Many students after completing their MBA from renowned institutes are rejecting job placements and moving towards entrepreneurship. They are settling their own business in their desired niche. So have you also thought of starting your own business? And if yes, then please make sure you avoid some biggest mistakes or probably you ll end up in digging your own grave.
Slow and Steady always doesn’t win the race
One of the biggest factor why new business fail is lack of money. If you plan things in a slow direction then it will take much longer before you make your first income. If you are investing something, remember that is not more than enough. You have to be profitable in whatever you do. Maybe ball is not in your court right now, utilize this time and get your business out there. I am sure you must be thinking that while doing this you need to cut many corners. Yes, if you want to win the race you have to cut many corners.
I know even you have dreams of sitting back and seeing all your employees working hard and money just keeps rolling in. I know you want this, but how will you make it possible? Its not about hiring. When you are starting any new business, its you who have to do more and more work. You have to understand that what are tasks and duties needs to be assigned to your employees. Before hiring anyone, keep yourself in their shoes and understand what they are going to go through in future.
Do not mix your Business with Emotions
Ok now lets face this that most of the time you think with your emotions. I am not blaming only you for this. We all do this. You have to develop yourself in such a manner that you make decisions based on off the logic. Many times it will happen that your emotions will tell you to do something else. But you have to deny that and make a logical decision.
It doesn’t matter what are your needs, it matters what your customer needs are
Maybe you have an amazing idea for your new business. Maybe you want to introduce a product that might bring revolutionary in the market but have you ever thought what your customer wants? Trust me nobody is concerned about what you want? After all its your customers who are spending their bucks. So, i would suggest here before you spend too much time and money in any of your cool idea, study the market well, try to understand the problems your customers are facing.
Does it matter with being in the trenches?
CEO Mr. XYZ. it sounds cool. Isn’t it? Being a CEO is not at all an easy task. It doesn’t mean you ll boss around people and order them what they need to do. It only means you are the sole responsible person for company’s well being. Be in trenches and feel what it takes. This is how you can learn things and ensure that your company is running well. Talk with your customers frequently, understand their wants and desires.
Money doesn’t fall from sky
Money doesn’t grow on trees nor do they fall from sky. But ya technically they do grow on trees, but you know what i mean. Be cautious with your spendings because many businesses fail due to lack of capital. Save as much as possible you can, you never know when you are going to need it. Maybe for this you have to negotiate a lot with your suppliers no matter he is your relative or best friend. End of the day its your money that is being saved. Remember, if you never ask, you ll never receive.
Search for a right Business Partner
There might be a possibility that when you have started your business, you don’t have enough cash to pay to your employees. So the best way to deal with this is search for a business partner. I am sure that your business partner will work harder than your other employees. What is the big deal if you have a co-founder name with yours in the company letter head? There are many big companies that are founded by two people. Google Inc. itself is the biggest example.
Think about today and not tomorrow
As soon as you start your new business, the biggest mistake that you ll commit is you ll start thinking about tomorrow. I know it is totally wise to be well prepared for tomorrow, but dude, you have just started. Think about every moment. All you need to do is just think about making more and more profits everyday. At the end of the day what matters is enough cash that will be needed for your company to survive.
Take help from the expertise
I am sure no one is jack of all trades. Questions will always arise and every time it is not possible for you to answer them all. I would suggest you that take help from people who are already expert in these fields. I don’t think there is anything wrong in keeping few mentors on whose advices you can always rely.
All work and no play will make you a dull boy
It is not possible for you or me to work 24×7 all 7 days. You have to take a break, go out, party with your friends on saturday nights. So that once you are back to work you ll be more productive. If you want you can go and attend various networking events where you can meet other entrepreneurs and gain some free knowledge. Who knows you’ll even end up closing some business deals at these events.
So what is the bottom line?
Please do not expect that there will be some miracles on the very 1st day of your business. You will make mistakes and its a fact and your those mistakes will make you a perfect entrepreneur. A great entrepreneur is one who learns from his mistakes and doesn’t repeat the same ever again. What are the other business mistakes you think you can add up on my list?