7 Mistakes to Avoid When Starting Your Business
Starting a new business can be exciting, as you are creating a product or service that meets the needs of your audience. However, when starting a new business, there are many mistakes people can make. Probably the biggest mistake is not taking the business seriously. So many people start a small business thinking of it as only a hobby. However, small businesses can earn an enormous amount of money. Today, one person can run a multi-million dollar company from their home office.
Here are 7 common mistakes that you’ll want to avoid when starting your business.
Not Focusing on the Audience – It’s easy to make this mistake because when you’re in business we tend to create the things we like and enjoy. However, we must remember to focus on our audience. The more you can place your focus on your audience, the better you’ll be at attracting your audience.
Not Doing the Research – You may have what seems like a good idea, but there may be no market for it. Make sure to do your research before you launch your business. Sometimes there simply isn’t enough of a market for an idea to make the sort of profit you want to make. Good preliminary marketing research can save many business owners from investing thousands in a concept before they test to see if they have a market for their product or service.
Not Staying Focused – Once you decide on something, you want to stay laser focused on your business and building it before you start looking at other options. Some entrepreneurs get caught up in “shiny object syndrome,” and desire to pursue other business ideas or add new products/services before they have completed the first one. To fight this syndrome, allow yourself to spend only a certain percentage of time on new ideas and the majority of your time on the original business concept until it flourishes.
Learning without Action – It’s easy to get overwhelmed with all the “how to” videos, reports, and courses you can take online today. However, remember that these learning tools are wonderful, they require action in order to see results. It is important to put the things you learn into action before moving on and learning something new.
Not Setting a Realistic Budget – Everything always cost more and takes more time than you think it will. You have to be prepared with a few months of savings or working capital until you make a profit. Making a profit is different from making sales revenue. It takes time to make money, so ensure that you have the money to keep afloat until your business is earning a profit. In addition, make sure you have the proper bookkeeping and accounting in place to make it easier to determine your income and expenses.
Not Marketing Enough – So many small businesses, home businesses and otherwise, completely forget about marketing. It is very difficult to have a business without some form of marketing promotion. Branding is a function of marketing, however it is different from marketing. Marketing channels you can use consist of social media, pay per click, search engine optimization, networking and more to promote your business. No matter how you choose to do it, you have to do it in order to grow your business.
Chasing Perfection – No one and nothing is ever perfect. It’s just not humanly possible. I like to tell people, “perfection is an illusion”, and if you continue to chase it, it will never be caught. So many small business owners try to attain perfection in their business. They are afraid to show their work for fear of judgment. You have to let go of those fears. I am all about making sure your products and services are at a level of excellence, however at some point it is important to take action. Something is better than nothing, and online everything can be improved later.
If you avoid these mistakes, you could have the next multi-million dollar business idea.
What are some of the lessons you’ve learned as an entrepreneur? Tell me in the comments below.
Want even more tips on how to avoid mistakes in your business and start your business the right way? Check out my course “Common Mistakes Entrepreneurs Make and How to Avoid Them“.