entrepreneurship

Startups as Game Changers

Startups as Game Changers https://theraise.eu/wp-content/uploads/2023/02/pexels-pixabay-355948-1024x623.jpg 1024 623 RAISE fosters startup growth and scale-up within and across Europe RAISE fosters startup growth and scale-up within and across Europe https://theraise.eu/wp-content/uploads/2023/02/pexels-pixabay-355948-1024x623.jpg February 21, 2023 February 21, 2023

February 21, 2023

In recent years, startups have emerged as some of the most innovative and influential players in the global economy. These young, often scrappy companies are pushing boundaries, disrupting industries, and driving significant changes in how we live and work. From technology to healthcare to finance, startups are changing the world in ways that were once thought impossible.

One of the key reasons that startups are so successful at driving innovation and change is that they are unencumbered by the constraints that often burden larger, established organizations. Startups are free to experiment, take risks, and try new things without worrying about damaging their reputation or alienating their customer base. This gives them a significant advantage over larger competitors, who may be more hesitant to try something new for fear of upsetting their existing business model.

Another key advantage of startups is their agility. Unlike large, bureaucratic organizations, startups are lean and nimble, able to pivot quickly in response to changing market conditions or new opportunities. This allows them to adapt to changing circumstances and take advantage of emerging trends, often before larger companies even realize what’s happening.

Perhaps most importantly, startups are driven by a deep sense of purpose and passion. Founders and employees at startups are often motivated by a desire to make a difference in the world, to solve important problems, and to create new and better ways of doing things. This sense of mission and purpose can be a powerful force, driving creativity and innovation and pushing companies to achieve great things.

Whether they are focused on technology, healthcare, finance, or any other field, startups are driving innovation and pushing the boundaries of what’s possible.

Of course, not all startups will succeed, and not all will have a lasting impact on the world. But even those that fail can contribute to the larger ecosystem of innovation, paving the way for future entrepreneurs and pushing the envelope of what’s possible.

In conclusion, startups are proving to be some of the most innovative and influential players in the global economy. With their agility, passion, and willingness to take risks, startups are driving significant changes in how we live and work. As we look to the future, it’s clear that startups will continue to be at the forefront of innovation, pushing the boundaries of what’s possible and changing the world in ways that were once thought impossible.

How Affiliate Marketing Can Grow Your Startup

How Affiliate Marketing Can Grow Your Startup https://theraise.eu/wp-content/uploads/2023/02/pexels-eva-bronzini-7661185.jpg 1 1 RAISE fosters startup growth and scale-up within and across Europe RAISE fosters startup growth and scale-up within and across Europe https://theraise.eu/wp-content/uploads/2023/02/pexels-eva-bronzini-7661185.jpg February 20, 2023 February 20, 2023

February 20, 2023

Affiliate marketing has become a popular marketing strategy for businesses of all sizes, but particularly for small and up-and-coming businesses. It involves hiring people to promote your brand and then rewarding them with a fixed salary per post or on a commission basis. Businesses cannot turn a blind eye to the effectiveness of affiliate marketing, which is often used in tandem with other marketing strategies. One of the primary reasons why affiliate marketing is such a popular strategy is that it delivers results, which can be quantified through increased traffic and sales.

If you’re a small business owner, affiliate marketing through platforms is good option. It’s an attractive marketing strategy for growth as it helps to increase the customer base and stabilize the business’s profit levels. Before you launch an affiliate marketing strategy, it’s important to understand why adopting it as a strategy is beneficial for your business.

One of the primary benefits of affiliate marketing is its low starting cost. One of the biggest challenges that startups face is their budget. They have already spent a lot of money on capital, and their sales are not yet strong, which means that their profits are not yet stable. As a startup, it’s essential to be mindful of your finances, and now is not the time to overspend, even if it’s for essential business activities like marketing.

Something to mention is that digital marketing has given birth to strategies that are less costly to run than traditional marketing, and one of these strategies is affiliate marketing. The cost is significantly less than other marketing forms, as you only pay the affiliate for every post they make. The more followers they have, the higher the rate. As a startup, you can begin with affiliates who have yet to demand high rates.

Furthermore, some affiliates are also paid on a commission basis, which is even more ideal. You only have to pay them for every sale made through the affiliate’s specific code. With this agreement, you have a higher guarantee that the affiliate will work even harder to make sales so they can be paid the agreed commission.

Another benefit of affiliate marketing is that it results in low ongoing costs. Since the affiliate is undertaking all marketing activities, the affiliate bears a bulk of the ongoing costs to keep the marketing campaigns running. Therefore, this marketing model makes the costs associated with advertising activities more manageable. Unlike other marketing activities, there isn’t any interruption experienced in the cash flow.

