We’ve already covered the most requested topic on beginning a startup business. What’s also important to know in the beginning of your startup adventure is how not to fail. A solid 9 out of 10 startups fail before reaching success. The number is real, and so is the threat of failure. We’ve analyzed a lot of cases online and came to the conclusion that there’s a visible pattern.

Startups are often poorly perceived as easy to make. People imagine that to start one, you only need an idea and the investors will come running. It may be the reason why so many inexperienced daredevils want to try their hand at entrepreneurship. The media also presents a misleading image of a unicorn startup earning billions of dollars, using Facebook, Instagram, or Uber as examples. What they don’t mention is the struggles accompanying founders from day one.

Remember that those startup unicorns are very rare, that’s why they’re called unicorns!

Over 40% of startups failing is down to misjudging or simply ignoring the market’s needs. Failure is inevitable if you’re releasing a product that no one is interested in buying. Some people hope that luck will help them with their startup but when it comes to business, there’s no luck. Only prognosis, analysis and logical thinking. A product with no value will sink quicker than you think.

Problems with the budget are of course connected with poorly made market analysis and many other issues. But some startupers dive into the business without having any budget to begin with. This is a mistake you need to avoid. Personal savings and bank loans won’t suffice when it comes to running a successful business, hiring people, creating marketing campaigns and so on. Wait until you find a good source of financing, then hit the start button.

On the other hand, money problems are often connected with startup founders being too eager and hasty. In the scenario where after your first batch of funding you buy everyone on your team a MacBook Pro, rent a duplex office space with a chill room, foosball and fresh fruits delivered to your door every day, and your product is not even released yet, well that’s the highway to fail. Spending money on unnecessary goods isn’t good for business unless your position on the market is stable and you’re receiving regular, satisfactory income.

Another thing that threatens your team is the lack of experience in the startup industry. False beliefs that we covered before resulting in disappointment. People think working in a startup is only fun and games. In reality, the stakes are high, many arguments and frustrations may occur. Some team members may decide to leave the company.

Another thing that threatens your team is the lack of experience in the startup industry. False beliefs that we covered before resulting in disappointment. People think working in a startup is only fun and games. In reality, the stakes are high, many arguments and frustrations may occur. Some team members may decide to leave the company.