You have always heard what to do when setting up your new business venture. But here are 15 mistakes that you should avoid committing. Going the other way round can also help you sometimes. Take a look!
- Skimping or Over-thinking your business plan-
Yes, you thought about it once and it will probably work out if you put your mind to it. But if you just keep thinking what to add or omit, you may just be left out in the gap between ideation and execution.
- Trying to do a startup alone or having too many co-founders-
Your friends used to say that you are a one man army. But take it from the experts that when it comes to starting a new venture, the more minds the better. But also keep in mind, too many cooks spoil the broth. Keep at least one or two partners with you.
- Trying to force a business that isn’t working or failing to spend enough time researching the business idea-
You should always know when to quit. It’s a business; you won’t be named as the guy who quit but the guy who did the right thing before everything went south. To avoid such scenarios entirely, do a thorough research of what you are getting into.
- Lacking focus and identity-
Focus on what you are doing and a unique identity of you and your business are some really important things that go hand in hand. Do not lose that focus and that enthusiasm that you set out with.
- Being rigid about your idea or lacking exit strategy-
You thought of starting with plan A but you see that it isn’t quite working out. Don’t be so rigid so as to not change it to plan B. Have a plan B, even a plan C. And with everything always have the plan X to know how to get out of the building if it catches fire. Well, you know what I mean.
- Underestimating financial requirements and timing-
When you started you thought that the whole idea will take 5 lacs for the initial stage and then you will plan to get funding. Well, think again – are your estimates correct? Have you considered all the variables? And apart from all this, is your time plan set. These aren’t college studies that you will do everything in one night. Its business, it takes time.
- Not asking for help-
If you don’t know how to swim, and you land up in deep waters, you will be stupid to not cry for help. Similarly, you are stupid to not take help if there is stuff that is beyond your capabilities. Being an all-rounder is good, but there is a slight difference between that and a know-it-all. The Know-it-alls often do not know it all.
- Spending too much time on product development, not enough on sales-
Have you seen the big corporations and how they have it all differentiated, from R&D to Finance to Marketing to Sales. Well, in your startup, maybe you cannot employ so many people to take care of all the things but it is of utmost importance that you take care of everything. That includes sales. Developing a product that does not get sold is not the ideal startup and such mistakes always haunt.
- Failing to recognize the gap between sales and profit-
Yes, you are selling more than you expected but are you sure you are earning the right amount of profits as well! Have you seen that graph of cost and revenue? Go take a look.
- Settling for good enough instead of pushing towards the ideal-
“You know that design of the poster, well, it’s okay. Let’s just go with it.” And this is how came tumbling down the house of cards. You can do better than good enough and you know it.
- Seeking confirmation of your actions rather than seeking the truth-
You are the boss at your own startup and it’s highly important that you keep some critics around. Ask your co-workers to let you know what they think that you are not doing right. Always take feedback from everyone. Don’t just do things, do them right. Stop committing such mistakes.
- Entering a market with no distribution partner-
You have your entire plan and everything has worked out but you still don’t know how you will get your product to the consumers. Then wait! Search for the right distribution partner who compliments you and your work and then only set foot out in the market.
- Trusting experts, rather than your own gut-
Well, it is good to trust the experts and the experienced. But, remember this, there is no better judge of a situation than your own gut. Trust what your gut tells you because you are the one who is in the middle of the situation. No one understands it better than you do.
- Hiring for convenience rather than skill requirement-
Getting more people to work for you will definitely help you out but are you doing the right thing? Workforce won’t help it as much as getting the right people for the job will. Now if you need a graphic designer and you get an engineer thinking that he also knows how to work on illustrator, then you are absolutely wrong.
- Not maintaining relationships-
Remember that guy you met who helped you in a fix last year. Do you remember where he is? No? Go get his number if you don’t have it and give him a call. Help your helpers. If there is nothing to help him with then just meet him and have a nice time. It’s not necessary that a guy must have helped you before. Just maintain all your relationships. It always helps you to grow. It is one of the biggest mistakes that entrepreneurs tend to commit.