How To Survive Your First Year Of A Startup

how to survive first year of startup

Starting a new business is exciting and there’s lots of potential for earning in the future. But, this first year of business is usually rough on business owners. Most entrepreneurs will probably spend a lot of your spare time working in order to get the business up and running and many small businesses don’t see much of a profit until year two. Getting a new business off the ground can feel like absolute misery, so if there’s a way to make it easier on yourself, why wouldn’t you? Here are 5 tips for surviving your first year.

Top Up Your Personal Account 

In the first year of business, business owners may not get to take home much of a wage. So, along with working hard to develop your business, you may struggle with personal finances too. This is often where many people give up and return to employment. Up to 50% of small businesses fail within the first 12 months. So, to make sure you start off as strongly as possible, save some money and put it in your personal account for emergencies. That way, you won’t have to struggle financially as you build your business up. 

Make Time For Family 

The first year of business can be all-consuming. So, it’s best that your family are prepared for what the year could bring beforehand. Talk to your partner and let them know that there may be times where the family has to rely on their income alone. Small children may not understand why you haven’t got the same amount of time for them, so it’s a good idea to plan family time on the weekends. It doesn’t have to cost much. A trip to the local park or a picnic will do the trick to help maintain some semblance of work-life balance. The last thing you want to find is that your relationships have deteriorated because of the business.

Save For Rainy Days 

There will always be unexpected costs when it comes to business. Along with planning to pay your taxes and insurances, there may be other costs that come out of the blue when you least expect it. Perhaps your website crashes and you need to pay someone to fix it or there’s a leak in your office leaving you stuck for working space for a week. The only real way to cover these costs is to work on your ROI. Take a look at an article where the AdWords consultant shares 13 tips to improve ROI. The more disposable income you have, the bigger your chances at success. 

Do Your Research 

Did you know that being a sole trader makes you personally liable for any business debt? So, if your business fails, the bank can take your personal possessions as repayment. Registering as a corporation means your personal accounts are separate from your business accounts. Doing research into your business industry and your competitors is also important. You need to know the ins and outs of what you’re starting before going full steam ahead. 

Better Business

If you can make it through your first year of business, you have a great chance at being successful. Do everything you can to survive and thrive!

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I hope you enjoyed this article about how to survive the challenging first year of going into business for yourself.

Interested in more articles about entrepreneurship?

Read My Posts:

- 15 Things You Should Never Quit As An Entrepreneur 

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