6 key points to consider when writing an elevator pitch
In this day and era of being an entrepreneur, you may find yourself writing an elevator pitch over and over again. They say collaborations are the best way to engage in business. There will be different organizations, brands and personalities you would like to collaborate or work together with on a particular project. It’s key to identify a brand/organisation that is in line with what you believe in and shares similar values, and goals with you. Today, we will be sharing 5 key factors to take into consideration while crafting your elevator pitch. This does not only work for business owners, entrepreneurs. Even those in employment looking to partner with other companies on different projects may find this useful. Keep it short and simple An elevator pitch shouldn’t be too long. You want to pass your message almost immediately in the first few sentences. So keep things short, clear and precise. State who you are, what you want from them, what you are offering, why you chose them and how you can work together moving forward. Get down to the nitty-gritty This is your introduction, where you sell your brand and yourself or what you do. At this point try to be very specific with the information that is required to get to know you better. Sell yourself and/or your product/ brand. Emphasize the value you offer After introducing yourself, you now need to explain or reveal more on how you do what you, and why they should work with you. This is where you clearly define your qualities, strength and your passion for your career. Also show the value it comes with. Include links and Photos This is quite important especially if you are using your products as a selling point. Have the images attached where necessary. You can even links to your website where more of what you do can be seen and assessed. Mention any huge achievements Here is where you state all that you have achieved in relation to what you are proposing to offer. The value will then be easily aligned with your achievements, depending on the person receiving your pitch. Follow up After sending in your elevator pitch, give 3-5 days before you send a quick email to touch base. They may missed your mail or are holding back on their response. This can happen easily as they receive many emails, and depending on schedules, emails can be overlooked. A kind reminder to check your mail is necessary. You can even forward your initial email again so they don’t have to search too hard and can see you sent it earlier on in the week.
The 4 minute guide to SME marketing: Much ado about big budget
“Jennifer our business only has #xxxx and I can show you our account statement if you don’t believe me. I really would love to do marketing o, but If I spend that kind of money now, I would have nothing left to run my business.” This was a real statement from a friend of mine during a conversation we had about his recently launched platform. At some point during the conversation, I had to subtly remind him that if he does not market his platform, he wouldn’t have a business to run in another few months. I cannot say this enough, when it comes to getting your business out there, marketing is a big deal. As you think of your product you also have to think about how you will go to market with that product. Having worked with/and for startups and small businesses, I am all too familiar with the budget constraints. There is usually too little cash competing with too many business priorities. This, coupled with the fact that for a long time small business owners have been told that marketing (and subsequently advertising) is for the big players with big budgets, have made them shy away from it until it becomes an absolute necessity. The real questions are: Can you create buzz around your product or service without a killer budget? Yes! Can you get people to care about your brand and actually want to engage with your brand without having to dole out a shit load of money? A big yes! These things are very possible as long as you are committed to going through the marketing process in a creative and deliberate way. As we go further in this series, we will explore multiple strategies and tactics that you as a small business owner can deploy in growing your customer or client base. However, today, I would like to speak to 2 things that I consider very essential at the early/launch stage of your business that will cost you little or nothing to implement: Be approachable One of my favorite IG luxury fashion retailers once did a PSA that encouraged people to come into her store and window shop even though they might not be able to buy any of the items at that particular time. I thought that was really warm and inviting and it inspired my first interaction with her business. Truth is, your brand essence notwithstanding, if your business projects an image of being aloof or arrogant, people will probably have a difficult time connecting and interacting with it. Give something back Earlier this year I bought a pair of shoes from one of these online stores and inside the box was a voucher with a discount code for 20% off my next purchase. This was to thank me for choosing them and to encourage me to choose them again. I was quite pleased with both my purchase and the incentive and let’s just say before the end of the day I had redeemed my voucher. Make people feel appreciated for spending money on your business and you give them a powerful reason to want to spend more. More often than not superior marketing can beat a superior product. Coca Cola and Pepsi are fantastic in illustrating this because despite the fact that Pepsi typically wins in blind taste tests, Coca Cola still controls a huge chunk of the carbonated soft drinks market. However, superior marketing does not always imply superior marketing spend/budget. With a healthy dose of creativity, strategic marketing and sometimes just plain hustle you, with your little or no marketing budget, can achieve results that would rival that of an FMCG with their seeming infinite marketing spend.
