relevant social networking channels: In today’s age and day, you can’t afford to not use these channels to find and stay in touch with your customers. LinkedIn is a great business platform which helps you to solve several business problems- like hiring, sharing news about your growth and expansion and connecting with people who might be interested in your business.

It is also very important to join relevant business groups where discussions take part. Try and participate in them. Don’t always try and push your brand into everything. For e.g. Quora is also a great platform for small business owners to be. People post their questions and you, therefore, need to keep an eye to see if there is any relevant question where your brand can fit it.

We hope these networking tips come in handy for your brand.

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Startup

Startups to Become Backbone of India as it Promotes Young Entrepreneurs With New Ideas of Doing Business, Says Piyush Goyal

Startup
Startup (Photo Credits: Pixabay)

New Delhi, December 13: The future of India is going to be startups as its ecosystem is encouraging innovation, promoting and strengthening new young entrepreneurs, Union Minister Piyush Goyal said on Saturday. While addressing the 93rd Annual Convention of Federation of Indian Chambers of Commerce and Industry (FICCI), Goyal said that startups are going to be the backbone of the country as they come up with new ideas and new ways of doing business.

The Union Minister further stated that the government has identified another 24 sectors on which work is going on by industry leaders who are working together to come up with actionable agenda to add nearly Rs 200 lakh crores worth of manufacturing in India in the next 10 years. “I have no doubt in my mind that that FICCI will be a part of our journey of a new India, of transforming India and building a more powerful India,” said Goyal.

Goyal appreciated the growing digital environment as said as we go forward in the post-COVID world, the country will see a mix of virtual and physical engagements, combining to help us expand our global outreach, helping us reach out to new markets, customers and products. During his address, Goyal also said that under the Brand India initiative, consumers both in India and internationally will be educated about products which are made in India.

“We are pushing all industry to certify the Make in India products. Under the Brand India initiative, we are also looking at branding India. It’s time now that India demonstrates to the world our leadership position and commitment of quality,” said Goyal.

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Startup

Business Performance Indicators: 4 Important Metrics Every Start-Up Should Track

Key Performance Indicators of Business| Representational Image (Photo Credits: Pixabay)
Key Performance Indicators of Business| Representational Image (Photo Credits: Pixabay)

It is essential for business, especially in their early stages, to keep a regular check on its various performance indicators. A start-up should have a clear understanding of various KPIs or Key Performance Indicators that measure the quantitative aspect of business activities. These metrics or indicators not only tell the current status of business but are also helpful in predicting the future of the enterprise. A wise entrepreneur always takes into account key business metrics while taking any decision related to business.

Business Metrics or Key Performance Indicators are nothing but data pertaining to various business activities like production, customer retention, return on investment, daily turnover, and self-generated goodwill among others. A careful analysis of all the data helps the start-up owner to evaluate his business’ day to day activities as well. It helps in identifying the loopholes as well. Here are 5 Key Performance Indicators Every Start-Up Owner should know and track –

Cost Of Acquisition (CoA) –

The first metric is the cost of acquisition, it measures the cost incurred to acquire each customer. So it tells a firm how much money goes in getting a customer. Every business needs customers to survive. It is important for an entrepreneur to increasingly acquire new customers and retain the old ones.  To attract the customers, firms make lot of investment in marketing and advertising. It is therefore important to know whether the expenditure is worth it or not.

Here is how to calculate Cost of Acquisition for your business –

Cost of Customer Acquisition = Total Sales & Marketing Cost / Number of New Customers Added

Return on Advertising Spending –

For a firm to establish it in the market, it needs to reach the masses and creates its brand presence. An upfront way to do this by going for promotional activities. Advertising is the main component of a promotional and marketing plan. A huge chunk on firm’s funds goes into advertisement, it is therefore important for any entrepreneur to keep a track on the returns received by investing a particular amount in advertising.

Here is how to calculate Return on Advertising Spending for your business –

Return on Advertising Spending = Total Sales/ Advertising Spending

Customer Loyalty and Retention Rate –

According to a study a firm incurs 70 per cent more expenditure to acquire new customers than to retain the old ones. It is important to know that how many customers are willing to avail the products and services of the firm again. It also is a direct measure of customer satisfaction. In the initial years, loyal customers are important for start-up to deepen its roots in the market. Therefore, an entrepreneur should keep a check on this ratio as well.

