School For Creative Startups
26 | Craftseller

Nancy Foulton looks at overcoming hurdles and setbacks when running a successful creative startup
“There is always a way to get something done – you just have to think creatively”

New business owners often feel like every hurdle and setback they endure is yet another sign that they shouldn’t be running a business at all. The truth is that running a good business means facing new challenges every day – you may start out wondering how to pay for your first big order from a supplier, and end up wondering how you’ll fulfil all the thousands of orders you have from retailers worldwide.

Problem solving
Hurdles often require you to look outside your business, because you are facing problems your business has never had to solve. Here are some good techniques for solving problems, fast:

• Analyse successful businesses of a similar size in your area. Chatting to business owners at craft fairs and trade shows, or joining small business networks, are easy ways to find out how others have sidled around a roadblock that seems to be standing directly in your way.

• Look for businesses, large or small, who promise to solve your problem for a fee, and learn how they do what they do. Sometimes the fastest way to solve a problem is to hire someone to solve it for you. Even if you think you don’t have enough money, do the shopping anyway. Often you’ll run into one or more providers you can afford, and occasionally you’ll find tools and techniques you can use to solve the problem yourself.

• Consider redesigning your business so the problem goes away. If you have a problem that seems insurmountable and you can’t find anyone else who has solved it well, change your business. For example, you may give up your plan to launch a restaurant in favour of running a great catering company, because it sidesteps renting premises.

Things change
After your company has been up and running for a while, expect it to stumble. Resources you count on will become unavailable, your sales will fall because your market changes, or you’ll lose a key employee that requires you to change how you do what you do. When this happens…

• Determine exactly what changed and why it changed. If you have a key employee who has left, taking half your business with them, you need to ask yourself why you built a business around that person, what caused them to leave, and how you can meet customer needs without putting yourself in the same position again. Answering these key questions will get you back on track.

• Reconsider the fundamentals on which your business is based. Answer, once again, what do you do that people need or want? What’s the fastest-growing group of easily reachable people you can sell to? How has competition for what you sell changed over time? Are your prices and the advantages you offer customers in line with what customers expect? You may decide that it’s time to reinvent your business by changing some fundamentals. Every business has to do this sooner or later, and sometimes this ‘pivot’ can turn a good business into a great one.

Learn from the best
Denise Rawls, founder of ILoveStrangeFruit.com says: “My biggest barrier to starting Strange Fruit was not having the money I thought I needed to cover my start-up costs. My business plan told me I needed around £5,000 to get everything in place to launch the business the way I wanted to. Then, in a moment of clarity, I realised that actually what I needed to do was start the business with what I could manage to raise, without getting into debt. I sold two (much-loved) pairs of designer shoes and some random bits and pieces that we hadn’t used for ages, on eBay. I also saved a bit, and started my business with £1,000. I spent this on my first print-run, setting up my website, and a second-hand computer with the photo editing software I needed already on it. The business is still growing, and I have learned there is always a way to get something done with the resources you have – you just have to think creatively.” This is a great example of how Denise redesigned her business launch plan to make the £5,000 problem go away.

Madeleine Wilson, founder of May Templeton, says: “When I began my business, I wasn’t entirely sure what I was selling – I just knew that I loved to illustrate and that decorative objects fascinated me. So, I put a few different items online to sell – drawings, lampshades that I’d made, and a bit of travel photography. One day I received an email asking if I could turn one of my photographs into wallpaper. Another asked if I could transfer some of my illustrations onto a bedroom lampshade. Then a third arrived: would I be interested in decking out a London bar with lampshades? I realised that perhaps I should offer not just products, but also a bespoke service. Making this change, I found my work suddenly had a lot more outlets. I learned that listening to your customers is the best way to redefine your business.”

Madeleine refocused her business and expanded her opportunities by looking again at the fundamental question: “What do I do that people need or want?”Accepting hurdles and setbacks as a natural part of running your business is essential. Realising that facing these challenges can make your business more profitable, and easier to run, is a huge step toward owning an enterprise that thrives. And that will make you a happier entrepreneur.

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