Unlike larger organisations, start-ups can often flourish in a challenging economic condition. That’s because they are more agile and flexible in reacting to market conditions. In addition to, they are also more motivated to bring their products and services to market quickly. On the other hand, large companies are usually slower to innovate than smaller companies with less internal hierarchy because of their complex structure.
Start-ups are also best when the economy is down because people are desperate for work, so you may snag some truly talented employees who might never have given your start up business a second look a few years ago.
However, since most small business owners simply do not have the skill set necessary to make this work, it is very risky to invest for an individual to invest in their own money in a start-up company.
Luckily, you can check out an article published at WAtoday My Small Businesses. The article can help you understand how to fight against the risks of running a business start-up. It features 6 questions start-ups should ask.
You can find the full article here: http://www.watoday.com.au/small-business/startup/six-questions-startups-must-ask-20130619-2oiqe.html