Here is how to calculate Customer Retention Rate for your business —

Retention Rate = (No. Of Customers at end of Period- No. Of Customers acquired during Period)/No. Of Customers at beginning of Period

Rate of Return –

One of the most popular business metric and important business performance indicator is the rate of return. It is the net gain or loss of an investment over a specified time period, expressed as a percentage of the investment’s initial cost. All the stake holders have a special interest in knowing the RoR. It also signifies the level of growth of a firm. For a start-up it is important, especially those dependent on external funds, it is crucial to keep a tab as to how much return is being earned. Prolonged negative rate of return leads to the winding up of the firm.

Here is how to calculate the Rate of Return for your business –

Rate of Return = {(Current value of Investment – Initial Value of Investment)/ Initial value of Investment } X 100

A regular track of these metrics helps entrepreneur in figuring out whether the business is on right track or not. It helps in taking quick corrective measures as well. Proper analysis of the KPIs helps in ensuring long term growth of the start-up as well as help to decide upon future course of actions.

 

 

 

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Startup

Business Ideas For 2021: Here Are 4 Business Ideas Which You Can Start Next Year

Business Ideas
Business Ideas (Photo Credits: Picpedia)

Mumbai, December 11: If you are thinking of starting a  new business in 2021, then you need to do the planning to go ahead with it. It is very important to finalise a great business idea if you want to become an entrepreneur.

The COVID-19 pandemic has changed a lot of things, from the way people consume products and services to several other things.  An idea which might have looked attractive in 2020, may not be profitable in 2021 because of the changing landscape. Creative Businesses: 5 Viable & Budget-Friendly Start-Up Ideas for People With Creative Mind.

We have listed 4 small businesses ideas which you can start in the coming year.

  1. Online Teacher: Due to the lockdown, schools shut and they were forced to go online to impart education. There was no other way for people to get knowledge. The pandemic still continues to rage and there is no certainty on the reopening of schools. Therefore, online teaching business is surely a profitable idea which you can start in 2021. All you need is a knack for teaching and basic knowledge of technology.
  2. Digital Marketing: Due to the pandemic, brands have strengthened their presence in the online domain. Therefore, digital marketing is a great line, which is growing and has a great future in the days to come.
  3. Freelance editor, copywriter: Whether you write blogs, web content or press releases, there are plenty of companies who will pay for your services. You can use this knowledge and bring to the table of your clients, and help them to craft a strategy to attack specific keywords that their target audience is already using in their online searches.
  4. Home Chef: This is another business which you can explore in 2021. The business doesn’t entail a big investment and can be done from their own kitchen. All you need to do is cook great food and market well on the social media channels.
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Startup

Hottest Startups of 2020: Paytm, Dream11, Zomato, Ola, Swiggy Among Top 10 Startups of 2020, Says Report

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Startup (Photo Credits: Pixabay)

Mumbai, December 10: As per the Hottest Startups of 2020 Report, Paytm, Dream11, Zomato, Ola, Swiggy, Big Basket, Oyo, Byjus, Snapdeal, and Unacademy are the top 10 hottest startups of 2020. It needs to be mentioned here that all the ten startups hold the title of unicorns.

Paytm topped the list in terms of creating the most consistent buzz throughout the year while Dream11 bagged the title for the prominence of its brand.

The Hottest Startups of 2020 Report by Wizikey, celebrates the top 100 most influential startups in India emerging sectors like Fintech, E-commerce, SaaS, Logistics & Edtech, that have successfully redefined the ecosystem in 2020.

2020 also emerged as the year of Fintech due to the strong wave of cashless transactions like UPI and wallet payments that were witnessed in both metro and non-metro cities.

Some of the new players that have found a place in the list of hottest startups are- CRED and Khatabook. Big Basket found itself leading the sectoral list but ranking overall at number 6, way above Grofers which is ranked at 15.

 

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Startup

Start-Up Funding: 5 Sources that Provide Quick & Easy Funds

5 Sources that Provide Quick & Easy Funds to Start-Ups| Representational Image (Photo Credits: Pixabay)
Representational Image | (Photo Credits: Pixabay)

Funds are the lifeline of any enterprise. For a firm to start, succeed and sustain, consistent and adequate funding is of utmost importance. Without regular flow of finance, all the other operations of the businesses including production, marketing, and selling among others become stagnant. Especially, in the present business environment which is fast paced, dynamic and highly volatile a secured stream of financial resources is important to defend the start-up against the harsh competition and market shocks. Narendra Modi Govt Clears Payments of Over Rs 6,800 Crore Owed to MSMEs Over Past 3 Months.

