Before you start a business, it is really important that you have a proper plan and proper discipline to be followed. Startups may sound like a fancy idea, but Jignesh Barasara repeats it’ll not always be glamorous. Mostly that often requires submitting yourself to the procedure.
Taking steps to avoid mistakes frequently made by new entrepreneurs is a part of this process. We list down a few mistakes that you may avoid when flourishing in your business:
1. Not spending enough money or spending too much money.
As a new entrepreneur, money is likely to be one of your biggest concerns. Pre-launch cash flow is likely to be close to nil, so making and saving money will usually take priority over everything else.
2. Thinking you have no direct competitors.
The excitement about a new product or business can often lead new entrepreneurs to think they have no direct competition, or that their product is so head-and-shoulders above those of their rivals that they’re in a category of their own.
In reality, it’s extremely rare to have no direct competitors. Unless you’ve invented a completely new product, there will be someone who already has market share in your niche. Do your due diligence to find out what these companies are and how you can differentiate your business.
3. Making hiring decisions based on cost.
This is closely tied to number one but it is so important it deserves to be mentioned separately. When funds are tight, it’s tempting to skimp on the cost of new hires. The problem with this strategy, however, is that you’ll end up paying in the long run.
Low-cost employees and consultants are usually low-cost for a reason; they are more likely to be inexperienced, unskilled or unreliable (or all three).
4. Not setting attainable goals.
New entrepreneurs can be so enraptured by their “big idea,” they work without a solid plan. But the reality is you must set realistic and attainable goals to succeed.
Make a point of setting both short- and long-term goals, and make sure they’re specific. Don’t just say, “I want to make $10 million this year.” Set a reasonable goal, and then determine what specific steps you need to take to reach it.
5. Not thinking about marketing.
“If you build it, they will come.” This is a common belief (sometimes conscious, sometimes not) among new entrepreneurs. They think that their products are so revolutionary that they can just rely on free PR and word of mouth.
Being a new entrepreneur does not come easy. Mistakes will be an inevitable part of the whole process. But that doesn’t mean you need to repeat everybody else’s! Learn, Act, and Repeat.