Affiliate marketing also boosts brand awareness, which is crucial for startups that need to work hard to make themselves known in the industry. The goal is that, despite being a startup, you’ll be so famous in your market that eventually, your startup business becomes a household name in the industry. Affiliate marketing boosts brand awareness because of the power of affiliates. Their word is often given so much trust and weight by their loyal followers, mainly if they’ve already been in the industry for so long. This removes the need for your business to double the time and effort in reaching a target audience when each affiliate already has its respective sets of followers.

Progress tracking is another aspect that businesses should always do after the release of every marketing campaign to check whether or not it’s bringing in the intended results. With progress tracking, you could save time and effort on effective marketing strategies. The longer it takes to discover that, the bigger the chance of wasted resources. This isn’t a situation that businesses, particularly startups, would want to have.

The good news is that affiliate marketing offers real-time tracking. This means you know when a visitor clicks a link and goes to your site. You can also monitor sales through the affiliate’s links or with their code. Because everything is trackable, you can check and see how well each affiliate is performing from time to time. Changes can be implemented before it becomes too damaging for your startup if it’s negative.

In conclusion, affiliate marketing is an effective marketing strategy that startups should consider. It reduces risks inherent in startups, decreases upfront marketing costs, and offers quantifiable benefits. With its low starting costs, low ongoing costs, real-time progress tracking, and increased product reviews, affiliate marketing is a viable option for jumpstarting business growth.

Start-up Loans

Start-up Loans https://theraise.eu/wp-content/uploads/2023/02/pexels-pixabay-259249.jpg 1 1 RAISE fosters startup growth and scale-up within and across Europe RAISE fosters startup growth and scale-up within and across Europe https://theraise.eu/wp-content/uploads/2023/02/pexels-pixabay-259249.jpg February 16, 2023 February 16, 2023

February 16, 2023

A startup loan is a valuable source of funding for new businesses that need capital to launch and grow. It is a type of business loan that provides a lump sum of money, which the borrower must pay back with regular repayments at a fixed interest rate.

To qualify for a startup loan, lenders will typically require details about your business plan, turnover, trading history (if any), founders, and projected earnings. While many types of businesses can obtain a startup loan, some areas of industry are excluded. For example, companies that engage in illegal activities such as drugs, weapons, and chemical manufacture are not eligible for a startup loan.

Startups that obtain a government startup loan don’t have to worry about their business ownership being affected. The loan is designed to help seed or early-stage businesses get off the ground, and it can be used for a variety of purposes, including concepts, testing, designs, prototypes, machinery, plans, legal needs, premises, marketing, and staff costs. In many cases, a startup loan is the only cash a company has when it first begins to operate.

There are several options for obtaining a startup loan, including traditional business loans, asset-backed loans, merchant cash advances, funding from angel investors, business grants, and business credit cards. Choosing the right source of funding is critical, and factors such as the amount of funding required, the length of time the money must last, the company’s ability to repay, and the retention of ownership must all be considered.

One significant advantage of a startup loan is that it allows you to start your business and usually lets you retain full or majority ownership. Additionally, government startup loans require no security or personal guarantee and often have lower interest rates and deferred payments. Lenders provide the loan based on the business plan and financial projections, not on historical business accounts, and startup loan providers will consider riskier businesses or ideas than most traditional lenders. Startup loans can also help you build business credit.

However, there are also some disadvantages to consider when taking out a startup loan. The application criteria for the government scheme can be restrictive and slow, and non-government backed loans can be expensive and may require collateral. Furthermore, taking out a startup loan can put your personal credit rating at risk.

Overall, a startup loan can be an excellent option for new businesses that need funding to get off the ground. When used wisely, it can help you bring your ideas to life, grow your business, and achieve long-term success.

Signs Your Business is Ready to Scale Up

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February 15, 2023

Knowing when to scale up your business is always challenging for entrepreneurs. Scaling up is never easy, as it is expensive, disruptive and can present numerous challenges. However, when the timing is right, many business owners do take the plunge and pursue new avenues of growth. Every step taken in scaling up must be strategic and well-planned. This article outlines six signs that indicate your business is ready to scale up.

Firstly, if your business is constantly exceeding its targets, then it is likely on an upward trajectory, and it might be time to set new goals for the company. Additionally, if your business is generating positive cash flow, you will have the financial security to cover the costs of expansion or growth, such as hiring new staff or acquiring new resources or tools. Furthermore, developing a skilled and trusted team is necessary for any thriving business, and if you know your team is capable of driving the company forward, then it might be time to take the next crucial step.

Moreover, acquiring and retaining clients takes a huge amount of hard work, and it is crucial to ensure that your client base is strong and reliable. If you have established a firm client base that is loyal and returning to you in spades, then it is a sign that you might be ready to scale up. Also, turning down business is a sign that your business is on shockingly shaky ground, and you might need to upscale with enough pre-planning.

