Businesses go through a range of stages in their development from start-up to more established businesses. As businesses grow their focus changes as a result of a range of internal and external factors.

Start Up businesses are new businesses established by an entrepreneur who believes that there will be demand for a product or range of product ideas. Start up’s have a high level of risk as there is no established customer base and as a result of high start up costs and low revenue, sources of finance come from investment and loans.

At this stage, ideas and objectives are heavily influenced by the interests and skills of the entrepreneur, product innovation, finding gaps in the market, current trends and likely demand.

Back to Unit 7 Homepage