Last Updated on Mar 31, 2020 by James W
Who does not want to start a business? However, after graduation, most of us still haven’t enough experience to run the business smoothly. No matter, how well you think you’re prepared – from time to time, you’ll make mistakes. But the imminence of the thorny path doesn’t mean you should ignore the essential tips based on the experiences of others.
Although every field has its unique features, there is still dozens of rules applicable (at least – after some adjusting) to almost any niche. Buzz Essay congratulates you with the fact you’ve finally decided to start your business and wishes all the best in this climbing up the business stairs!
I hope the tips below will help you avoid some typical mistakes made by novice businessmen.
#1 Unfinished Business plan
Please don’t start your campaign until you have a detailed business plan with a clear sequence of actions. By the time you enter the market, you must have a forecast of the total expenditure, an accurate portrait of the audience and competitors, and a clear idea of how you are going to make profits. Preliminary work is a must. In fact, it’s the ground of your future success.
Of course, the business plan must be based not on assumptions but on specific studies. Otherwise, you just won’t be able to position yourself a serious player in the market, and business management will turn into a wild guess.
#2 Superficial Knowledge of the Market
Learn all you can about your target audience. You need to know habits and behavior of your buyers. What is their average age/level of income? What do they prefer? Are you focused more on the male or female audience? What are the favorite media channels of your target customer?
Finally, make the detailed portrait of your target customer.
#3 Ignoring Your Customers’ Needs
People are at the heart of today’s economy. You have to focus on the interests of your customers and offer solutions to their problems. This is the only true basis of your income. If your company offers customers the highest quality and useful solutions, they will always be loyal to you and happy to recommend/promote your services.
#4 Ignoring the Research
The only 100% valid way to know what works for and against your business is testing and analysis of every decision. This should be a part of your everyday business processes. Do not invest all your savings in a randomly selected advertising agency or mass marketing. Test different approaches on a small target group before investing is something major.
#5 Expecting an Immediate Profit
Usually, it takes a year or two for a new company to start getting revenue. So be sure you have enough capital to survive the break-even point. Awareness and acceptance of the fact at first you’ll spend much more money than you earn will help you stay afloat and not give up under the pressure of nervous tension.
#6 Saving on Lawyers and Accountants
If you do not have several years of legal/accounting practice behind, you mustn’t take decisions on the critical business questions. Experts do not get their money for nothing.
#7 Borrowing from family and friends
This usually ends in disaster. If you have a great idea and well-thought business plan, it won’t be difficult to get a loan from organizations specialized in loans.
Are you sure you want to involve family members in the business? Do you want to risk the relationship with relatives and friends? Please stay prudent and avoid the temptation, even if the relatives and friends actively offer their financial assistance.
#8 Building a Business on Promises
Friendly relations with contractors greatly contribute to the effectiveness of your business. Nevertheless, when it comes to money, be sure to formalize mutual obligations on paper to protect your interests. By signing a contract, you must be sure you understand and agree with stated regulations.
#9 Too much Self-Reliance
When you create a new company, you have to take into account and control a lot of things. Conducting even a small operation may require an outside help, even if it comes to short-term projects. Thus, try to find partners whose abilities supplement yours. That will help remain focused on your business.
#10 Sacrificing Personal Relationships
Although will have to be constantly focused on the business, you shouldn’t ignore your personal life. If the business leads to discord in the personal relationship, you must start changing things right now! Believe me, at some stage, you will need the support and care of loved ones! Keeping good relationship can affect your life much stronger than your business.
I hope these tips will contribute to the beginning of a wonderful business career. Be prudent and focused on your goals. Sure, you can’t completely avoid making mistakes, but you must put an every effort to reduce the number of setbacks.
By the way, the awareness of your imperfection will help you to overcome unexpected obstacles and continue their journey with even more confidence.
Lucy Adams is an essay writer and blogger from Buzzessay. She’s an open-hearted young woman who’s constantly in touch with the readers. Lucy will consider each and every your idea, so feel free to suggest her anything you have in stock. Just ping Lucy with your thoughts and get an instant response.