Why Founders Running at 110-130% Capacity, 53% Facing Burnout: Here's How to Manage It

Have you ever wondered what challenges startup founders face when building their dream company?

Starting a business is exciting, but it comes with many challenges. From managing time to handling finances, founders often juggle many tasks and face unexpected problems.

In today's fast-moving startup world, founders work at 110% to 130% of their capacity, with tasks piling up. Like executives with hundreds of hours of reading and projects on hold, founders face heavy workloads. Using methods like 'Eat the Frog' can help them tackle important tasks first and avoid burnout.

In this blog, we will look at the common struggles startup founders deal with, like hiring the right people, handling competition, and growing the business. 

Let’s see how founders manage these challenges and stay on track with their startup dreams.

The Reality of Why Startup Founders Are Overwhelmed by Multiple Roles

Startup founders sometimes feel overworked and stressed due to the numerous responsibilities and duties they have to take on. From product development and marketing to team management and financial planning, juggling these tasks can lead to physical and emotional exhaustion.

1. Multiple Roles of a Startup Founder

Startup founders handle many roles because resources are limited at the beginning. Here are the key roles they play:

• CEO: Leads the business, makes strategic decisions, and plans for the future.
• Product Manager: Oversees product development to make it competitive in the market.
• Salesperson: Acquires customers and builds business partnerships.
• Marketer: Creates marketing strategies to grow the brand.
• Financial Manager: Manages finances and plans the revenue model.
• HR Manager: Handles hiring, team building, and company culture.

Managing all these roles alone can be very stressful and challenging for founders.

2. Challenges of Overwork

Balancing these roles is tough and creates major challenges:

• Time Management: It’s hard to focus on every role, leading to poor performance in all.
• Mental Stress: Constant decision-making leads to mental fatigue.
• Lack of Expertise: No one can be an expert in all areas.
• Limited Resources: Small teams and fewer resources make everything harder.

3. Solutions to Overcome Founder’s Overwhelm

Here are simple solutions to help startup founders handle their roles better:

• Delegate Tasks: Share responsibilities with a reliable team whenever possible.
• Prioritize: Focus on the most important tasks first and delay or delegate others.
• Time Blocking: Schedule time slots for tasks to manage time better.
• Seek Mentorship: Get advice from experienced mentors to make better decisions.
• Automate Processes: Use tools to automate repetitive tasks, like accounting software or social media tools, to save time and reduce workload.

The work of a startup founder is as exciting as it is challenging. Managing multiple roles and responsibilities is often a cause of overwhelm. But if founders prioritize their work, rely on delegation, and use smart tools and strategies, they can manage their stress and grow their company successfully.

Why 90% of Startups Fail and Solutions Every Founder Should Know

A startup is always bursting with energy, creativity, and ideas. Although everyone believes they will make a difference, 9 out of 10 startups fail. Additionally, 75% of startups fail within 15 years. Why is this taking place? So let's do everything we can to better comprehend them.

1. Lack of Product-market Fit

• The biggest reason why startups fail is a lack of product-market fit, with 42% of startups failing for this reason. The product or service that the startup is offering does not match the market demand. If your target audience doesn't find a major reason to use your product, it will fail.
• Solution: First do market research, understand your customers, analyze their needs, and tailor your product to solve their problems.

2. Poor Marketing Strategy

• 14% of startups fail due to poor marketing strategy. Even if the product is good, if the marketing is not strong, it will not reach people. A startup called GadgetLaunch made a mistake here. They chose the wrong medium to advertise the product, due to which the product did not sell.

Solution: 

• Along with market research, make the marketing strategy also strong. Focus on digital platforms, there are more customers these days. Use SEO, social media, and content marketing in the right way.

3. Inexperienced Team

• 23% of startups fail because of an inexperienced team. If the team lacks experience, technical challenges, poor decision-making, and internal conflicts arise. Another startup named TechSolutions failed in the same manner because the founders had no industry experience.

Solution: 

• Hire experienced professionals and do regular training for the team. If founders have a knowledge gap, seek guidance from mentors and advisors.

4. Insufficient Funding

• 29% of startups fail due to lack of funding. Many startups run out of money to run their operations, either because they did not manage their budget properly or because their funding source was not reliable. Almost 22% of founders said they attempted to pivot by securing additional funding or investors.

Solution:

• Do proper financial planning and understand your funding needs. Raise funds from investors, but proper budget allocation and future financial planning are also important.

5. No Clear Business Model

• 35% of startups fail due to a weak business model. If your business model is not clear, it is difficult to sustain growth. Many startups do not focus on how to earn money and only concentrate on making the product.

