6 Common Entrepreneurial Mistakes

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Naturally, every successful entrepreneur has had to overcome obstacles, and thankfully many have paved the way to help a new generation of entrepreneurs avoid making common entrepreneurial mistakes. Some mistakes can be costly, and others can taint your brand.

While there is no straight path to success, which is what makes it so rewarding, there’s much to be learned from those who have walked that path and been diverted. Here are some common entrepreneurial mistakes to keep in mind that you should recognize and offset:

 

Spending too much or not enough money

Money is understandably one of the biggest concerns for entrepreneurs. You most likely have very minimum cash flow before you go to market and are laser-focused on trying to make and save the money that you do have. First, let’s establish that you should start out with as much money as possible, according to one study, 79% of small businesses fail because they started out with too little money.

The general rule of thumb is to not let your expenses exceed your cash – which is easier said than done, especially in the early stages of a business. You’ll want to make strategic decisions that will enable you to stay as debt-free as possible. Evaluate and then reevaluate what you’re spending your money on and cut ties with anything that does not bring value.

On the other hand, a common entrepreneurial mistake is spending too little money. This normally happens when you have a decent cash flow and are more frugal about spending. If you spend the bare minimum, you’ll get the bare minimum.

No Marketing Push

Marketing is becoming easier and less expensive to carry out. Don’t rely on word of mouth or wait too long to develop a marketing strategy. You may be surprised at the ease of use (and price) of many digital marketing platforms. Invest in your marketing from the start, pay attention to SEO, and be sure to provide as much quality content as possible.

The sooner your brand gets out there, the better.

Taking on too much

Your business is your baby and it’s tough to entrust any component of your operations with others. Multitasking may be second nature but avoid doing everything yourself. Your efforts may be lost due to burning out and you won’t see any growth or revenue.

Instead, take the time to consult with a mentor or take on a partner. One of the best solutions for this entrepreneurial mistake is hiring a virtual assistant. By hiring a virtual assistant, you are still in control of all strategic decisions and can pass off the time-consuming administrative work. Learn more about virtual assistants here.

Putting product above customers

If you’re not listening to your customers, you’ve failed. Pay attention to reviews and feedback and engage with your customers so they know you care. Your customers should come first and sometimes they can get lost on entrepreneurs because they are so passionate about their product.

Not setting clear goals

Do you have clear goals written down? If not, now is the time to start planning out your goals. Start with a longer-term goal, maybe you have an idea of how much revenue you’d like to generate in the next 1-5 years. Now, set smaller goals along the way that’ll make this a reality.

If you start setting unattainable goals, you’ll lose track of your goals and lose sight of the future of your business. Adjust your goals if necessary, but you should have clear steps in place to keep you going towards your vision.

Choosing the wrong partner

This entrepreneurial mistake can be detrimental to the vision you have for your business. Partners are involved in all facets of your business and partnership is similar to marriage. If your partner doesn’t share the same vision for your company, it’s time to reevaluate.

A friend or family member, while supportive, may be one of the worst partners for you and your business. Not to mention, if things go negatively, those personal relationships will be more difficult to repair.

 

Entrepreneurship is risky by nature but by identifying the common entrepreneurial mistakes, you are setting yourself up for smoother sailing. Pay close attention to where you are spending your money and where you are not. Implement your marketing strategy as soon as possible and hire a virtual assistant to help ease the workload. Remember, to be a successful entrepreneur, you need to put your customers above all else, set clear goals, and have a healthy partnership.

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