Finally, your business must have a reliable infrastructure before scaling up. Risks are necessary to take in business, but only if they are necessary. So, if your team has smashed its targets and your profits are up in one quarter, that doesn’t mean you should necessarily take that as a sign to scale up.

Bloomberg Línea: 2023, a challenge or an opportunity for entrepreneurs to scale up?

Bloomberg Línea: 2023, a challenge or an opportunity for entrepreneurs to scale up? https://theraise.eu/wp-content/uploads/2022/09/pexels-canva-studio-3153201-1-1024x683.jpg 1024 683 RAISE fosters startup growth and scale-up within and across Europe RAISE fosters startup growth and scale-up within and across Europe https://theraise.eu/wp-content/uploads/2022/09/pexels-canva-studio-3153201-1-1024x683.jpg February 13, 2023 February 13, 2023

February 13, 2023

Bloomberg Línea spoke to experts and entrepreneurs of European companies with a presence in Latin America to identify the five main challenges they face and what will determine a business’s ability to secure venture capital.

Innovation-driven companies, including both startups and established companies, called “scaleups,” are facing a difficult year. This is due to widespread layoffs in the technology industry globally, and the current economic climate of rising interest rates, high inflation, and lower demand, which will result in less available funding. As investors become more cautious, these companies must come up with strategies that prioritize their project’s viability.

Scaleups are companies that have achieved a certain level of success and are now looking to grow further. They typically have a proven business model, a large customer base, and a team of experienced professionals. Scaleups are often differentiated from startups in that they have a more established presence in the market, and are more likely to have access to capital, a more mature product, and a larger customer base. Scaleups are in a unique position to take advantage of the current environment of low capital, as they have the resources and experience to effectively manage their growth.

A Dynamic and Evolving Environment

This presents both a challenge and an opportunity, according to Joan Riera, president of Active Development and a professor at ESADE Business School. He thinks that there’s no better time to start a company. In this environment, startups are more flexible and quicker in making decisions and adapting to changes. Riera has started 12 companies during his career, many of which were founded during times of crisis.
Alejandro Gutiérrez-Bolivar, co-founder and CEO of Ladorian, a provider of digital point-of-sale advertising in Europe and Latin America, shares this view. He says, “This will be a year for those with an entrepreneurial spirit, for those who know how to navigate uncertainty.”

More Costly Capital and Less Investment

The current macroeconomic situation is not favorable, with central banks worldwide raising interest rates and consumer purchasing power declining due to high inflation. This has reduced the capital available for investment, and supply chain efficiency is another challenge for 2023.
According to Crunchbase, global VC funding in 2022 was $445 billion, a 35% year-on-year decline from the $681 billion raised by startups in 2021. This decline is steeper than what was seen after the 2008 financial crisis or the dotcom bubble, as reported by consulting firm Preqin.

Ability to Monetize and Grow

Gutiérrez-Bolivar from Ladorian says that with more challenging conditions, entrepreneurs will have to leverage their competitive advantages more effectively, and demonstrating business models that positively impact the bottom line in the short-term will be essential.
Albert Nieto, the founding partner of Seedtag, which provides AI and ML-based contextual advertising solutions, anticipates a difficult global situation. He believes that companies must show they can generate revenue and grow quickly to secure funding. The key is to demonstrate that the product can be sold on an international scale.

War for Talent in the Tech Industry

The tech industry is currently facing massive layoffs while at the same time, society is undergoing rapid technological change. Keeping talented employees in this environment of crisis and intense competition is a concern that experts have highlighted.

Joan Riera also highlights the shift in behavior brought about by the pandemic. “The concept of freedom has taken shape after Covid, making talent retention both a challenge and an opportunity,” he notes.

For Ladorian Gutiérrez-Bolivar, talent retention is critical as it affects companies on both a tactical and strategic level. He explains for Bloomberg Linea that we need to integrate talent in a productive way, adapting to the hybrid scenario of remote and in-person work. However, the new ecosystem has made it difficult to maintain team cohesion, so when it comes to talent, it is crucial for people to work with those who can make a positive contribution.

Juan de Antonio, a founding partner of Cabify, states that the startup and scaleup environment is always striving to refine its tools to better manage talent. He also points out that Spain’s recent startup law, which improves tax conditions for stock options, is a step forward in valuing professionals in the industry.

Innovation at the Forefront

Venture capital is seeking out companies that offer disruptive technologies without sacrificing profitability and scalability. According to Ladorian Gutiérrez-Bolivar, from a commercial standpoint, the markets need to keep a close eye on thriving sectors and those with a stronger presence.

On the other hand, Riera believes that healthcare innovations will have a major impact, particularly in mental health, followed by exponential tech trends such as digital transformation, AI, 5G, and the Internet of Things (IoT).
He concluded that customers are demanding more experiences, they are connected and eager to learn.

Source: Bloomberg Linea