Solution: 

• Create a clear business model from the beginning. Plan for multiple sources of revenue generation so that you can sustain the business in any condition.

6. Lack of Agility

• In today's dynamic market, startups have to adapt to changes. Many startups are not able to adjust their strategy according to the changing market needs. Many startups fail due to scaling too fast.

Solution: 

• Embrace agility and adaptability. Keep continuously analyzing the changes in the market and quickly evolve your product/service.

7. Poor Customer Feedback Integration

• Ignoring customer feedback can be disastrous. 21% of startups fail because they lose focus on customer feedback. The result is that customer problems remain unaddressed, leading to failure.

Solution: 

• By establishing regular feedback loops. Listen to customers' opinions, and implement their inputs into your product improvements.

8. Over-expansion Before Validation

• Many startups struggle due to rapid scaling before validation. Many startups expand quickly without ensuring that their product is validated in one market. If your product is not successful in one market, it will fail in others as well.

Solution: 

• First, ensure success in your core market, then plan step-by-step expansion. Do thorough research for every market.

9. Ignoring Competitors

• 19% of startups fail because they are outcompeted. Many startups underestimate their competitors, making it difficult to define their unique selling proposition (USP).

Solution: 

• Study your competitors. Understand their strengths and weaknesses and position your product in a way that becomes distinct in the market.

10. Lack of Focus

• 30% of startups fail due to founder conflicts and lack of focus. Many founders want to take their products in multiple directions, leading to a loss of focus.

Solution: 

• Focus on one core problem in the initial stage. After establishing yourself in the market, introduce additional features and products.

11. Bad Timing

• When the startup is launched is also a big factor in success or failure. If the market is not ready or the product launch timing is wrong then the chances of failure are high.

Solution: 

• Judge market readiness. When the demand is at peak then launch the product, do not wait till the market is not ready.

12. Weak Branding

• 55% of startups experience team-related issues, including branding missteps. If customers do not recognize your brand, it becomes difficult to build loyalty.

Solution:

• By creating a strong brand identity. Make yourself distinct through logos, messaging, and branding that are easily recognizable to customers.

13. Lack of Networking

• 75% of venture-backed startups never return investors' capital. Without networking, it’s difficult for startups to secure funding, mentorship, and strategic partnerships.

Solution:

• For networking by actively using industry events, conferences and social media platforms. Accelerate growth by forming strategic partnerships and alliances.

14. Poor Product Quality

• If product quality is poor, customers won’t return. 14% of startups fail due to product-related issues, and word-of-mouth marketing will also be negative. 

Solution: 

• By implementing proper measures of quality assurance. Keep doing regular testing and improvements so that your product maintains high standards.

15. Underestimating the Competition

• Sometimes startups underestimate their competition and do not make strategies accordingly.

Solution: 

• By continuous analysis of competitors. Understand your strengths and weaknesses and position yourself in the best possible way in the market.

16. Insufficient Inventiveness

• Startups fall behind if they do not consistently innovate. 68% of startups struggle with effective leadership and innovation.

Solution: 

• The answer is to establish a culture of innovation. Continue to improve your product or service and embrace new market trends and technologies.

To make startups successful, all these factors have to be kept in mind. By focusing on things like product-market fit, strong team, effective marketing, and continuous innovation, you can save your startup from failing.

The Importance of Delegating Tasks for Long-Term Success in Your Startup

When you start your startup, in the beginning, you have to do every work by yourself. This is important because you have the best understanding of your product, customers and market. But as your startup grows, the workload also starts increasing. 

If you try to do your own thing, you will get tired quickly and stop taking the company forward. That's why delegation, i.e. delegating work to others, is a smart strategy to set your startup up for long-term success.

1.) Why not delegate in the early stages? (Tasks You Should Not Delegate Early On)

At the beginning of a startup, there are many such tasks that you should do yourself because you are the one who understands your product and idea in the best way. If you delegate at this stage, you may miss many important insights that are essential for your startup.

1. Intake and Sales from Customers:

In the beginning, it was important for the founders to talk directly to the customers. When you take feedback from your potential customers, you get to know what the market needs. If you delegate this process to someone else, your idea will not evolve as it should. The founder's vision is most clear, and that's where true iterations can be made in the product with the right feedback.

2. Product and Marketing Strategy:

Product and marketing strategy should also not be delegated in the early stages, because both these things are dependent on customer feedback. If the founders themselves handle this process, then they get a better idea of ​​what kind of product is working in the market and what kind of marketing campaigns should reach the target audience.