Debunking the “Marketing is Advertising” myth
Advertising is not marketing. As a marketing professional I encounter clients who usually do not understand that although all advertising is marketing, not all marketing is advertising. Marketing is an all-encompassing practice, made up of various elements such as strategy, customer research, trend investigation, public relations, social media promotion, product design, pricing techniques, promotional campaign activities, distribution management, competitor research, innovation, concept and service design, content creation, copywriting, and so much more. All of these efforts need to be working together to build a successful product or service. Advertising on the other hand is really only one form of marketing but that which everyone actively notices. It is the promoting of brand awareness to a large target audience via mass media, such as television, print and radio. Let me try to simplify this Think of marketing as a box of crayons with different colors, while advertising is just one color in the entire box. To create a masterpiece that isn’t lackluster, you need to play around with the different colors in your box of crayon. I thought it was important to establish this because I encounter quite a lot of entrepreneurs and business owners who think that because they have a Facebook or IG page, they are ‘marketing’. While social media is a fantastic marketing tool, it is but one in the arsenal of tools that are available to you. Nonetheless, advertising works The big brands have proven this over and over again. They have also proven the fact that advertising needs the support of other marketing elements to deliver good results. So while you would be serenade by Power Oil sachet jingles on radio on your way to and from work (Advertising), you would also find that Power Oil sachet at almost every street corner (Optimized Distribution). More importantly, advertising alone would not solve all of your marketing problems. So for example, you can choose to invest your limited funds in a radio campaign or on Facebook sponsored posts but all of these efforts would yield little or no results if you do not have a product that solves a real consumer need. However, the process to dimensioning & understanding these needs is a marketing process called customer and market research (and definitely not advertising)! Another example is the lady who sells packaged food items (Say 5kg at ₦8000) and wants to increase her sales. She might not necessarily need to spend money trying to set up a billboard along the third mainland bridge. What she could do is launch smaller variations of her product (let’s say 2kg @₦4000) that students and other low income earners can afford. This would help her appeal to more people and broaden her market space. Am I making sense? The lesson today is single minded: Marketing is much bigger than advertising. And to be very honest, marketing is a tough concept to get your arms around but that is why I am here. To help you get the hang of it such that you would get actual returns on all investments (time, money and effort) made into this very vital aspect of your business.
The 4 minute guide to SME marketing
The average human’s attention span is… oh look, a notification on my cell phone! According to scientists, the age of smartphones has left humans with such a short attention span even a goldfish can hold a thought for longer. As such it is no longer surprising when people complain that a 1000 or 2000 words post/article is toooooooooo long. So I asked a couple of friends and acquaintances; “What’s the most amount of time you would be willing to spend to carefully read an article that piques your interest?” The answers varied between 2-7 minutes and at the end of the day I arrived at an average of well, 5 minutes! And this was one of the considerations that inspired “The 4 Minute Guide to SME Marketing” series. What I hope to do with this series is help start-ups and small/medium business owners navigate the rather murky waters of marketing. Because I understand the time constraints we all face as busy professionals and business owners, I plan to keep every article interesting, informative, and most importantly, concise. Pinky swear! I chose to do a series specifically on marketing because, to be honest, I absolutely love the profession and practice. I always tell people that marketing found me (a story for another day). After spending years in the advertising industry as a brand and marketing strategist and working on a number of brands across different industries, I’ve gained insights that I believe would be useful to small business owners. It can be difficult to access ready and affordable marketing consulting services so That said, I guess we can all agree that starting a business is exhilarating. Unfortunately, the “build it and they will come” theory doesn’t hold much weight anymore because while you might have a fantastic, the greatest thing since sliced-bread product, if people do not know about it, who you epp? The process of letting people know about your product or service is a deliberate one hence an entire academic and professional field called marketing. Again, unfortunately, a lot of startups and SMEs have a flawed mindset with respect to marketing (what it entails and what it can do for their businesses) and this is why most of them do not scale or eventually live up to their full potentials. I mean in today’s business field, battles are won or lost in the market arena and a good product/service alone would not sell itself. As such, marketing imperatives are no longer an option, but a MUST! You can choose to think about it this way. Your product or service started as an idea and we all know that ideas need momentum. LaunchSquad’s Jason Throckmorton said “you can have the best idea in the world but if you don’t couple that with a strategy to spread your story, your idea isn’t going to go very far.” I couldn’t agree more. Still in doubt? You can also choose to think about it this other way. As a start-up, as a new business, nobody knows you yet so you need to get people to care enough to try what you offer. And this is when marketing becomes a smart investment because it can help you legitimize your business, create excitement, engage potential clients/customers, encourage trials and repeat purchases and even inspire loyalty and advocacy. You see where I am going with this right? 😀 I’d conclude today’s post by saying SME marketing shouldn’t be a flimsy afterthought. Just as you have been very deliberate about creating a top notch product or service, you need to be equally deliberate in creating demand for that product or service. Until next week SLAyers! Cheers!
