Roman Semiokhin is a serial entrepreneur and investor with interests in a variety of different industries. A committed philanthropist, he has been a driving force behind various innovative ventures in his country of residence, Cyprus. This article will look at what it takes to establish and grow a successful business.
Irrespective of the market, launching a new business is a huge commitment. Many inexperienced entrepreneurs vastly underestimate just how much time, resources and energy it takes to launch and grow a new company. You can see some UK business statistics for 2022 by viewing the embedded infographic.
Common challenges for budding business leaders include:
- Accessing capital and cashflow
- Coming up with great products and services
- Having a strong corporate vision
- Identifying and onboarding talented employees
- Handling poorly performing employees
- Efficient time management
- Handling rejection from customers
- Recognising the need for a change of business strategy
- Achieving a healthy work/life balance
- Maintaining momentum to drive the business forward, even during difficult times
You can learn about the top traits for any aspiring business leader by viewing the embedded PDF.
One of the first things a founder needs to consider is business format. While a sole proprietorship potentially leaves personal assets vulnerable to claims against the business, setting up a limited liability company or corporation can be achieved with relatively little complication or expense. Filing a Certificate of Incorporation is not a fail-safe solution, but it does offer more protection against the risk of founders losing their personal assets to creditors of the business.
Naming is also an important consideration that can have a significant bearing on business success. It is sensible to avoid names that are difficult to spell, as well as those that could prove limiting as the business grows.
It is startling to realise that around 50% of businesses fold in their first five years of operation. Potential stumbling points for many inexperienced business leaders include:
- Disregarding customers
- Failing to conduct due diligence and really get to grips with their industry
- Believing that a vision alone will build their business
- Listening too much to the advice of friends and family
- Saying ‘yes’ when they are too time-stretched
- Failing to achieve an amicable work/life balance and ultimately burning out
You can learn about business burnout by viewing the embedded video.
To maximise their chance of success, business leaders need to analyse the marketplace and draft a business plan. They also need to hire the right people, providing staff with benefits to incentivise them to go above and beyond in striving for long-term business goals.