3. Hiring:

The initial employees form the foundation of the team. You have to hire people who believe in your vision and who can work with you effectively. If this work is given to someone else, it may be difficult to select the right candidates. Founders have to build productive relationships with their teams, which is crucial for early-stage startups.

2.) What To Delegate And When To Do It

As startups grow, founders have to delegate a lot of tasks over time. But what should be delegated first, this is different in the case of every startup.

1. To Fill Skill Gaps:

If founders lack a specific skill, such as technical expertise, they should first hire an expert in that area. Just as a non-technical team has created an MVP using no-code tools, they should quickly hire a technical expert who can improve the product. This type of delegation directly improves the quality of the product.

2. Administrative Tasks Delegate Karna:

As the startup becomes somewhat stable, founders should delegate tasks that are not directly related to business growth, such as accounting, legal work, and operations. It is better to outsource such tasks to virtual assistants or specialized companies because founders' time should not be wasted on minor tasks. The main focus of the founders should be on customer satisfaction, product refinement, and sales.

3. Team Expansion:

As a business grows, the workload on important business tasks also starts increasing. At this stage, core tasks have to be delegated, but this is done very carefully. It is important to properly train team members and clearly define roles so that inefficiencies do not occur.

4.) How To Delegate And Monitor Progress

Now that you have understood when and what to delegate, let us talk about how this process should be done so that delegation is effective and the business runs smoothly.

1. Hire the right team:

You will have to carefully select your first core team members. Such people are required who are skilled, self-driven, and aligned with the vision of the startup. These people are more motivated by the growth potential of the startup rather than the salary, and giving incentives like stock options is a good idea. After hiring the right people, there should be no need to micro-manage them; Trust should be placed on their work and decision-making.

2. Clear Communication and Training

When delegating to team members, don't just tell them what to do, but also make them understand why that work is important. This makes them feel ownership of their work and they understand the work better. They may be wrong at first, but give them a chance to learn and build their confidence.

3. Project Management Process:

You should adopt a structured project management process such as the Scrum framework. It has clear stages like project backlog, sprint backlog, daily standups, and sprint reviews. With this process, you will be able to easily track which team member is doing what work and what problem he is facing.

Delegation is an art that is essential for long-term success. In the beginning, you will have to do a lot of work yourself to make your product market fit, but as the business grows, you have to implement the process of delegation step-by-step.

Empowering your team members, clearly defining roles, and monitoring their progress are part of the process. If delegation is done right, you can prepare your business for long-term growth and focus your time on more productive activities.

How to Manage Technology and Operations Effectively as a Non-Technical Founder in Startups

If you are a non-technical founder and you are managing a technology-based startup, then it is important to first understand that everything you do should not be at the technical level. You just have to have a deep understanding of the basic aspects of technology and operations and use the right logos and tools in the right way.’

1. Build a Strong Team of Experts

If you are not technical yourself, the first thing is to build a strong technical team. That is, you should hire skilled and experienced people who can understand your vision and implement the technology. You need such CTO (Chief Technology Officer) or senior engineers who can make technology-related decisions for you.

• Tip: You just need to understand what role technology plays in your product or service, and what experts are needed for its implementation.

2. Learn the Basics of Technology

A founder does not need to be a complete technical expert, but you should have a basic understanding of the technology. Like, you should know what is front-end, and back-end development, what is the role of cloud computing, data security basics, etc. You must understand how any technology plays a role in the development of your product or service.

• Tip: You can get help from basic online courses or mentors to help you understand the fundamentals of technology.

3. Focus on Communication and Collaboration

The most important thing for a non-technical founder is clear communication and collaboration. You will have to communicate effectively with your technical team, so you can set the roadmap, product development stages, and deadlines with complete clarity. This will ensure that the technical and non-technical teams are on the same page and the goals are clear.

• Tip: You must build communication bridges to connect your technology and business goals. Regular meetings and use of project management tools can be very helpful.

4. Utilize the Right Tools and Platforms

You must use the right tools and platforms to manage technology. For example, you should use tools for project management (Jira, Trello), communication (Slack, Microsoft Teams), and cloud-based platforms for development. These tools will help you streamline operations, save time, and track projects.

• Tip: Tools give you the option of automation and efficiency in managing technology. You should take feedback from your team so that the right tools can be selected.

5. Strategic Outsourcing

Where there is a need, considering the option of outsourcing can also be a smart strategy. If a specific technology or process is beyond your team's expertise, you can outsource that work. The advantage of outsourcing is that you do not have to get everything done by your in-house team, and can get it done less timely and efficiently by external experts.