Come what may…business must go on
To all intents and purposes, many economies on the continent have seen a slowdown. Businesses are being tested for resilience, they are being pushed to the edge, and the strength and acumen of their value chains are being tested. But come what may, businesses must go on. They may not thrive as they when the economy was buoyant, but they must continue in earnest. As I think about these times, two things come to mind. The need to build a strong brand to have a sustainable and viable business in and out of a slowdown. The need to continually prepare and plan to scale your business around the core business activity at the earliest possible opportunity. Building a brand. Building a business What is the difference between a brand and a business? A business is an enterprise that creates an opportunity to trade and generate revenue. A brand is made up of intrinsic values, quality and characteristics that endear clients and aspirational clients to the business. I always say when starting a business, it is crucial to focus on building the brand first, so that you can have a viable, sustainable business in the medium to long term. And building a brand is not child’s play. A business brand is almost always made up of the personal and business values of the CEO. Especially for a small business, it is almost impossible to separate the personal brand of the CEO from the business brand. These become indistinguishable given that the CEO is the face of the business, and most likely the primary client-facing representative of the business. For the business owner and CEO, this brings home the need to reflect on, define and articulate your personal and business values right from the outset. This delivers you your business brand. Understand and define what you are trying to achieve with your business and what values are aligned with that personal and business aspirations. Then, commit to live those values – through how you operate your business, how you choose and interact with clients, the quality of your services and products, how you recruit and engage with staff, how you present yourself to the world – presentation skills, public speaking skills, networking, and personal style. When we focus on these from the outset, we endear clients, and essentially revenues, to our business, create brand loyalty, and, come what may, in and out of recession, we enjoy a level of brand loyalty. Scaling your business Most business start with one core idea, concept, initiative, but there is always an opportunity to scale and expand that business. Think of a fashion brand that starts initially producing clothes, then start to produce and sell accessories, then later on goes into interiors, and maybe even then a lifestyle venture such as a restaurant. What enables such a business to do that successfully is the power of their brand. When a brand is strong, it has a following, and clients will seek out that brand for every aspect of their daily needs. It’s an intentional decision. Many global corporations and their CEOs at one point decided to develop their personal and business values (=brand) to keep their clients and customers hooked. In the event of an economic slowdown or economic upturn, their business, through their brand strength, remains a viable and sustainable enterprise. You can do it! The price of business and entrepreneurship is uncertainty, and the prize is a vision fulfilled, success even in the midst of uncertainty. Someone recently shared with me a precise lesson in living. They said, if we knew the times and seasons, if we knew exactly what would happen to us or our business next month, next year or in 3 year, we would not need faith, we would not need to be resilient. It is often the uncertainty in business and the ambition and determination to curb that very uncertainty that fuels the drive to success. Risk taking buoyed by a strong brand can bring some comforting business stability. When we strive to become better than we are, everything around us becomes better, too – Paulo Coelho, The Alchemist
Beginner’s guide to marketing to an African audience
Now is a good time to become a game changer. Social media has allowed the world to get a cultural peak into the diversity of African culture. From Azonto music to African films, many African media outlets are re-branding Africa’s image to the world. Social media has given us the global platform to have unfiltered control over our own images (no pun intended) and build meaningful connections with those who are like-minded. Take advantage of the global opportunities that the internet has to offer. Working within the field of marketing is based off of the relationships and connections that you build with others. When others see that you are of value to them in some capacity, they are more inclined to support you. Content is king (or queen)! Your content must reflect your values. If your mission statement says that you believe in high quality, but your social media images look like your little cousin Kofi took them, nobody believes you. High quality photos are non-negotiable. The majority of your digital audience will most-likely have smartphones, if they can take semi-professional looking photos with them, at the very least, you can do the same. About 55% of online users leave a website within the