According to Failory,
• 9 out of 10 startups fail
• 7.5 out of 10 venture-backed startups fail
• 2 out of 10 new businesses fail in the first year
A startup is a business in the earliest stages of its development. A startup has two main characteristics; innovation and growth. A startup has the potential and the passion to grow phenomenally. Startups reinvent an existing product to market to the changes in the way we consume, purchase, or behave. They have the willingness to disrupt themselves to make their mark in the business world. So, the startup has the potential to grow. But it is also prone to failures as it is fairly new in an already competitive world. The more innovative a startup is, the riskier the business is.
This means that startups can fail or succeed. According to Failure research, 56% of startups fail due to marketing problems. Some businesses fail to meet the needs of the customers or fail to pivot according to their recommendations. This is why it is important to consider feedback and to consider if the product is fit for the market or not. Businesses should follow the startup guide provided by our experienced entrepreneurs to prevent your startup from failing. Click here for more.
In this article, we will discover the failure rates of businesses and the reasons behind the failure of startups.
Year For Your Startup?
EdTech Startup Failure