• Tip: To reap the benefits of outsourcing, you should work with trusted vendors or freelancers who can be valuable to your business.

6. Keep an Eye on KPIs and Metrics

As a non-technical founder, you should focus on important metrics and KPIs (Key Performance Indicators) while managing the technical aspects. Like, uptime of your website, page load speed, bug reports, customer satisfaction, etc. All this will have to be measured. You will have to monitor your technical goals through such KPIs so that you can understand and improve them.

• Tip: You should get regular reports from your team and review the performance based on KPIs.

If you employ the appropriate people, methods, and tools, you can manage a technology startup even if you are not a technical founder. Being clear about your position is crucial; you don't have to be a technology expert, but you will be responsible for leading your team, making wise choices, and optimizing processes. You can succeed as a startup by focusing communication, utilizing technological tools, and assembling a capable staff.

Why Outsourcing is Important and How It Benefits Growing Startups

Outsourcing has become a very important tool for startups, especially for businesses that want to grow but do not have the resources to handle everything themselves.

1. Cost Saving

In the initial phases of startup, resources are always limited. If you think of doing every work in-house, it will cost a lot of money on hiring, training, and infrastructure. Due to outsourcing, you do not need to create a team, you can get the work done from outside companies or freelancers who provide expert services on a low budget. This allows you to focus on the core operations of your business without incurring unnecessary expenses.

• Benefit: You can save money and invest it in growth or product development.

2. Access to Skilled Experts (Experts Tak Pahunch)

Every startup does not have experts in every field. If you have any specialized work to do, like app development, marketing, or legal work, you will need skilled professionals. Outsourcing gives you a team of experts who are experts in their work and professionally complete your work. These experts are already trained in their specific fields, so you don't have to take the headache of any training.

• Benefit: You get top-tier talent for specialized work without the stress of in-house hiring.

3. Pay Attention to Your Main Business

You can devote all of your attention to your primary business operations through outsourcing. For instance, you should concentrate your time and efforts on the main business if you are introducing a product or service. Payroll, customer service, IT support, and other non-core tasks can be outsourced to free up your time for more important tasks.

• Benefit: Without the stress of side projects, you may focus on the expansion of your company.

4. Scalability (Easily to Scale)

Another big advantage of outsourcing is that you can scale your business easily. As your business grows, you will need to adjust your operations according to new projects or demands. Outsourcing provides you with flexible resources. When demand increases, you can add more external resources, and when demand decreases, you can reduce them.

• Benefit: You can easily scale operations according to your business needs.

5. Speed ​​to Market

Outsourcing gives you expert teams who can fast-track the work. If you want to bring your product or service to the market quickly, outsourcing can speed up your process. Because the tasks would take you a lot of time to do yourself, this expert outsourced team can complete them quickly.

• Benefit: You can launch your product in the market quickly, which provides a competitive advantage.

6. Risk Management

When you outsource specific work, you reduce the risks associated with that work. For example, if you are outsourcing part of the technology, you do not have the tension of dealing with technical failures or issues because your vendors or outsourcing partners take care of the matter.

• Benefit: You can also take advantage of outsourcing in risk management, and maintain your business continuity.

Outsourcing brings many advantages for startups, such as cost savings, access to expert skills, focus on core business, and flexibility. This strategy is especially beneficial for founders who want to grow their startups quickly but cannot handle everything themselves. Therefore, if you also want to effectively manage a growing startup, then make outsourcing an important part of your strategy.

Why Hire TST Technology as an IT Consultant? 10 Proven Benefits for Your Business Growth

How will hiring TST Technology for IT consulting benefit your business growth? Here we discuss 10 proven benefits that will help you understand why TST Technology is your perfect partner:

• Expertise & Experience: Skilled consultants with industry experience provide tailored solutions.
• Customized Solutions: IT strategies personalized to your specific business needs.
• Cost Efficiency: Optimize systems to reduce IT costs and improve resource use.
• Enhanced Security: Implement advanced cybersecurity measures to protect business data.
• Improved Efficiency: Streamline processes for better productivity and focus.
• Cloud Transition Support: Expert guidance in smooth cloud migration for flexibility.
• Access to Latest Tech: Stay competitive with the newest IT tools and technologies.
• Strategic Planning: Long-term roadmap development aligned with your business goals.
• Risk Management: Identify and manage potential business risks effectively.
• Focus on Core Business: Leave IT to experts and focus on growing your core business.

