The worrisome truth is that there are so many things that can ruin the reputation of your startup business and so negatively impact it and its growth.
Happily, there are some ways to avoid and manage such issues, which should help you maximize your chances of keeping your startup's good name intact.
Read on to find out what they are.
Mismanging your finances
One of the biggest issues that can ruin the reputation of a startup company is poor financial management. This can take many forms, including cash flow troubles that prevent you from paying employees or suppliers.
It can also look like not properly forecasting the financial needs of your business and therefore getting caught on the back foot. It can even relate to problems with paying your taxes accurately and on time.
Unfortunately, when the public notices your business is having issues managing you'll finance is their trust level in you is likely to decline. After all, my own products from a business that is struggling could mean they could lose their own money.
With that in mind, it's critical that you properly manage your business finances. Where possible, this means either outsourcing such tasks to expert freelance accountancy firms or having a dedicated on-site team to manage and monitor your finances.
Legal troubles
Legal tribulations can also cause major problems for the reputation of a startup, especially if they are related to the founder of the business.
This is because people prefer to buy from businesses that share their values, and running into legal issues, especially ones concerned with highly controversial behaviour such as sex offences, can cause a wealth of damage, even when unfounded.
To deal with such problems, the best approach is to always do everything you can to avoid them. Although if you do find yourself under accusation of such an offence, working with a legal team that specialises in defending those accused of sexual offences is best.
This is because they will have the knowledge, expertise and experience to properly fight your case, and so maximize the chances for not only a positive outcome for you, but one for your business’s reputation as well.
Terrible customer service
Another major problem that can arise for startups and their reputation is poor customer service.
This is because your startup's reputation in terms of how they treat their customers is crucial information that potential new customers will use to decide whether to buy from you or not.
The main reason for this is that there are numerous outlets and platforms where previous customers can leave reviews and make their voices heard if they are unhappy.
To that end, customer service should be an integrated part of everything you start up does not just an additional add-on. In fact, the entire customer experience needs to be focused on exactly what your target market needs, and the things you will do to exceed these expectations regularly.
When you receive negative reviews online, and all businesses will receive some, be sure to answer them in a professional and non-defensive manner, apologising where necessary and stating how you will change things going forward.
