Working for a startup or fast growth business can be both exciting and challenging.

I have worked for one of the largest companies in the world and many, many startups and fast growth businesses. I personally prefer the latter and as mentioned in “what is a startup or fast growth business”, I’ll probably stay in this industry for the rest of my career.

Deciding on whether to move or even stay into this industry or not depends on what you value in an employer, your personality and character and your working style.

It is worth taking a step back and deciding if this is what you want to pursue if you are having a challenging time. There are also helpful resources at the end to help you if you decide to stay in this industry, but just need extra support.

Here are some potential pros and cons of a startup & fast growth businesses to consider:

Pros:

High impact. 

Working for a startup or fast growth business can give you a chance to make a big impact on the success of the company. You'll likely have more opportunities to take on new responsibilities, contribute to important decisions, and shape the direction of the company.

Having worked with a large corporation before, I know that this is a huge pro for me. I like to make a big impact and see how I can help a business. I found working for a large corporation, my work probably wouldn’t have moved the dial at all.

Learning opportunities. 

Startups and fast growth businesses often operate in a fast-paced environment, where you'll need to adapt quickly to new challenges and take on new skills. This can be an excellent opportunity to learn new things and develop professionally. If you want to move up from a Finance Manager to a Financial Controller to a Finance Director – then it will be a lot quicker in this industry.

Equity 

Many startups offer equity or stock options to employees, which can be a valuable benefit if the company is successful. With potentially a lower salary than a large corporate, this is one of the biggest draw cards.

I have personally benefitted from the UK EMI / Unapproved option schemes that startups & fast growth businesses offer. It isn’t guaranteed, but it has the potential for a big bonus, especially if you are one of the first employees.

Dynamic workplace & culture 

Working for a startup or fast growth business can be exciting and dynamic. You'll likely work with a small team of passionate and dedicated people who are all working toward a common goal. I have built strong relationships with ex-colleagues and are still in touch with many of them. You really get to know the whole company, rather than just your own department, which I think is also beneficial towards your business acumen and learning.

It can also be a lot more casual, friendly and flexible with hybrid working and working hours. Startups and fast growth businesses want to retain quality staff, so if you’re good at your role you will be able to create a working environment that is good for both you and the business.

Cons:

Uncertainty 

Startups and fast growth businesses can be risky. There's always a chance that the company could fail, or that the market could shift and leave the company behind. Startups in particular can be more risky, especially if they haven’t managed Product Market fit yet and or are struggling to get funding. It’s more common for businesses to fail in the first 3 years of business. Although its worth saying larger businesses aren’t immune.

Long hours 

Startups and fast growth businesses often require long hours and a high level of commitment. This can be challenging if you're looking for a work-life balance. This is particularly true for finance leaders in the lead up and during a fundraise or an exit. As these projects are critical, there can be some late nights to get this over the line.

Limited resources 

Startups and fast growth businesses often operate on a tight budget, which can mean limited resources for things like employee benefits, training, or development. I have found this particularly true as far as Learning and development is concerned. This is the main reason for me to create online courses, as the support when you’re a new leader just isn’t there and you can really struggle if you can’t find that support externally.

Lack of structure 

Startups and fast growth businesses often operate with a flat organisational structure, which can mean that there's not always a clear path for career advancement or decision-making processes may not be clearly defined. Often startups can be very founder led and it takes a while for a leadership team to be established. It can take time for a company to grow to the level that requires a strong leadership team and sometimes a decision needs to be made as to whether it makes sense to wait for the bigger role, or to move to another company. This is also true for the team that you’re managing.

Overall, working for a startup or fast growth business can be an excellent opportunity for personal and professional growth, but it's important to consider the potential risks and challenges before making a decision as to whether you want to stay or move into this industry.

I love it, so I will always be very pro, but I have witnessed some people struggling with the challenges you can face.

Links:

1. Get your FREE Guide: Stepping into the role of Finance Director or CFO
2. Follow me and let me know what challenges you are having right now.
3. Register for the mini-course, Upgrade your Management Accounts and get noticed by the business 
4. Work with me in the new / aspiring FD course  and includes Q&A sessions where we can discuss all of your questions and how to apply your learnings to your current role.