The success of your start-up is more predictable than you think. After twenty years in the industry I have learned that start-up failures usually boil down to a few common business mistakes. If you learn to avoid the mistakes I share with you here, you will increase tremendously the chances of success in your business.
The internet is filled with “business tips” that are recycled so many times that it loses value. The common tips, like to be properly capitalized, have a business plan and know the competition, are important. However, there are some that do not receive attention and are ignored. Some entrepreneurs have followed the common business tips and prepared a business plan, have a good understanding of the competition and their product, and obtain proper capitalization and still failed. The main reason is that they ignored some of the business mistakes I will share with you here.
Business Mistakes to Avoid Like the Plague:
1. Starting the wrong business. While money is important in starting a business venture. Operating the wrong business is the most frequent mistake that start-up entrepreneurs make. This is usually due to the lack of planning at the initial stage of the startup.
2. Working on a vacuum. You won’t get anything done in a vacuum. You need other people. If you need help, ask for it! Trying to launch your business with no help and no advice will cripple the launch of your business in more ways than you think. There are advantages to have other partners in your business since you can draw from the strength of your partners. However, even when you have found your perfect partner(s) for your business, having a professional team around you will catapult your startup over the hurdles that most other startups face. Seek a business consultant.
3. Partnering with the wrong people. While it can help you to partner with others, associating yourself with the wrong people can be detrimental to your business. Surround yourself with people who are going to help you succeed or at the very least, are positive and uplifting and don’t bring you down with negativity!
4. Not testing your idea or product. Many times in the desire to rush into the market with a product, the lack of market research will make you pay tremendously. Before you invest thousands of dollars in your next idea or product, test it first. Gather the data from your research. One of the main reasons entrepreneurs don’t want to do this is the fear of rejection. Receiving negative comments about the idea or product can be a good thing during your product testing phase. It is better that you find out about it now than after you spent $70,000 in the development of a new product line.
5. Lack of branding. Remember that Your brand is how people are going to remember you in the future when they need your products or services. If they don’t see it, they won’t remember it. The theory that if you build it, they will come is not completely true. If people do not know about you and your product, regardless if you are an online or offline business, they won’t buy from you since they do not know you exist.
6. Lack of patience and persistence. Your start-up is going to take time to achieve the success that you want. Be patient, and keep going until you have it, no matter how long it takes.
There you have it! If you are planning on launching your business take into consideration these business mistakes. You will be glad you read this post.