As the start-up ecosystem bloomed in India, it has become easier for young entrepreneurs to procure funds on lenient terms of repayment. The central government has also through its Start-Up India initiative, opened funding avenues for start-ups. Here are five options a start-up owner has to avail easy and regular funding –

Venture Capitalists

One readily available option for start-ups to avail funds is through venture capitalists. A venture capitalist is a private equity investor which provides seed capital to start-ups exhibiting potential of high growth in exchange for an equity stake in the firm. It provides funds at early, growth and later stages of business cycles. Apart from the funds, venture capitalists also provide expertise and monitoring of the business operation of the start-ups. Mostly, VCs invest in equity and once the business releases its IPO or is subscribed, they exit.

Angle Investors

An angel investor is an individual with high-net worth and surplus financial resources, who provides funding to small start-ups or entrepreneurs with high-yielding business plans to earn huge revenues from the investment. It is also known as a private investor, seed investor or angel fund. Though angel investors usually have higher return expectations and offer lesser investment amounts, they can prove be highly beneficial of start-ups in their early stages or during expansion. Finance Ministry Sanctions Rs 1.61 Lakh Crore Worth of Bank Loans to MSMEs Under ECLGS to Battle COVID-19 Pandemic.

Business Accelerators and Incubators

Various investment and asset management firms work as business incubators and accelerators for other enterprises. While a start-up looking for seed capital or early stage investment needs to look for a business incubator, they ‘incubate’ potential business plans with a hope of turning them into successful enterprises. A business accelerator comes into picture when an already existing firm looks for expansion or diversification  and need money for the same, it ‘accelerate’ the business.

Banks and NBFCs

Banks and Non-Banking Financial Companies (NBFCs) also provide quick loans to start-up owners at easy terms and conditions. However, these institutes consider more factors other than growth potential before offering the loan. They may even ask for a collateral security or a guarantor. The rates of interest are higher than the other funding alternatives. A start-up owner can apply for a term loan to buy fixed asset or do construction or working capital loans to meet day to day administrative and functioning requirements.

Crowdfunding

Sourcing capital through crowdfunding has garnered lot of attention and popularity in recent times. It does not require any organised institute; the founder raises funds from more than one person at the same time. In crowding funding, more than one investor is involved. These investors offer a fixed amount of funding depending on several factors including his budget, in return of regular and high dividends. One can gather funds from family, friends and co-entrepreneurs that believe in the start-up potential.

It is crucial that the start-up owners are aware about all the funding alternatives available to them. They should carefully analyse all the terms and conditions of procurement of funds and make informed choice. Regular and low cost financial resources keep the start-ups afloat.

 

 

 

 

 

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Startup

Amazon India to Host 4th Edition of Small Business Day 2020 on December 12, to Support Startups to Sustain Their Business Growth

Amazon (Photo Credits: Twitter)

Bangalore, December 8: Amazon India announced that the e-commerce major will host the fourth edition of its Small Business Day (SBD) 2020 from midnight on December 12 until 11.59 pm on the same day.

According to an IANS report, the online event would offer customers an opportunity to discover and purchase unique and hard-to-find products from start-ups, women entrepreneurs, weavers, local shops. It will be instrumental in supporting these small businesses to sustain their accelerated business growth.

On Small Business Day, products across categories including work from home essentials; safety and hygiene supplies; eco-friendly products, kitchenware; sports essentials; Christmas special products and others will be available on the marketplace.

Manish Tiwary, VP Amazon India, said in a statement said, “At Amazon, we are committed to supporting our 7 lakh+ sellers to continue the momentum built up over the past months through various sale events. With the upcoming Small Business Day, we want to create an opportunity for SMB sellers and B2B sellers to generate greater customer demand, revenue, and end the year on a positive note.”

Amazon Business customers can avail an exclusive business customer only cashback of 10 percent and additional savings on GST input tax credit. In addition to Small Business Day, the e-comm major also announced that it will celebrate All India Handicrafts Week 2020 starting December 8 to December 14. The objective of the event is to increase awareness about indigenously produced handicrafts from different parts of the country.