first 15 seconds, this leaves little time to make a great first impression. You should always “sweat the small stuff”. Have an eye for detail. Putting elements of your personality into your marketing strategy sets you apart from the rest. It shows a level of creativity that no one else can effectively duplicate because there is only on you. Engage with your audience You have to tap into your audience’s needs on an emotional level. You must engage with your audience so that they feel connected to your brand; this is how brand loyalty is developed. Take the time to define who your target audience is and create content that is relevant to them. Be as personal as possible when addressing your audience, they need to know that they are valued. Implement nuances that remind them of their culture so that they feel a level of nostalgia and camaraderie in association with your brand. Allow your empathy to shine through. Show your core audience that you “get them.” Please understand that social media for brands is really not about self-promotion but rather to engage with your audience and build trust. Brands should use their social media platform to learn about their customers needs and find solutions for them. When you are marketing, you are in the business of solving problems. It is imperative that you take the time to know and grow with your audience. In knowing their values, you can develop marketing strategies catering to their interests. Majority of online activity for many is done on a mobile device (i.e. tablet or smartphone). Your website must be mobile friendly, responsive web design needs be integrated into your website. Responsive web design is “a web design approach aimed at crafting sites to provide an optimal viewing experience—easy reading and navigation with a minimum of resizing, panning, and scrolling—across a wide range of devices (from mobile phones to desktop computer monitors).” If visitors have to struggle and constantly scroll across the screen just to read a sentence, they will easily become annoyed and less likely to visit again. Your website should be easy to navigate. If you are selling a product or asking visitors for donations on your homepage, visitors should not have to maneuver through three different webpages before finding the right button to click. People in the digital age are less patient, you have to find ways to accommodate that. I beg, “African time” need not apply in the digital world. Create customer profiles When marketing to an African audience, create a customer profile. A customer profile is just a detailed description about who your target customer is. Many marketing teams do this in order to make customer centered decisions that appeal to their target customer. The customer profile could include the following: Name Age Hobbies Where they live Favorite movies Goals and aspirations In addition to the above, you can even google a picture of what your target customer would look like, be as visual and descriptive as possible. According to user experience researchers from Experience Solutions “most projects evolve from an idea, and grow through the opinions of influential members of the project team. The trouble is that these influential members of the project team are rarely the end user or customer. This often results in a product or service that doesn’t quite meet customer expectations or needs…” Having a thorough customer profile serves as a reminder as to who your target audience is. You are more likely to accurately focus your branding strategies around their interests. Make Google analytics your best friend Make Google analytics your best friend. Google analytics is a free web service run by Google that tracks and reports your website traffic. You can use this tool to track the geographical location of your users, view which pages on your website they are visiting, the time of day that they visit the most, and a host of many other details. In knowing how your audience moves, you can study trends and plan strategically. For example, if Google analytics shows that your blog has that highest amount of web traffic on Tuesday’s between 3-5pm, you may want to release new blog posts during that time. There are plenty of videos on YouTube that walk you through the process of using Google analytics. Africa is not a country Finally, marketing to an African audience requires significant research. Africa has over 50 countries, each of which has its own unique culture. A marketing strategy that works in Nigeria may not work in Kenya. Collect data, analyze and respond accordingly. As long as you are working with a well-defined goal in mind, it is easier to establish your target audience and market to them effectively. Have any other tips on marketing
Archel Bernard kickstarts her Liberian ethical fashion factory
