Every year, more than 600,000 companies quit doing business in the United States alone. It is quite usual for an entrepreneur to make mistakes. The most important thing is that one finds his way out of the mess. Here is a list of ten serious mistakes that entrepreneurs make yet they could have avoided them.
Little or no relationship building
Entrepreneurs often find themselves entangled in problem-solving. Because of this, they often fail to build relationships with their management team, investors, and employees.
What to do: Outdo expectations. Spare some time to bond with the key players in your business. Try to find something enjoyable which is not related to work. You can have it as a simple get together at a restaurant or a course for charity over the weekend.
Concentrating too much on obstacles
What is the use of contingency plans while you emphasize mostly on what could go wrong? This attitude is wrong, and it could demoralize your employees.
What to do: Put in positive energy. Classify your planning so that it does not affect enthusiasm. Once you have your plan on paper, do not keep checking it. Have it in you and avoid going back to check the file. The fact that you have a plan in place should reduce your worries.
Failing to plan for obstacles
The other side of the coin: ignoring the fact that obstacles are bound to come. If you are caught unawares, a small problem can cause a big hiccup to your business.
What to do: Work with your employees or mentor. Come up with some of the challenges that might catch up with you. Be prepared for them.
When was the last time you called your client and was not selling them stuff? Most entrepreneurs do not create a relationship with their customers.
What to do: Call them as often as you can. Be in constant communication with customers because they are what matters to your business,
Hiring in your image
Many entrepreneurs hire people who have similar skills. An accountant is likely to hire a fellow accountant. Women hire women. This leads to too many skills in one sector while less in another.
What to do: Every company requires a mix up of skills, backgrounds and perspectives for it to succeed. Therefore, hire to complement. Ensure that you have someone who can sell and another who can make. This is the best combination.
Being a superman
As an entrepreneur, you are not a perfectionist. You too can make mistakes.
What to do: Accept corrections, they will make you a better person. Invite customer feedback and employee’s suggestions.
Doing one thing at a time
Entrepreneurs tend to want to do one thing at a time. They wish to make enough money first then hire, create a product then proceed to get clients. This is not the way to go.
What to do: You ought to do many things at once. Life for entrepreneurs is parallel. Time is not enough to do one thing at a time. So, try to multitask as this will help you attain your goal faster.
Focusing on forming partnerships
Entrepreneurs love partnership, especially when they are unable to do some tasks such as marketing. Unless a partnership will have an effect to your spreadsheet, avoid it. Most of the partnerships that entrepreneurs enter into are a waste of time.
What to do: Concentrate on increasing sales. Sales will help you get what you what. Partnerships will just land you into more trouble.
Working too much
As an entrepreneur, you probably think that you should work all the time. They barely find time to sleep.
What to do: give yourself some time off. Relax, take breaks and pamper yourself. This will help you to perform better at work.
Focus on getting more funding
Success is not about how much money you have. Rather, it is about how you use it. Do not focus a lot on pitching your business plan to convince an investor.
What to do: Concentrate on prototyping. Spend more of your time increasing your sales. Build your reputation. Satisfy your clients.
Though funding is not the most important aspect of a business, it is primarily important. Getting capital is not that difficult especially with Advance Funds Network (AFN). Avoiding the mistakes named above will grow your business to heights you have probably never imagined of.