When it comes to being an entrepreneur, failure is a part of the game.
All too often we hear about startups failing, which makes us wonder how and when the people behind it will recover to start another firm. And despite some people suggesting just to go out and do the whole thing again, you need to be practical and establish a base to prepare yourself for your next venture.
It’s not enough to dive right in, as future investors and partners are going to want to see what you’ve learned, and how you plan to improve the next time. However, luckily for you, I’ve put together a few tips on how to get back to that place. Check them out below:
Analyze Your Credit
One of the first steps you should take when rebuilding yourself is taking a look at your finances. Depending on how much you spent out of pocket to make your startup happen, you might be in a significantly lower place than when you started out. However, this isn’t anything to beat yourself up over, as plenty of entrepreneurs find themselves a little bit in the hole after they’ve failed.
Start out by asking yourself simple questions, such as: “Do I need to fix my credit?”, “How long will it take to get out of debt?”, And even “What type of earnings can I expect in the coming months?”. Taking the time to unwind all of this will give you a more clear picture as to what type of opportunities are available, as well as an estimated schedule in what it will take to get back on your feet.
Take On A New Hobby
As you’re probably feeling stressed over why your company failed, it’s important to provide yourself with healthy distractions to get yourself moving on. That’s why it’s good to take on a new hobby or skill and stick to it. Not only will this give you something to look forward to, but it will challenge you in a new and interesting way. Whether it be taking on piano, cooking, or even fly fishing, use this newfound freedom as a chance to explore.
Pick Up A Side Hustle
Considering that you’re probably going to need a safety net for earnings, it’s never a bad idea to start brainstorming side hustles you could take on. Whether it be popular apps like Uber or Airbnb or even a skill like design or writing, having a gig you can do will get you back working, as well as possibly earn you some serious cash. According to CNBC, when aggregating the most popular gig economy jobs, the average income comes out to about $299 per month, which isn’t bad money for activities that require little to no effort.
Start Finding A More Practical Model
A big reason a lot of startups fail is because their model was trying to do too much. Granted, this is a common mistake for a lot of new entrepreneurs, as they focus on how much they can make off what they consider “the next Facebook” and whatnot. However, take this opportunity to reflect and study what’s happening in other industries. Even companies that sell used golf clubs can have a healthy, scalable business model, which surprises a lot of people that consider themselves “visionaries.” Take a minute to ask less about how you can become a unicorn, but instead how you can help an industry grow.
Look At Current Trends
While you continue to study other industries, take a look at the applications others are applying to certain fields of tech. For example, as CBInsights notes, some major innovations occurring in AI marketing that isn’t chatbots, but rather tools that hadn’t existed yet before AI. This line of thinking is what makes a lot of companies more successful, especially in trying to be ahead of the curve.
Take Your Knowledge To Other Firms
No matter if you were the best at something or not, it’s never a bad idea to sell the services you were successful at to other firms. This could be anything from consulting on fundraising to how to handle voice search in SEO. You’d be surprised at how much what you’ve learned could be valuable to other startups, and something that could potentially allow you to join an entirely new team. Look around AngelList and Crunchbase to see if any startups have raised funds and could use the help, as the knowledge and connections you’ll gain here could be brought along to your new venture.
Only Go With Something That’s True To Your Heart
Finally, perhaps the most vital aspect of your next venture should be simple: follow what you love. Don’t try to worry about being rich or being on the next big tech craze. Keep it practical, and just try to solve a problem that you see wrong with the world. After all, that’s the goal of being an entrepreneur, right?