It’s pretty easy to start a business in Ghana, especially if you have the resources. But the challenge is in keeping your business afloat. Indeed, many Ghanaian startups fail in their first year, which is quite disheartening. In this article, we will talk about the reasons why this happens and how you can overcome them to keep your business thriving.
1. Lack of effective marketing
You may have the ideal products or services, but your business is more likely to shut down if you aren’t selling much. And you can’t get good sales without your ideal customers. Despite this, many Ghanaian startups don’t take marketing seriously. But if you want your startup to thrive, consider putting your brand out there.
For instance, having a well-designed website is very effective in drawing a large audience to your brand; just make sure it’s search engine-optimised locally to get the best results. Admittedly, startups run with limited funds, so a huge marketing budget may not be practical. Fortunately, social media can help you reach a large audience without spending a fortune.
2. Poor financial management
Owning a successful business is more than having enough capital and sales; a good understanding of financial management is non-negotiable. Unfortunately, some entrepreneurs in Ghana trivialise accounting or financial planning, which makes budgeting properly, forecasting cash flow ajd managing expenses very hard. So they start well but run out of money, so they can’t pay staff, purchase inventory, or keep up with operational costs.
As a startup, you’ll find it helpful to work with an accountant who understands SME financial management. With their help, you can avoid spending your funds irresponsibly, leaving you with enough to keep your business afloat.
3. Little to no market research
Any startup that starts operations without understanding their target market, competition, and even their products will not last long. This is because they may end up overestimating the demand for their products or services or become just like existing competitors. The result will be a product that no one wants or struggling to attract customers in a crowded market. So avoid these problems by doing your research before entering the market, so your startup will thrive.
Attract your customers with a great website!
A good website is an effective marketing tool in its own right, which is why you have to improve it regularly. With Think Expand, you can rest assured that your website will attract your target audience, increase your lead generation, and boost your sales. So feel free to reach out to us on +233 548334499 or send us an email at [email protected] to get started.
