Do Millennials Have It Easier During the Startup Phase?

Berlin is now considered a regional hotspot where startups are concerned as it attracts around 17% of the startups in the country. This may seem like a good spot to gain traction, however, with such a concentrated hub of new businesses, owners will need to have the edge in order to remain competitive. Millennials seem to have the upper hand when it comes to establishing new businesses and here’s why.

Millennials Embrace Technological Advancements

Often referred to as digital natives, millennials are able to use technology to their advantage. This gives them the edge over their competitors as an online presence alone stands to benefit a business. Their keen interest in leveraging new technology to make their businesses thrive provide them with more freedom for innovation and creativity. It also allows them to have fewer staff members as the correct implementation of technology allow them a little more freedom to get the job done.

Multiple Streams of Income Replaces the Cross-Sell Mentality

Although cross-selling is still very much a part of business dealings, it’s no longer punted with the hard-sale technique. Instead of relying on a single product range to bring in the numbers to sustain the business, millennials are far more likely to look at alternate streams of income to fill up the bottom line. This method is far more sustainable as it allows the business to adapt to changes in the marketplace more effectively.

Many Modern Startups Don’t Have to Worry About Hefty Overheads

When EU-Startups released their list of 10 German Startups to Watch in 2017, one of the glaring themes was that the words “digital” and “paperless” where common among these businesses. What this means for the modern startup is that the top businesses are slowly moving away from shop frontage and stock holdings. The digital presence is critical to the survival of these businesses which allows them more financial freedom for growth. This is because they don’t have the cumbersome burden of excessive rentals, spoilage, theft, and more.

Although the figures for new businesses surviving the startup phase seemed dismal a few years ago, there is new hope that the curse of the startup is slowly dissipating thanks to innovation. The cost of setting up startups seem to also place less of a burden on the owners and initiatives such as crowdfunding providing cash flow without the burden of repayments. Millennials seem to have fewer barriers to entry than those Baby Boomers and Generation X had to face.

By Jane Sandwood

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