Archel Bernard is a Liberian fashion designer and entrepreneur. She successfully raised more than $40,000 on Kickstarter for her company’s growth and shares with us how someone stealing her ideas got her started in fashion, her ambitions to build a global brand and why crowdfunding was the way to go to raise much needed cash. Why did you choose fashion as your avenue to make a difference in Liberia and how has your business made an impact on the local community? I wanted to be the West African Oprah Winfrey when I moved to Liberia. I would go to communities and shoot and edit videos of exciting things happening around Monrovia, and of course the West African Oprah had to wear West African clothing! I made my dresses at a trendy boutique in town, and the seamstress would take FOREVER to get my clothes to me. I was doing my own designing because traditional African clothes aren’t typically my taste. One time I went to pick up a dress the boutique had been working on for about a month, and when I saw her, she was wearing a copy she made for herself, another customer was wearing a copy she just purchased, and another tailor was sewing one for her to sell on her racks! I still had to pay top dollar for a dress she was taking credit for designing. At that point I realized I could figure out a way to do everything I was paying her to do for me, AND possibly make a profit from it if people liked my styles. I made 8 different styles, found two tailors, and paid them a small fee to make my first line. I didn’t even know I was creating a line, much less a company. I just thought I could make a little money around Christmas. I sold out of everything and used the feedback (and money) to make more styles. Two of those same looks are still our top sellers today! I was never inspired to create until I came to Liberia. I loved the bold colors and patterns. The chaos in the markets and streets, and always the women wore bright lappa to navigate it. Seeing and wearing African cloth made me feel at home. I was thrilled by the design possibilities because from where I sat, we could do much more than tie lappa around our waist. Two months after selling my first dress, my government contract ended and I was unemployed. My mom hired me to be her driver on a visit to Liberia, and my dad gave me his pick up truck, so I bought cloth with the money and sold dresses from the back of the truck. Slowly, I saved enough money to open a shop. I’ve worked all kinds of jobs to make this happen. Now our business has grown so much, our tailors get sad when I leave town, not because they will miss me but because when I’m in town there’s always a ton of money to be made! What are your ambitions for your company and The Bombchel Factory? I want to build a large factory that staffs and trains hundreds of Liberian women, and offers classes on the side for literacy and business skills. This is about community building and industry changing. I want our factory to rival not only rival China for quality, but be the best in the world for human development. I want clothes made in The Bombchel Factory to be sold everywhere from Nasty Gal to Bergdorf on Fifth Ave soon, to prove that there is space for quality, ethical fashion in the most exciting shopping districts of the world. Why did you choose crowdfunding as a fundraising strategy for your business? I chose to crowd fund our company because we had hit a point where we couldn’t grow anymore doing the same thing we were doing: small custom orders for under $100 a client. We wanted to reach the everyday girl, but customer acquisition was expensive and there wasn’t much profit in a few custom orders a month. I’m incredibly scared of loans, after having already signed my life over to Sallie Mae years ago, and I don’t think we are big enough to start including investors with equity. Since all we needed was a strong following to preorder our goods, crowdfunding was perfect for people like us. Everyone who backs our campaign knows to expect a wait before receiving their goods, so that gives us a chance to perfect our items and plan our website and New York Fashion Week launch party. We are using Kickstarter to literally explode onto the market, and Kickstarter is good for helping you build a loyal following. What factors did you take into consideration before starting the crowdfunding campaign and how did you prepare to make sure it was a success? I had a friend, Chid Liberty of Liberty & Justice factory, also do a Kickstarter for his t-shirt line. He was actually the person who recommended crowdfunding to me. When his campaign launched it was flawlessly executed. They met their goal in a few hours and even got endorsements from several celebrities. I knew I didn’t have that kind of reach, but I also knew I had a lot of things going for me that I could package. I read every article and watched every video on having a successful crowdfunding campaign and applied what I could. My best friend in Atlanta offered a great photo shoot deal, and my sisters have been known to work long hours for clothes, so I knew my packaging would be spot on. I had a ton of people interested in ordering my designs, but I needed to streamline the ordering process and show the need for my product would gain the same results as having a large network. Crowdfunding has proven I have a market, not just cousins and friends who want to support me. What message would you share with other young African
Rita Kusi shares 6 tips on how to make your marketing stand out
