One of the main issues for a start-up is managing growth in the first five years, but thankfully the cloud can mitigate this threat.
A start-up that doesn’t grow is at risk of failure, where a new business that grows faster than anticipated can potentially be hindered by operational constraints. According to Forbes, 8 out of 10 new businesses fail in their first three years.
According to new research by Deloitte, small businesses that adopt cloud technology to overcome common growth challenges expand 26% faster and deliver 21% higher profits.
Benefits of cloud for start-ups:
Rapid growth potential
Cloud based applications are ideal for start-up businesses, since they operate on a software as a service model which is dynamic and incredibly flexible. Cloud providers offer tailored solutions to their customers, which can be up-scaled or downscaled when required.
A benefit for end users and businesses alike through cloud computing technology is the ability to access files from anywhere. For a start-up this can be particularly useful should your business need to relocate due to rapid growth.
Cloud based security services offer a blanket of protection between business networks and the internet, making businesses more secure. Few individual organisations, particularly start-ups, can match the security provisions that a cloud provider has in place.
The transition from start-up to rapid growth is a key time for new business and if the transition is not properly managed, a business may fail to achieve its potential.
For more information on putting your start-up in the cloud, contact a member of the virtualDCS team.