There are different scales of business. While some fall under small scale and some under medium scale, and others may count under large scale. Apart from these significant divisions, there are many subsets, and one of the subsets under a small-scale business is a start-up.

Start-up has become a recent trend now and is believed to offer many people the opportunity to begin the business. Start-up is just the beginning of a small-scale business which definitely grows with time if an entrepreneur works as per the necessity. Actually, it has been observed that, even after spending more than 2 years in start-up, an entrepreneur is still unable to term it as a medium-scale business.

Such a situation occurs due to the inability to understand the features of small or medium-scale businesses. Here, we will discuss such features and symptoms of the business that will clearly hint that your company is no longer a start-up.

Features of start-up

Generally, the features of the start-up are pretty different from traditional business ideas. To begin a start-up, one must know about these features properly. Only after that can he become a successful entrepreneur.

  • Out of the box idea

Start-up denotes an entirely new business idea that has never been interpreted within this industry. Moreover, it is such a business idea that it has the ability to shake other merchants. The product should represent uniqueness, and buyers must not acquaint with that product before.

There is no doubt that start-up owners deal with real risk factors as the product is entirely new in the market. There are chances that buyers may not like the product or are unable to find it helpful. On the other hand, a new product may also become an essential product within the market.

In such cases, the entrepreneur and investor become happy as their business is earning profit. However, arranging for funds in a start-up is difficult for its ‘out of the box idea. However, an entrepreneur may borrow from taking a loans for even bad credit from the direct lenders of Ireland to drive out the necessity of a fund crisis.

Apart from that, he may also look for suitable investors who would like to take risks. This is because if the idea clicks by any chance, there is a massive chance of earning profit. Even the way to become a successful merchant will no longer remain an unattainable concept.

  • Time for the growth

When it comes to the matter of growth, usually, it takes only 2 years. One must understand that start-up is just the beginning phase of a business. Unlike small-scale businesses will approach to medium scale and gradually to large, similarly start-up will also grow with time.

However, this time may vary upon the uniqueness of the product. If a person has not chosen a unique product to manufacture, it will take much more time to flourish. Naturally, business people who copy the idea of another entrepreneur need to bear a good percentage of risk.

Therefore, it is pretty challenging to determine the exact time of business success. Moreover, it ultimately depends upon the acceptability of the buyers and strategies of a businessman to sustain within the competitive market.

Symptoms that hint your business is no longer a start-up

Perhaps your start-up business is older than 2 years, but you are still assuming yourself a start-up owner instead of a small or medium scale business owner. Therefore, here are some symptoms that will clearly hint that your business no longer remains a start-up.

1. The business is older than 1 year.

Start-up is the new beginning where it will take time to achieve desirable growth. But if the company has survived in its initial year, you may call it a small scale business instead of a start-up owner. The only reason for keeping the time span as 1 year is because according to the survey it has observed that 8 out of 10 start-up ideas failed due to different issues.

Therefore, if your start-up business has survived more than 1 year and even you are in the 3rd year of the company, it is better not to name it as a start-up.

2. The number of headcounts is increasing.

Without hiring employees, it is difficult to scale up the business as being the company’s owner. It is not possible to complete each and every task. Besides, you need sales personnel and packers for the sake of selling and manufacturing the products. So, if the number of employees is growing, it clearly hints at the growth of the start-up.

3. Turnover is higher than the previous year.

Turnover is highly associated with profit margin. If your company is running on more than the principle, then you may claim that the organization is no longer a start-up. Moreover, a consistent profit margin always grabs the attention of investors too.

In most cases, even lenders have no objection to lending unsecured personal loans to start-up owners in Ireland who possess good turnovers. Therefore, if you find the financial capability due to commendable turnover, you may add more funds by borrowing money without any worry.