Ten Missteps That Could Cost You Your Business
Entrepreneurs today have a lot of options for getting their name out there in the market, especially when it comes to starting a business in an age where everything is digitally connected. There are some proven rules that have proved to be reliable: expert advice, thorough planning, and research. It is important to be prepared when assessing the various methods of starting a business.
Getting Rich Quickly:
It is easy to get distracted by the story of a young, successful entrepreneur who had a simple idea and made instant fortunes. How long did it take for that person to reach his/her success? You can quickly lose sight of the path to success by rushing to make it happen. Keep within your financial limits and plan for the future. Rome wasn’t built in a day, and neither will your fortune.
Check that all non-compete agreements have been reviewed and are properly calendared.
Ambition is great, but being impulsive can get you into serious trouble.
Diverging from Your Business Plan.
Funding is dependent on your compliance to a business plan. Don’t let your ego get in your way. If you stray, you could be accused of negligence.
You can fix legal mistakes later:
It is too late to hire a lawyer to help you with your legal issues. Do your research and ensure you have the resources you need to help you start your business.
You are a weak leader:
Your employees trusted you to help them grow their next American business. Don’t let them down. Take the hard decisions and ensure that the company and its employees are at the top of your priorities. Openness and accessibility are key to leadership.
Be 100% business 100% of the time.
Recognize that not everyone shares your passion for business. You have a life to live, and if your business becomes too much it can be detrimental to the lives of others. Your business should be a place people want to visit, work and promote.
No Mission or purpose for the business:
Share your vision and mission with your employees. Create a clear mission statement with specific goals for the future. Your business partners and employees can contribute to it.
Negociation of Venture Capital Based On Valuation:
Are You Going Public? Did you conduct the necessary due diligence? Venture capital firms are looking for evidence that your niche is in demand. If you can fulfill that, others will want to be part of your vision.
Avoiding incorporating late in the game:
Some startups make shortcuts to save money. If you believe you have a unique product/service to offer, you should save money and incorporate properly. Flying under the radar can cause you long-term heartache and even cost you your future earnings. Protect yourself and your employees with professional advice.
Last but not least, make sure you hire an attorney who is knowledgeable in intellectual property protection and business law.
For those who plan ahead, lawyers are essential. It is important to have insurance in place for your personal and car belongings, as well as your home, before any disaster strikes. You and your employees earn a living from your business. Why not get the same insurance for it?