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How challenging is the current market environment for startups?

Starting a business can be a very fulfilling and rewarding experience. However, there are many difficulties a person can face in their efforts to get a new business going. How challenging starting up a new business is can be influenced by many different things.

One such thing are general conditions in the market and the economy. Currently, the U.S. is in a post-recession period. Such periods often see various types of recovery. So, one might assume that this could lead to a startup-friendly environment.

However, a recent Economic Innovation Group report points to the environment for startups here in the U.S. remaining a challenging one. Startups have gone up over the past five years, increasing 2.3 percent nationally. However, this rate of growth is much lower than has been the case for other post-recession periods in the past 25 years. One wonders what particular conditions are currently holding back growth in new businesses in America.

Another thing that can impact an entrepreneur’s prospects for starting a business are local conditions. Different areas can have very different conditions related to startups. For example, the report indicates that business startup growth has been very uneven in the U.S. in the current post-recession period, with a few areas contributing to much of the growth. A silver lining in the report when it comes to Florida is that multiple of these high-growth areas are in the state. Of the 20 counties that the report identified as leading the country in startup growth, four were from here in Florida.

Another thing that can impact what level of difficulty an entrepreneur faces when trying to get a new business up and running is what happens during the various interactions done during the process of getting the business started. This process can involve all different sorts of interactions, such as interactions with customers, government agencies/officials, suppliers and other businesses.

While the hope is that such interactions will go smoothly, they sadly sometimes don’t. Problems regarding such interactions sometimes lead to an entrepreneur facing or bringing litigation.

Skilled business litigation attorneys understand how much can be hanging in the balance for an entrepreneur when litigation comes up in relation to their efforts to start a new business. They can help such entrepreneurs in their efforts to bring their litigation matter to an acceptable resolution.

Source: The Columbian, “Strictly Business: Startups facing challenges,” Gordon Oliver, May 29, 2016

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