The business scenario is full of opportunities for people having a creative mind or an idea looking to capitalize on. An interesting concept can go a long way in establishing a successful business if implemented correctly. There are several mistakes which people make in the early part of establishing a startup or small business. That’s why only half of small businesses last five years or even less. So not every creative idea can turn into a success until you know how to go about it.
If you really want to start a business successfully, then you apart from a keeping in mind a comprehensive business plan and other necessary factors, don’t make the common mistakes young or inexperienced businessmen often commit. Following is the list and a short explanation of six such mistakes you need to watch out for before starting any venture.
- Research
You need to research first before you launch any business. It’s a totally different aspect that you got a great idea; research is a must in any case. You need in-depth and comprehensive research concerning your competitors in the market, your target audience, pricing, marketing, sales aspect, etc. There are many factors that are valuable in this regard and that’s why you can’t shy away from research in any case.
The Internet provides a huge opportunity for anyone to do research at a click of a mouse. Just 2- 3 decades ago, people have to make a lot of efforts to research from books and journals and for that, they need to visit a library many times. But now every information is at our fingertips and that’s why you must research hard for a fruitful start to your business.
- Being Unrealistic
After research, be realistic in your approach and try to come up with a plan that is based on the actual market scenario and not what you think about your product. For example, try to be realistic in your approach with concern to your sales growth over the next 5 years. Even if you are trying to be aggressive and ambitious in your approach, being realistic is something which will save you from unthinkable loss.
Be realistic in your approach as your potential customers won’t have any idea about your ambitious plans. Instead, they will look for what’s in there for them. So market and sell your product with ground realities in mind and leave your lofty plans for the future.
- Underestimating Expenses
In doing any business there are lots of expenses which one has to bear. New small business owners spend money lavishly on marketing as they think this is the right approach to lure their target market. But once they are out of money, only then they realize how much any aspect can cost you once you have committed a mistake. You need to calculate the full costs of your products and services for best results.
Highly optimistic sales target and then spending money according to that is a grave mistake. Never underestimate the expenses and always do your homework in this regard.
- Not Asking for Help
No one knows everything. Inexperienced businessmen feel shy in asking someone about anything they do not understand. They think that other people will troll or ridicule them for not knowing a simple thing. It’s not like that. You need to learn how to ask for help in a critical situation and make a list of people with their contact details whom you can trust in getting information in quick time. Otherwise, you’ll be at loss.
Don’t try to learn everything as no one can has all the knowledge. Instead, always ask an expert for the relevant knowledge so that your work won’t be affected.
- Taking Too Long To Launch
Once you have the business plan ready and the capital in hand, don’t take too long to launch your venture. Many people look for the perfect time and in due course, they waste a lot of precious time in which new entrants steal the market share right in front of their eyes. While everyone tries to launch a product so that people will buy it but the longer you’ll wait for the launching, the longer you will go without money.
You have to keep in mind that not everything will go according to your plan. So tweak your plan and launch your business at the earliest.
- Ignoring Marketing
Never think that your idea is so good that people will flock to your product just through word of mouth. A proper marketing is necessary to make your potential customers familiar with your product. In this, your business will be recognized and get the attention it deserves. Apart from traditional ways, digital marketing is the way to go these days with social media platforms like Facebook and Instagram leading the way.