Michigan start-up culture can flourish with work

Opening a new business can be exhilarating for Michigan residents. In many cases, the new business start-up may be the realization of a dream that a person has maintained for years. In order to get the business off the ground, it can take months, or even years worth of planning and preparation.

At the same time, it can be incredibly frightening to open a new small business. From financing challenges to distinguishing the business from others in a competitive marketplace to employment issues to legal issues and everything in between, there is no shortage of challenges that accompany the opening of a new business.

For instance, one new company that drew more than $8 million in investment capital, as well as positive reviews from industry insiders, recently shut down. The tech company provided a smart credit card, on which consumers could load other credit cards onto it and use it with ease. Facing cash flow issues and competition from companies like Apple, the business owners ultimately sold the intellectual property and shut the company down. Despite the company's struggles, others noted the positive aspects of the situation, as those involved with the company quickly found work elsewhere and the funding for the company had been encouraging.

Michigan's start-up culture looks promising and full individuals who have the talent and potential to set themselves apart and achieve success. This success might look different than it did for generations past, who may have used their talent to work for larger companies that were mainstays in the industry.

While the environment may be promising, it is important for those who are interested in starting up a new business to understand the process of developing the company and the challenges that may be present. By understanding these issues, individuals can properly prepare for the challenges and protect themselves from potential legal hurdles that inevitably arise.

Source: Detroit Free Press, "Start-up failures provide lessons in Michigan," John Gallagher, March 27, 2016