They say, ‘Mistake is the first step towards success’ which is true in many cases. In the way to launch the start-up, each entrepreneur is busy in trying new things. Experiments and taking risk is the key to innovation. However, the start-up team has to be careful while taking important decisions which are related to the future of the business.
It is essential for an entrepreneur to have a clear vision and learn from the past mistakes. So, here are some common mistakes in the journey of a start-up which you should avoid.
1. Going it alone
The concept of single founder start-up is quite fascinating as it provides full authority to the individual to move on new roads and ways. However, moving alone can be little self-focused and stressful sometimes.
It helps a lot when you have few other founder members standing along with you to support your ideas. In this way, you can also get the required feedback on the decision immediately and can break the clutter of single eye-site.
2. Skimping on the business plan
A business plan is the backbone of the start-up. It is a blueprint on which you wish your start-up should run. Thus, you have to careful while making a business plan. The plan should be for next 4-5 years and should consider all the changes which are expected in the industry or market in which you are launching the start-up.
A weak business plan can be a reason behind the early death of many start-ups. So, make a strong business plan which provides an outline of your journey ahead. In this case also don’t keep the business plan too rigid, a little flexible plan will help you to adopt as per the situation.
3. Handling money incorrectly
Finance is one of the core requirements of the business. The decision which is related to the investment of money has to be done very carefully. Too much investment for a future project and lack of money for work in progress is the dangerous situation many start-up faces.
While some of them face the loss of financial support in the mid level of the growth of the start-up. Thus, invest when it is required and invest carefully.
4. Lacking the ability to pivot
Being pivot is the part of the start-up game as nothing ever goes as per plan in the start-up world. Every entrepreneur should always be ready with plan B for their business.
It is fun to predict the next move of your competitors and take a move before them. Make such changes which nobody expects and come up as a winner.
5. Thinking too small
Sometimes entrepreneur lacks the ability to check the sustainability of the idea which is generated. In such case, the small thinking might hamper the huge success of the business. Think big and look out for the ways to execute it.
6. Choosing the wrong location
Where to sell the product and services is the important decision. It is all about checking out the buying process and identify the potential customers. The wrong location selection may take you away from your potential customers and thus, the business can suffer loss.
7. Ignoring a hunch
Many entrepreneurs choose to take a decision based on the data available. But data does not represent the whole population sometimes and thus, in such cases, the instincts of an entrepreneur play important role. Don’t ignore your instincts use it for advantage.
8. Launching at an inopportune time
This a basic point when you start your own business. When to launch it totally depend on the structure of your industry and its present condition. It is also essential to check the needs and wants of your potential customer and see that they are ready for you product or services.
9. Getting the hiring process wrong
‘People’ is what going to shape your business. You should look for experts definitely but in a case of start-up the energy to work and dedication is main qualities you should look while hiring.
Start-up always needs people with high energy level, innovative, creative, ready to learn and totally dedicated to the work. The people who work for you should enjoy their work then only the company will achieve fast growth in less time.
10. Having too much outside influence
Criticism and feedback are part of every business process. You should take the feedback positively but the influence of it on your business should be limited. Remember every new thing has to face some friction before it runs smoothly. Don’t change immediately based on the early criticism.
So, here you go! Just try to avoid these common mistakes and be sure that you are on right track while running the start-up.