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Startup

Start-Up Failures: Here are 5 Main Reasons Why Your Start-Up Might Fail

Tips to follow for successful start-ups| Representational Image (Photo Credits: Pixabay)
Tips to follow for successful start-ups| Representational Image (Photo Credits: Pixabay)

While starting a business, an entrepreneur looks forward to a long-term and successful venture. However, many businesses are not able to survive the market and competition beyond a certain point. According to a study by IBM Institute of Business Value and Oxford Economics, titled ‘Entrepreneurial India’ as many as 90 per cent of start-ups in India fail in the first five years of their establishment. Starting an enterprise is often easier than sustaining it in long term. Apart from the CELL- Capital, Entrepreneurship, Land and Labour- there are various factors that need to be considered while setting up the enterprise. Myths Around Startups: Here Are 3 Popular Myths Which Every Entrepreneur Should Ignore.

A business might fail because of several reasons including human, physical, technical, and legal among others. A entrepreneur should therefore be cautious enough while taking and implementing various administration and operations related decisions. Here are the most common reasons for business failures-

Lack of Innovation and Novelty

One of the biggest reasons of a business failure in present times is lack of innovation and uniqueness in the product or services offered. If an offering lacks novelty, it becomes difficult for the start-up to create its own identity and USP. As a result, the already existing and establishes players easily sweep the new entrant out of the game. According to a survey, around 77 per cent of the venture capitalists believe that lack of innovation and novelty is the main reason behind business failure in India.

Lack of Financial Management

Another important and prominent reason for business failure is the lack of financial stability in the firm. Usually an entrepreneur seeks outside help for funds to start the business. Improper management of the funds causes huge to incur huge losses. With proper financial management, a start-up soon start experiencing liquidity crunch, which has a direct and spill over effect on all the operations of the business.  A balanced cost structure is important to keep the business afloat. An entrepreneur should try to get a mix of equity and debt both as firm’s capital.

Lack of Proper Marketing Strategy

A start-up needs to be very careful while deciding upon its marketing plan.  Communication is indeed the key in every business, the way an enterprise communicates with the customer, medium of communication and its channel play key role in creating awareness about the product. A proper and well researched marketing plan helps the firm to understand the customers, and how to influence them. Advertising, public relation and sales promotions are main components of a marketing strategy, which help in establishing the product in the market. Without it, the product struggles to find get recognised.

Lack of Legal Compliance

Every country has its own set of legal requirements that a firm needs to fulfill both- before starting the business and while running it. A failure in meeting these results in severe repercussions, including the collapse of the enterprise.  Start-ups have to duly follow all the laws related to incorporation, entitlement, customer protection, and taxation among others. Not only can its non-compliance leads to winding up of the company it can also attract huge financial penalties for the entrepreneurs.Here Are 4 Kinds of People To Avoid When Starting a Business.

Lack of Cultural & Social Acceptance –

A business operates in a society that is governed by certain rules and regulations, if a firm fails to live up to the cultural and social expectations it is bound to fail. The start-up should not hurt the religious, ethnic and cultural sentiments of its existing and potential customers. It is important for a firm to understand the respect the cultural and social orientations of the place it sets-up the business in and incorporate those values in its marketing and communication plans.

A good entrepreneur studies and analyses various external environment factors that might affect the business. Proper understanding and implementation of various elements of a business environment is also important to ensure that the start-up doesn’t succumb to outside shocks and threats. It also helps the business to seize the market opportunities.

 

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Myths Around Startups: Here Are 3 Popular Myths Which Every Entrepreneur Should Ignore

Startup
Startup (Photo Credits: Pixabay)

Mumbai, December 7: No doubt, starting a company is not an easy task, but with the right strategy, the correct focus, good funding, one stands a chance to succeed. There is a lot of glamour associated with startup and many have the notion that it is all about young, bubbly, and vibrant talent.

There are certain myths about startups and we try to bust them for you.

You need huge funding to start a startup: This another big myth. According to experts, in order to burst the myth, one should adapt to the practice of bootstrapping, which allows maintaining full control of the startup strategies, avoiding time delays and energy spent to attract investors and retaining maximum equity.

