Being an entrepreneur is not for the faint of heart. Despite having a good idea, many first-time business owners fail in their first few years because they fall prey to common mistakes. This sets apart the weak from the strong because the entrepreneurs who are determined to succeed do not let these setbacks keep them down.
Though mistakes are best made to be learned from, a business owner can save themselves a lot of time and money by not making mistakes in the first place. Here is a list of top ten common mistakes first-time business owners make. Hopefully, this will help in your own endeavors as you are able to learn from others without making the mistakes yourself.
Here is a list of top ten common mistakes first-time business owners make. Hopefully, this will help in your own endeavors as you are able to learn from others without making the mistakes yourself.
Along with stretching a business too thin, you can stretch yourself. It is difficult to trust your employees with their given tasks, but you can’t do it all yourself. Learn to let go, as CNBC recommends, and focus on what you need to be doing, not what others are. This will save you time and energy, giving you strength to carry on without too much extra stress.
4. Ignoring intellectual property
Just because you came up with a killer slogan does not mean it is yours…yet. First timers tend to forget about locking down their intellectual property because they naively think the competition will not steal their ideas. Don’t take the chance! Eventually, you may see your intellectual property used by another business and there may be nothing you can do about it. Remember patents, copyrights, and trademarks; they are your cornerstone.
3. Not staying modern
This doesn’t just mean keeping an updated, modern looking website. The market will continue to change and it is up to you to keep up with those changes. Keep an eye on shifting trends and be willing to adapt accordingly.
2. Not having a mentor
Because you are just starting out, it is impossible for you to know everything. It is difficult to complete realistic sales forecasting when you don’t have past sales figures to go off of. Having a mentor who has gone through what you are currently struggling with can be extremely beneficial. They can help you project future sales based on their personal experience and save you from overspending based on unrealistic future sales volumes.
1. Not having a plan
Business plans are extremely important to the success of a small business but are often neglected because it takes too much time to complete. You need to know where your business is going in one year, five and ten. It is best to have this written down to keep you accountable and if you want your business to grow, the business plan can be distributed to investors.
If you can manage to avoid all ten of these common mistakes most first-time business owners make, then your business should sail on to success. Just remember, mistakes will come in all shapes and forms, it is how you learn from them that matters.