Are you having difficulties marketing and or selling to an African audience? Perhaps you should reevaluate your marketing techniques. Prior to relocating to Ghana, my way of marketing and working was mainly digital and via online platforms. After relocating, I realized that while these methods were very effective abroad, they were not as effective in reaching a large audience in Ghana. This is probably the case in most African countries. Digital and online marketing, commonly known as Above The Line (ATL) marketing, is a great way to target the urban youth and the global audience. However, if you want to reach adults and local residents living in rural areas, your best bet is to use effective Below The Line (BTL) marketing techniques, such as, on-the-ground activations and promotions. In Ghana, ATL marketing is effective because most people are almost always tuned into their local radio or television stations. The use of the internet has only increased recently because of the rising use of mobile technology. As a marketer, you have to know how to adapt to this environment. The solution is not to give up on the old tactics you know or are familiar with but instead, effectively incorporate new strategies to help you become a well-rounded marketer. So what characteristics do you need to be a great marketer in the African context? What marketing strategies are effective for engaging the African market? Well, I discuss them below. Characteristics of a great African marketer I’ve always considered myself lucky to have the skills of a marketer. At times, I wonder if one is born a marketer or can learn to become a marketer. I believe effective marketers are born with certain traits and also learn as they go. The world is always changing so we must be able to change with the times. Here are 10 characteristics that are time tested to be true of an great African marketer: Have a genuine passion for people Honest, personable and approachable Possess networking skills Embrace and drive change Stay connected to an African audience Communicate effectively Passionate Innovative and thinks outside the box Take chances Wholehearted belief in the product they are selling Motherland Mogul Tip:Remember, good marketers can market and sell any product, but great marketers choose the products they want to market and sell. They are persistent and do not understand the word “no”. Good marketers are led by passion and the need to connect the right people to the right product. They understand their target demographic and will go to great lengths to connect them to that product. Next, we discuss strategies for marking effectively in the African context. Strategies for marketing effectively in the African market Now, with these characteristics, you must be willing to do some things differently to gain traction in the African market. Let’s discuss a few strategies below. 1. Establish strong genuine relationships Often many of us like to take the conventional networking approach. I’ve been guilty of this in the past. We attend an event, meet someone and have a two-minute conversation then request for a business card. Effective marketers actually take the time to follow up and establish rapport with potential clients, sponsors, partners, and their audience. In Ghana, it is all about who you know. Therefore, establishing relationships is crucial to your success in almost any field. 2. Sustain relationships One of the most important lessons I have learned is that it is not enough to establish relationships with people. Sustaining those relationships plays a crucial role in the success of your marketing strategies. It is one thing to establish relationships but what are you doing to sustain them? Sustaining relationships are one of the hardest and most challenging things to do because it requires time. It is none the less a great investment. An occasional phone call, email, or visit helps you to stay connected. 3. Form strategic alliances/partnerships It is a fact that we all need someone and cannot get to where we are going alone. Form strategic partnerships that are mutually beneficial. Align yourself with people who have a similar mission and your best interest at heart. They will help you sell or market your product. In Ghana, having notable sponsors and partners as part of your event validates your event somehow. Rarely do you see fliers or posters without sponsors. However, you want to be strategic in forming these alliances and not overdo it. 4. Networkability Word-of-mouth continues to be the #1 effective way of marketing. As a marketer, it is your responsibility to go out and network constantly. Whether your goal is to increase your clientele or fan base, go out there and meet the right people who will help get you to your goal. True marketers understand that time is of the essence. There is no need speaking with everyone in the room, just key people who you share commonalities and a similar vision. 5. Communicate effectively and believe in the product As a marketer your verbal and written communication must be up to par. You have to believe in what you are selling in order for people to believe in it as well. Therefore, your way of communicating must be clear, concise, convincing, and easily understood. 6. Think marketing True marketers are always thinking about marketing. They apply marketing to almost any and everything around them. To conclude, marketing in Africa is very different from marketing in the States or elsewhere outside of the continent. Sitting behind your PC expecting to reach a large number of consumers is not ideal. Bottom Line Marketing is king! You must be willing to go out and connect with people.
