The Most Common Errors An Entrepreneur Makes- And How To Avoid Them
Being an entrepreneur undoubtedly involves a number of tough calls. For young business owners just starting out, understanding what works is a very steep learning curve, one that has a severe effect on the bottom line. And yet, with a little research, it is possible to learn from the mistakes of others roo, and avoid common pitfalls which other small business owners have navigated around before you. Here are a few of the most commonly experienced issues entrepreneurs face, and how to avoid them…
Getting Your Cash Flow Right
One of these things that can only come with experience, cash flow and accurately projecting it is a major issue for a lot of small business. Does your research about potential market size and customer demand actually tally with the real world? By their very nature, startups are resource light and demand heavy and most operate with quite a precarious balance – needing to generate profit to invest into the services which will make money. It’s a catch 22 that has proved fatal for many promising fledgling businesses. You tend to either fall into the trap of overspending in a desperate attempt to launch and get the money and customers flowing in or making false economies by scrimping on quality technological infrastructure or professional support. Both approaches can be seriously harmful to your business integrity. Seek advice from a mentor and don’t be afraid to invest if you’ve put the research in. From cloud based servers to a voip fax server, you need to invest in the right tools to allow your enterprise to grow.
Ignoring Your Competitors
No business is an island, and customer loyalty is actively discouraged in a culture of comparison sites and independent online reviews. So not keeping one eye on the competition is a recipe for disaster. When launching a business, many consign competitor research to the business plan on a dusty shelf, but far from being a one-off, this analysis needs to be a regular part of your activity. Game changing innovations quickly become standard practice and your business can be left behind before you know it. So schedule regular reviews of the competition and trends in the industry to be able to incorporate them into your marketing strategy.
Not Prioritising Marketing
As a small business owner, you end up having to juggle lots of plates, from chasing up overdue invoices to pitching for finance from investors. In this unrelenting whirlwind of activity, it can be easy to drop the ball when it comes to your marketing activities, or even to be tempted to spend less when finances are lean, but those would both be huge mistakes. Your brand is your key differentiator from others in a crowded global marketplace and will get your startup noticed. A solid marketing plan doesn’t have to have a large budget, but it does demand careful and regular attention to social media, website design, SEO, content strategy and PR. Getting your name out there is an important consideration as you build your brand and develop a loyal customer base.