Author Topic: Advantages and Disadvantages of a Start-Up Business  (Read 1395 times)


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Advantages and Disadvantages of a Start-Up Business
« on: June 12, 2019, 08:59:04 AM »
Advantages and Disadvantages of a Start-Up Business


1. Freedom of choice in all aspects of the business. Creativity can play a big part in starting and operating the business. The owner is in control of all aspects of the business, including the location and what the operation is to look like.

2. Low-cost entering: If you have limited capital available, you can start on a small scale.

3.Quality of Life: Entrepreneurs usually start businesses doing something they love. Growing a business from a hobby or part-time job gives entrepreneurs a chance to improve their lives because they are working in an environment important to them. Working in a positive business environment may not really seem like work to an entrepreneur.

4.Team solidarity: Smaller teams tend to be closer teams.  It’s purely a function of team size divided by time.  As a member of a small team, I simply spend more time with each of my team mates than I could with a big team.

5.Freedom to question everything: when engineering teams are allowed to question why they are building something, incorrect or unnecessary features can be changed or scrapped early in the development process. This saves time and results in a better product.


1.High commitment: You'll need to spend more time and effort to start up. This will include developing your customer base, establishing lines of credit and supply and finding experienced staff.

2.High risk: Success depends totally on you and your business talents. That's why future of your business remains uncertain and nothing can be taken for granted.

3.Delayed profitability: Where the market may not already be established, it may take longer to become profitable

4.More responsibility: All of the details of starting the business, including licenses, marketing, naming the business, finding product sources, etc. are the responsibility of the owner.