Small Business Mistakes to Avoid
Label: Ghostwriting (no byline)
Welcome to the business world, apprentice!
The first thing you need to know is that starting a small business is like running a marathon. You can either run on full speed, pant like crazy, and quit in the middle of the race; or still retain that aggressive attitude but run in moderate speed so you won’t lose steam (or even your breath) halfway down the finish line.
Regardless of style, personal references, and tactics, there are so many small business mistakes novice businessmen make that result in more money lost than money earned. So here’s a heads up on some of the small business mistakes to avoid:
What Business Plan?
Going to a war without ammunition is a suicide mission. In the world of business, your ammunition is not always your capital, rather, it’s your business plan. Sure, you have the drive, the resource, and the contacts to start a business. But what exactly is your plan of execution? Without a concrete and feasible business plan, no one will think of investing in your small business. So if you don’t plan on being a “One Day Millionaire,” plan first, act later.
Investing a Fortune into a Shady Product / Service
When we say shady, we don’t mean illegal. Shady products and services are the types that hold no concrete and feasible claim that they do work. While some rely on hunches and divine intervention in deciding whether to invest in something that is the first of its kind, some people choose not to lift a finger for the fear of losing money. However, when an innovative product or service hits a gold mine, you may want to slash your wrist for not taking the risk. Regardless of what you do, it’s all part of the business world. Still, a hunch and some divine intervention aren’t enough to back up your decision. Doing your own research and market testing will give you a better idea if a product or a service will work.
Customers will find me. Who needs advertising.
Some people don’t believe in advertising. It’s not always because of the high prices of advertising campaigns; it’s also because of the misconception that when you have a good product or service, you don’t need to advertise because people will find you themselves. Okay, so maybe this works if you live in a very small town with a population of, let’s say, 500 people. Sure, they know where to get the “Best Apple Pie in Town” or the “Best Pleats in Good ‘ol Baltimore!” But even small diners carry posters and flyers of the establishments that carry the best products and services. Do away with the just-get-here-if-you-can attitude. You need to tell your customers that you exist first. The fastest way is to adapt “smart advertising” techniques like posting on bulletin boards, handing out inexpensive business cards and flyers, and creating free business pages on social networking sites.
Bad Employer-Employee Relationship
Next to your customers, your employees are the 2nd most important people in your business because they are the ones who work on your behalf. They are the ones who manufacture the products, do the services, and face people every single day. A bad employer-employee relationship can ruin your business empire in a single day. Likewise, depression in the workplace can affect the way your employees treat your customers. So don’t ignore the people for you. Keep them motivated and find ways to turn the place into a healthy and happy working environment. After all, a positive aura can do wonders for the business.
Raising the White Flag Too Early
It’s pretty easy to quit when you’re new in the business. After all, you still don’t have a name to uphold and your customers won’t cease existing without your products or services. It’s pretty easy to quit when you see the alarmingly slow rate and income at which you are functioning and the many start up mistakes that push you close to tears. But that’s business. It’s all part of the world you just entered. You win some, you lose some. You have to spend money to make more money. You have to invest. You have to make mistakes. When you quit too early in the game, the loser is you and you alone. So man up and get back in the ring!
