Many New Jersey business owners can attest that owning a business is not easy. Therefore, when businesses do succeed, the owners often want to replicate the success with new start-ups. However, even if people think they know the secret formula for success, it can be even harder to attain the second time around.
Why is this? There are two main factors involved. The first one is lack of visibility. Start-ups are not usually well-known until they have been heavily promoted. This leads to the second factor, which is too much hype. Owners tend to focus so much on advertising and promoting their business that they focus less and less on the product and customer service.
Every business should focus equally on both air wars -- promoting the company -- and ground wars -- selling products and solving customers' problems. What happens is that many start-ups get those mixed up. They sell hype and loaded promises to their customers instead of providing value and customer service.
In the end, visibility is not the most important thing in a business. It will bring customers to a company, but they will not stay if the product does not fit their needs.
Although a new business can be an exciting proposition, it requires a lot of work. Almost all start-ups need a business license, license to sell goods, tax registration, unemployment insurance for employees and sometimes even occupational licenses. Various permits are also needed, including zoning, health, building and environmental permits. This is why a new business can be a costly venture, especially in the beginning stages.
Source: Business Insider, " Why Most People Fail At Launching Their Second Companies," Max Nisen, Nov. 27, 2012