Strategy of developing the first business carefully and minimizing losses

Did you know that 90% of startups are threatened with failure in the first 3-5 years? Reported from various sources, financial experts from Prasetya Mulya University, Wijantini, mentioned that there are at least 6 factors that cause startups to fail, namely (a) inflexible business model, (b) products fail to be absorbed by the market, (c) quality leadership team, (d) socio-political and environmental factors, (e) force majeure such as Covid19, (f) financial problems (Wijantini 2025).

However, this should not be a hindrance to building your first business. Because basically, setting up a business definitely takes a fall. Here are some of the first business development strategies you can try:

1. Start with what you have

One of skill What an entrepreneur should have is resourcefulness or the ability to utilize existing resources, including human, financial and fixed assets. For example, you can use personal credit card, as a source of initial financing of the business, if you still do not dare to take a bank loan or do not have access to third-party capital.

2. Search product-market fit

There are many factors that cause the failure of a product on the market, ranging from products not to the taste of consumers (for example, McDonald's in India), innovation nongung (example: Aqua Splash of Fruit), until a matter of time. Yup! Time! This is in the sense that the product innovation you do may be cool, and you have the resources to do it, but it's not necessarily ready to be accepted on the market.

An example is Horizon World, a product virtual reality which was recently shut down by Meta. According to CNBC (2026), one of the reasons is that the public is still skeptical of VR technology. In addition, the post-Covid19 community also still wants personal interaction face-to-face.

Therefore, it is important to find product-market-fit or minimum viable product (MVP), that is, products that are quite innovative, solve existing problems in society, but are still acceptable to the society.

3. Building an effective marketing strategy

There are two marketing mistakes that often cause a business to fail: excessive discounting and massive expansion without a mature profit and loss count. Discounts or other price-based promotions are great for attracting new buyers, but nope will last a long time if not accompanied by more substantial marketing strategies, such as quality and Positioning good product. Second, massive expansion could also increase Awareness business, but if it is done without a mature calculation of profit and loss, then it will not last long either. Therefore, every business person is obliged to learn how to build an effective business marketing strategy.

The first and most important step in learning marketing strategies is “listening to the needs of the consumer”. For MSME businesses, listening to consumers is much easier because they can interact directly. The trick is, you can do a consumer survey or make small observations. The results of these observations and surveys can then be used to determine product development and marketing strategies.

For example, the results of observations show that most of your consumers are Gen Z who pay using QRIS. So, to increase this consumer segment, you can add QRIS as a payment option.

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4. Establish adaptive financial planning

Skill Another thing that a business person must build is to develop a financial strategy that is adaptive to risk. You need to know that your first business capital does not always have to be from your own pocket, but it can also be from your own pocket. angel investor, such as your parents, bank loans, or even from Venture Capitalist. Each funding source has its own advantages and risks. These risks often take the form of different interest rates.

Making Honest credit cards the first source of business capital for example, the advantage is that the first can be used for any business purpose. Simply swipe, tap or scan using QRIS features In the Honest App, then all your business needs can be covered. Secondly, it is easy to monitor because there is an Honest App. Third, the limit will get bigger as your Honest Savings balance increases. Fourth, QRIS's credit card suitable for paying financial needs because unforeseen financial circumstances, such as suddenly the gasoline of an operational vehicle runs out on the road or there is an employee who has an accident.

The downside is, credit card interest rates are relatively higher than other types of banking loans. But, rest assured, as long as you can pay the bills on time, you nope need to pay interest charges. The advantages and disadvantages of each of these funding sources need to be considered first before choosing the appropriate funding source.

5. Build netwerken

One way to grow a business nope The least important thing is to build a network. Relationships here are not only people who have relationships or characteristics that suit your desires (homogenous), but also random people who could be a chance to become your business partner in the future (Heterogeneous).

Building this network is important because it could be that these people will become consumers of products, mentors or even contribute capital to your business.

It is undeniable that not all businesses will be immediately successful after 3 or 5 years of establishment. But, with careful planning and great adaptability, it's not impossible that your business can become legació That you can pass on to your children in the future.

Frequently Asked Questions (FAQ):

1. When is the right time to hire the first employee?

If your business is already experiencing increased operational workload so hard if you have to do it alone, you can hire the first employee. Or, if your business requires special skills, you can also hire employees.

2. Is it good to focus on a lot of products when starting a business?

It is recommended that you focus on the main product first before diversifying the product to a stable one. If your sales are stable, you can try gradually increasing the variety of other products.

3. How effective is social media marketing?

In this day and age, many people prefer to shop for goods through social media because it is more practical and flexible. You can try marketing your business through various social media platforms such as Facebook, TikTok, and Instagram to find buyers.

4. How do I compete with larger business competitors?

You just focus on quality and build good communication with customers. That way, the customer will most likely do ordine.

5. What to do if sales suddenly decline?

Immediately evaluate your business, check market trends and conduct market research. In addition, you can also ask feedback from buyers as evaluation material.