That excitement and mixed feelings when you are starting a new business!
Who does not want to be starting a new business perfectly so that it really works? But hey, even if you think that you know everything just take your time to go through the list of the worst mistakes almost every startup entrepreneur can make when starting a new business.
They say the painful experiences are the ones you learn best from. Let us try to escape those experiences.
Lack of a business plan
Did you know that unless you write a business plan you will have no idea of what you are doing? A good business plan is your guide and your best friend. You may say it is time-consuming and demands a lot of research. But investing time now will save you so much time and money later.
Conclusion: A successful business starts with a good business plan.
Hiring the wrong people
First and maybe the worst mistake that entrepreneurs make is hiring the wrong people when starting a new business. Just imagine playing football in your yard. In the first scenario, you choose all of your best friends no matter how good they are at playing that exact game and start to play. In the second scenario, you carefully choose only those people who you are sure are experts in playing football. You also make sure that your team members share some common values and the ability to trust each other in tough situations.
Conclusion: Choosing people with varying skill sets is crucial when starting a new business.
Waiting for the perfect moment
Of course, it is great that you want to introduce to the world your killer idea in a fully formed state. But the cone is that the longer you take to launch, the longer you go without money coming in. This is a very common mistake for starting a new business. For example, you build an app and do not let it go until it is perfect.
Conclusion: Do not wait for the perfect because good will do as well for the beginning.
Wrong pricing can cause you so many problems. If you are a product manufacturer then you should understand that with any kind of clothing or accessories, you have to calculate the square footage of fabric, including the wasted fabric. You will never manage to price your products correctly without an accurate understanding of your costs. Only knowing clearly the tax consequences, the variation in labor rates, the delays because of weather and shipping, storage fees, etc will let you succeed in your business.
Conclusion: Wrong pricing is most likely to put an end to your new business.
Ignoring the competition
Another potentially fatal business mistake is ignoring the competition. For example, your competitor sells the same goods you are selling for a smaller price. What do you think about your chances of selling well? Even worse, just imagine that your competitor’s goods may be better than yours.
Conclusion: When starting a new business never ignore the competition.
Not bothering with any online marketing
We all know that one way or another, your small business has to be online. This does not mean you need a website. But your business needs to be able to be found by and promoted to. So at least establish some sort of home base for your business online. And yes, make sure that your small business is listed in various online directories. By marketing your business online you will increase the better chance of reaching your customers. A good possibility is to engage customers through social media.
Conclusion: You should not ignore the ever-increasing people who use the web to find the products and services they want.
Try to save and spend wisely to avoid mistakes that will cost you a lot. If you start your new business trying your best to escape the mentioned mistakes, you are so much likely to succeed. So just take the time to do the thinking and the research. We wish you good luck.