7 things I learned from my first startup failure
At the beginning of 2014, Kegaugetswe Florence Mukwevho and her two business partners started a food company. The startup, which launched in April of that year, was on a mission to create youth employment by operating a low cost, scalable mobile kitchen for a local growing chicken brand. The business was doing well in its first few months; sales were high, showing that there was a market for the product and service they offered. Startups in their early stages need funding for growth and expansion and this was the case for the food company. Kega came across the 2014 She Leads Africa Entrepreneur Showcase and thought that it provided a great opportunity for the company to get much-needed funds. With the support of her co-founders, she applied and was selected as one of the top 10 finalists. Although she didn’t win the competition, she received great feedback from the judges and mentors and support from the SLA team. Upon her return home however, Kega noticed that the dynamics in the company had shifted. In partnerships, group dynamics can bring synergy or divide at the expense of the business. The latter was the case for the food startup. Ultimately, the three entrepreneurs decided to go their separate ways. Although it has been a difficult journey, Kega shares firsthand what she learned from the failure of her first startup. 1. Have a partnership agreement Our business relationship was going so well in the first few months that we delayed creating a partnership agreement. For me, it was unspoken. Our official agreement came much later as a reaction to issues rather than as a proactive step in the initial phase. It is important that one does not assume that common sense is common to everyone. We are all human beings with different backgrounds therefore we do not think the same way. “We could have avoided some disagreements by clearly putting down expectations regarding our roles and responsibilities, how to run the business, funding and equity earlier on.” Make sure you seek assistance from mentors and other entrepreneurs to get an idea of some of the real issues that may arise in your business. 2. Be 100% involved in your company When we started the business, we were full-time students with the exception of one partner who was studying part-time. As such, he was the operational partner and was on site all the time. Starting a business is no easy task and it is well known that the failure rate for new startups is very high within the first 18 months. It is during this infant stage that a business needs the most tender, love, and care. I was juggling being a full-time student and a business partner. As a result, I did not give the business the undivided focus and attention it needed during this critical stage. Not only did this hurt the business but it also placed a greater burden on my partners. “We did not realize from the get-go the kind of hands on involvement and input we needed in order to thrive.” I wish I knew then the importance of being more involved in the daily running of the business. 3. Things are not always as they seem Business is about testing assumptions. While we might have had a very convincing story on paper including a probable financial model, things don’t always turn out the way we envision them. According to our business plan, we were set for success. In drafting any budget, there is a principle that you “overstate your costs and liabilities and you understate your revenue and assets”. This is particularly important for a startup. We did not prepare for the worst case scenario and found ourselves running into serious cash flow problems. It may seem like everything will go well, but things do fall apart. You must be prepared for the possibility of failure. When it comes to financial modelling, you should rather exaggerate your costs and other expenditures by using the worst case scenario, just to be safe. Also, financially, physically and emotionally, prepare yourself to not be profitable for the first few months. 4. Don’t underestimate your competition We chose to locate our business in a township. We assumed that because we were selling grilled chicken, it would be better to sell it near a large hospital because people would want a healthier alternative. Unfortunately, this was not the case. We had underestimated our competition. Although there wasn’t a flame grilled chicken option in that area at the time, we had competition from people selling cakes and other fatty foods. The market wasn’t open to having healthier alternatives. Our competitors had already realized this. 5. Invest in a stellar marketing strategy< Around October of last year, our sales were increasing organically because it was the festive season. But even then, we knew there were certain challenges. In the beginning, business was good because we had a new product that people wanted to try out. But in the long term, it was not. People tasted our chicken and liked it but in that township, eating chicken was more of a status thing. We were trying to create a lifestyle but most people could only buy our chicken at the end of the week or month when they had been paid. We made a lot of assumptions but I think that is what business is about – testing assumptions. We tested our assumptions and some of them didn’t turn out as we hoped. We tried to have more marketing to increase sales to the level that we wanted. However, we did not allocate a sufficient budget for this and as such we could not do everything that we wanted to do. There is a lot more we could have done with a lot more time and money; we should have thought to invest in a marketing strategy much earlier on. 6. Keep employee morale high The loyalty of employees is very important as they are the operational drivers of