Hiring TST Technology can bring many benefits to your business. By using their expertise, customized solutions, and advanced technologies, you can take your business to the next level. Connect with TST Technology today and take one step closer to your business growth!

10 Biggest Startups That Failed: What Went Wrong and Why?

1. Theranos

• What it was: Theranos was a healthcare startup that claimed it could perform multiple blood tests with just a single drop of blood. Its goal was to make blood testing easy and convenient.
• When started: 2003
• Why it failed: The company made fake promises. Technology is not as advanced as they claimed. Testing machines did not work, and when the scandal was revealed, the trust was broken. Fraud cases were filed, and it was completely shut down in 2018.

2. Quibi

• What it was: Quibi was a video streaming platform with the idea of ​​offering short 10-minute videos, which were created for mobile users.
• When started: April 2020
• Why it failed: The platform did not get people's interest. Content could not engage, and at the time of the pandemic, people were already watching Netflix, and YouTube, there was no special reason to attract users like Quibi. This band was formed in just 6 months.

3. Jawbone

• What it was: It was a consumer electronics company that made fitness trackers and wireless speakers.
• When started: 1999
• Why it failed: Due to heavy competition, Jawbone could not improve its devices consistently. Competitors like Fitbit took over the market, and finally, Jawbone filed for bankruptcy in 2017.

4. Pets.com

• What it was: Pets.com was an online pet supplies store that sold items for pets, such as food and toys.
• When started: 1998
• Why it failed: The company spent more on marketing and got less revenue. People are not as crazy about buying pet supplies online as they thought. This band was formed in 2000.

5. MySpace

• What it was: MySpace was a social networking site that was very popular before Facebook. With this, users can create their profiles and connect with friends.
• When started: 2003
• Why it failed: After the arrival of Facebook, the logs started shifting towards MySpace. Facebook gave better features that users liked more. MySpace was not able to upgrade its technology promptly, and it declined by 2011.

6. WeWork

• What it was: WeWork was a co-working space provider that offered office spaces to startups and freelancers.
• When started: 2010
• Why it failed: The company's business model was not financially sustainable. WeWork did a very aggressive expansion to make profits. During the IPO in 2019, financial issues came to the fore and valuation crashed. This company still exists today, but became an example of very bad failure.

7. Friendster

• What it was: This was an early social networking site, which was launched even before Facebook. It gave users a platform to connect with friends.
• When started: 2002
• Why it failed: Slow servers and technical problems bored users. With the advent of better options like Facebook and MySpace, users switched to Friendster and moved to other platforms. Friendster was completely shut down in 2011.

8. Wonga

• What was: Wonga was a payday loan company that gave high-interest short-term loans.
• When started: 2006
• Why it failed: Wonga had to face UK government regulations due to high interest rates and a bad reputation. Customers' trust was broken, and Wonga went bankrupt in 2018 due to financial problems.

9. Vine

• What was: Vine was a short-video sharing platform in which people could create 6-second creative videos. It was quite popular in the initial years, especially among the youth.
• When started: 2013
• Why it failed: Twitter acquired it, but after the arrival of platforms like YouTube and Instagram for video content, Vine focused on retaining users. Vine was shut down in 2017.

10. Beepi

• What was: Beepi is an online used car marketplace where people can sell and buy their old cars, without going to a dealership.
• When started: 2013
• Why it failed: Beepi's business model was not sustainable. The company expanded too quickly and did not accurately respond to market demand. Beepi was closed in 2017 due to fund shortages and high operational costs.

The failure of these startups is mostly due to common reasons, such as:

• Not getting an accurate understanding of the market.
• The pressure of competition.
• Over-expansion and lack of proper planning.
• The gap in technology and innovation.
• Identifying users' interests timely.

From these startups we have learned that having a good idea is not enough, executing it well, understanding the market and meeting user expectations are equally important.

Conclusion

To grow a startup successfully, founders must understand that it is not possible to do everything on their own. In the beginning it is important to do the work yourself to have the best understanding of the product and customers, but as businesses grow, delegation becomes an important strategy. Whether filling skill gaps or outsourcing administrative tasks, delegation allows founders to keep their focus on core business activities and empower the team for long-term growth.

Yes, smart solutions like outsourcing make your startup cost-efficient and you get the benefit of specialized experts. Strategies like these can help you enter the market quickly and help you manage your workload. Founders just need to trust their team members and processes to steer them in the right direction.

See you again in the next blog! Your feedback is valuable, stay tuned for new topics and insights.