Did you Know - Why Startups Fail in Exports / Imports Business ?

Most of the startups Now - a - Days are Looking at Breakthrough either they may be a working professional ( fed up with 9 -5 job or looking at change ) or a business owner who wants expand his business Globally.

I really appreciate the startups efforts , patience , time , energy , investment . Hats off to you guys , But please remember that you should also sustain in the market so the efforts taken by you pays off to you and your generation .

## Coming back to the Point now , Why startups fail ?

-They dont have a Practical exposure / Experience to handle the business . why? They lack the knowledge , It is always ethical when you get guided by guru's or Experts in that industry ( Not all Experts will be mentoring , LOL! 😁😃😁) This is the foundation step that Startups has to work out with. Getting practical knowledge with an update helps you for the consistent business & growth as well.

- Being a Startup , they get excited when a foreigner Approaches him/her for the Product. I understand when we meet / experience what we love we get excited. But this is Business , You should frame your boundaries before you start your talk on your trade / transactions. ( Very important )

-Managing funds - I can say its a top priority step whether you are good at financials or not . managing this will make your startup run smoothly. Being said that ( In India ) Even though there are 100s of advertisements on loans, you need to take out cash from your pocket & start your trade .

-Building a strong Relationship with your buyer is a very important skill in your startup , because today we are in the world of doing business on CREDIT ( no Harm if you give credit ) but you need to know your Buyer well ( Their financial background & Business background ) which every startup has to verify by themselves . Today we never know who goes bankkrupt either personally or through the business . A Consistent talk will give you the smell on the current situation of the buyer. ( I never say startup to do trade on CREDIT , But we are forced to do so as market is moving in that direction 😉😅)

-Supply chain Management - Again this plays a vital role in the cash turnaround ( this is what makes money actually ) - Need to get in touch with RIGHT & GENUINE Supplier . Before you approach a supplier you need to know its Harvesting time , production time , where , how ,when its produced . Product knowledge is Damn Important . the skill of negotiation is the need of the hour 😆.

-Shipment / Transportation - Be aware especially in Mumbai ( Nothing to hide , lets be frank ) Whenever a startup approaches most of the shipping companies gets you a hefty Bills to settle , 1st time you talk you get a fancy figures , 2nd time its ok lets do , 3 rd time when you speak up , it turns out be on a higher angle so please be sure before taking any service from logistics , get in writing all inclusive cost .I have seen myself getting Trapped due to un-competitive / last time change in logistics cost. ultimately failing to do the trade.

-Keep your expectations low , very important . I feel that in exports people have high expectations on Margins . Obviously i dont say you to kick - start with 0 Margins . a Nominal margins allows you to do the trade peacefully

To wrap up , Maintaining all the above will help you to sustain in the market , and see the growth . I write this article with much Positive thoughts in Mind so that our Countrymen's Doesn't fall into the pit of failure.

You can leave your comments , you can ask any doubts / advises / clarifications leave in the below comments .

Dont Forget to Share this with your eximpruners if you feel this is worth reading😃🙂

You can also join our group " #LearnExportImport " to learn & Keep you updated in Exim Journey.

Hope this article help you take appropriate decisions :)

#santhoshraghavan Santhosh Raghavan

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How can we start Exports Business From the SCRATCH TODAY ?

Trying & Starting an Export business is one of the Greatest Startup in the WORLD , But why - You support Your country's growth & Give employment 🙂 


**Coming to the point now , i am giving away Some of the Practical Tips over here !**

First - Learn the basics to advance in international trade ( To be frank no institutes / Consultant can help you learn unless you strive to learn it ) . Spending money more than 5-10k to learn is also not worth as this is not a Professional Course , as your aim is to do business and not to run a training center ( If at all you are planning to do it also is Perfect! )

Secondly - Practice what you have learnt , If you aren't implementing then learning becomes a Big question to you ! or you may have chances to Distract ( As we are so busy in the world ) When i say practice i mean try implementing what you have learnt.

Thirdly - Coming to the technical aspects , In exports you require the following - Product knowledge , Supply chain management , Logistics co - ordination , Buyer ( Very important , tricky ) , Documentation , Banking LAST But not the least Investment . This are the raw materials to start Exports business on a technical angle.

A simple Thought for a startups - Aim at Low investment product with decent margin and with Consistent order is a good to start with!

For Eg : Roses To Singapore , Philippines

How should you plan your startup - Product knowledge & Investment goes hand on hand , At some point of time i know there is a good demand of XYZ Product in ABC Country i have investment & know the market but lack - Sourcing , product knowledge , supply chain management . That puts off everybody in the industry , especially the merchant exporter . This is the back - bone to implement orders.

For Buyers , In todays Digital world , it is damm easy to generate leads than business . You cant generate a business sitting right back at your seat ( unless and until 1. you have a guy , again trusted guy to take care off if it goes bankrupted 2. You have some connection in your circle where you are confident . 3. if you wana spill your hard - earned money for nothing ) .

Getting a International business needs - Understanding of counterparts , mindset , credibility , Experience in trade , pressure to handle loads of orders , a professional expertise . this is how you build a importer who will stay back with you for a long time . i am trading with a single buyer from 6 + years ( This is how i build it ).

Once you have the basic knowledge in trade , Product knowledge , Buyer you are 80% Done in your trade , rest is just a peanut! Managing compliance part , taking care of logistics , banking are part of any business.

Hope this article has given you some insights , Comment your thoughts . :) comment section is all yours :) Comment your queries happy to answer those as well :)

Share it if you feel worth reading among your Exim entrepreneurs !


Jai Hind!

#SanthoshRaghavan Santhosh Raghavan