It is extremely difficult for startups to compete with big established companies: You need to identify the advantage which you have as compared to a biggie in the market. For e.g. Being a startup, you’re less likely to experience the bureaucratic drama that is involved in the whole process. This not only allows you to be more flexible but gives you a lot of creative freedom.

Yes, a startup can’t compete with a corporate big shot in terms of the budget, but you can identify your niche and focus only on that. Your spending will be more focussed.

Ideas Make a Startup: Yes, a good idea will help you to stand out. But, it is no the only guarantee for a good startup. There are numerous e.g.s like Facebook, Google who didn’t come into the market with an innovative idea. These ideas were tested before as well. However, the reason why they became successful was because they built a great product.

 

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Creative Businesses: 5 Viable & Budget-Friendly Start-Up Ideas for People With Creative Mind

Start-up ideas for creative people| Representational Image (Photo Credits: Pixabay)
Start-up ideas for creative people| Representational Image (Photo Credits: Pixabay)

Businesses are widely undertake, operated and promoted to make profits and get a regular and consistent stream of income. Enterprises mostly aim at maximising the shareholder wealth by generating huge revenue. However, not all the businesses have profitability as their prime and sole objective. There are several people who have entered the start-up ecosystem to fulfill their creative urges; they make their passion as their profession. The prime aim here is to live while doing what makes you feel content and earn some amount on the side for basic sustenance, and re-investing the remaining into the business growth. Here Are 4 Reasons Why Starting a Business From Home is Not a Bad Idea.

Such businesses do not require any huge fixed or working capital investments. There seed capital requirements are often lower than other profit-driven organisations. All the entrepreneur needs to have are skills, talent, creativity and dedication for building it and one can start the business any time. More and more people are converting their passion into profession, leaving behind the orthodox work style. Makeup Artist Business: Here Are 4 Things Which You Need to Remember If You Want to Establish Your Makeup Artist Career.

Here are 5 Start-Up Ideas for Creative People –

Interior Decoration

One of the most straightforward to unleash your creativity is to provide home, interior decoration services. All you need is an eye for beauty and aesthetics to get into the professions. Many new-home buyers who are bored of regular-cliched home designs and set-ups are increasing demanding interior decorator services. It does not require any qualification, except for having a strong sense of order- what looks good and where. An understanding of colours, textures and art is an added advantage.

Jewellery Making

Another well paying profession for creative people is jewellery making or designing. Beaded jewellery has become popular, all you have to do is collect some beads and other stones and have a sense of sequencing and colour scheme. Many people like to buy handcrafted jewellery as well, because of the uniqueness of the design and having a one-of-a-kind piece. You can make customised jewellery with name, initials, symbols inscribed for the user. It does not require an elaborate set-up to sell jewellery. You can start by selling it only and visit all crafts fairs to sell your jewellery.

Home Bakery

If you like baking and can spend your entire day seeing the dough fluff inside the oven, having a home bakery is the right thing to do. Baking is an art; it requires a proper knowledge of various types of flours, seasoning and flavours. Homemade cakes, cupcakes, cookies, chocolates, muffins are in huge demand. You can start this business from your kitchen itself.

Pottery Making

Pottery making gives you plenty of creative freedom. You can mold, twist, shape the clay in whichever manner you want. It gives a sense of authority over your creation. Pottery making is no longer limited to utensils or plants vases, clay products are among the highly sought after articles. From utensils to photo frames, show pieces, holders, name plate, clay products are in huge demand. With the growing environmental awareness and concerns, consumers are ditching plastics and turning towards more eco-friendly options, clay being one of them. However, it is a delicate work that requires special skills.

Blogging

If you have a knack for writing then blogging is the best profession to stick to. Unlike older days when writers were highly unpaid and unacknowledged, they are well-paid and recognised for their literary works. You can zero-in on a topic of your choice and expertise, pick up a pen or sit down with a computer and start writing your thoughts. Various online platforms provide opportunities to aspiring writers to publish their work. You can have your own blog as well. From hard articles, to fiction to poetry you have complete power to unleash your thoughts in whichever manner you want.

Earning while doing what you enjoy the most is the biggest satisfaction a person can get. So if you have enough skill-set and creative mindset then you can easily make a mark by starting-up a business of your choice with minimum investment and maximum contentment.