How To Start Up Post Pandemic
The pandemic has brought to light many of the problems we are bound to face when disaster strikes. The economic crisis that ensued due to the pandemic has been hard-hitting and far-reaching. Even in the face of such adversity, the one thing this pandemic has failed to do is bring down the creativeness of entrepreneurs.
Most people think that starting a business during an economic hardship like the one we are in is foolhardy. But the fact of the matter is that some of the most successful companies have risen from an economic crisis. Examples are far-reaching and include Uber, WhatsApp, and Airbnb etc.
Now obviously entrepreneurs will have their reservations about starting a business during this time. There will be certain risks that one will have to be willing to take to make sure their company succeeds. However, this current environment is perfect for up and coming entrepreneurs that require that competitive environment to thrive. At this time gaining angel investors can be tough but not impossible. You just need the perfect team behind you along with good and trustworthy start-up advisors.
Honesty is the best policy
Ask yourself, is your idea worth taking the effort and creating a business. Does it provide meaning in the post-pandemic world? Can it help or be of some use in this new world? Do some factors or things in this idea need to be changed, adapted or scrapped?
These are all very important questions to ask yourself before you startup. As a business advisor myself, I can say with certainty that if you are not confident of your product or service, don’t waste your time. It’s important to understand the needs of the market now. The pandemic has certainly changed our perception of what we view to be important. As such will your product or service provide any relevance to your customers’ life? Be honest because it will help you save money in the long run.
Newer ways to funding
It’s important to understand that maybe the traditional ways of acquiring angel investors, or venture capitalists may not work now. Understand the mindsets of angel investors you approach. It will take you a long way. Some may be unwilling to invest in start-ups during economic crises like this. Try to ascertain what type of angel investor will suit your needs. They will conduct cross benefit analysis to make sure that the risk factor is not that high and there may be a profit in there for them. Some angel investors prefer to invest in times of economic downfall because the valuation of a company goes down as a result. As such analyzing your investors is a must.
If not angel investing you can also move to options like crowdfunding, taking advantage of your credit line from the bank, bootstrapping, etc.
A strong team can take you far
Having great employees and advisors behind you is so important to succeed in this industry. You cannot do everything on your own. You must be able to delegate work to people and employees you trust. Not just employees but having well-established advisors behind you is also a must. Having a business plan consultant is extremely important to create a well-rounded and detailed business plan. Angel investors themselves are extremely knowledgeable in their niche and as such can be of great help in the company. Start-up consultants are equally important because they help you break things down and delegate work. With a strong team, your company can go far!
About Devansh Lakhani
Director of Lakhani Financial Services and a Chartered Accountant helps in start-ups funding India from his network of investors. He guides and advises start-ups to scale up by providing efficient sales, marketing, team building, and business management strategies. Being a business plan consultant he has executed fundraising by block deals on the stock exchange and conducted IPOs and right issues on the SME platform to the tune of over Rs. 50 Crore. He is currently working with start-ups from various sectors to help them channelize their business models and investments.