New entrepreneurs are going to make mistakes especially in more complex fields like technology, but you shouldn’t let a mistake put you off after all everyone makes mistakes, don’t they? But there are some mistakes that business experts see again and again, and they are easy to avoid. So, let’s take a look at some common mistakes every entrepreneur can avoid.
Not Doing A Business Plan
Not doing a business plan is an easy mistake to make, many entrepreneurs will skip this step thinking it’s unnecessary, but a business plan can be a very big help. Think of it as a guide to your business it can help you work out how best to showcase your brand, attract your target audience and much more.
There are also some amazing resources that can help you build-up your business plan online. The Direct Gov website has some very helpful links for building up your business plan but you can even employ a professional to help you write it up as well. A business plan is always going to be beneficial which is why any entrepreneur should take the time to set one up.
Not Consulting A Solicitor
Entrepreneurs will be tasked with a lot of legal matters when setting up their business, any serious entrepreneur will already have a good idea of what they need to do. However, when it comes to legal matters you can never be too safe.
So, even if you are certain make sure any legal documents are checked over by a legal professional such as these trusted property lawyers in Glasgow. Usually, this will be a solicitor, but you could work with another legal professional, some will even offer services designed for entrepreneurs to help them get all their legal documents set up. By consulting a legal professional, you can be sure all your legal documents are correctly filled out and avoid any potential pitfalls.
Not Picking The Right Location
The location of your business can have a huge impact and some entrepreneurs fail to take this into account. For certain industries the location of your business is one of the most important aspects, this is especially true for businesses in industries like technology and research.
So, you need to think carefully about where your business is going to be set up, many people will instantly be drawn to the capital city. Businesses in London can benefit from government schemes not available elsewhere for one thing, but there’s plenty of other benefits.
However, that doesn’t mean the capital city is always going to be the best choice. After all many businesses have also set themselves up in Manchester because it is close to Media City. So, make sure you think carefully about where your business is set up.
Not Working With Others
When you’re an entrepreneur it’s easy to get a bit carried away and try to do everything yourself, this is understandable after the business is your baby. But trying to do everything yourself will just lead to mistakes sooner or later, one of the important parts of being the head of your business is understanding you can’t do everything.
I mentioned previously how trying to deal with all the legal requirements of setting up your business on your own will likely end up with mistakes being made. The same principle applies to the rest of your business, which is why it’s important you learn to work with others. If you’re serious about your business growing, you will need to learn to work with other people.
Not Choosing The Right Business Structure
There are a number of ways you can structure your business and you need to understand how each one is different. Depending on the structure of your business you will have different legal requirements for example if you set up your business as a partnership you will need a partnership agreement.
If you set yourself up as a limited company, you will benefit from setting up a share agreement. If you are setting yourself up as a sole trader, then you will have less legal documentation but a lot more risk is involved. Make sure you take everything into account and think carefully before choosing the structure for your business.
Not Focusing On Marketing
Every entrepreneur should know about how important marketing is, but many new start-ups take a less is more approach or follow the old proverb “build it and they will come” a little too literally. However, while there is certainly some merit to that ideology it will usually not work for start-up businesses.
For example, let’s say you’re a new tech start-up how are you going to compete with big businesses in your industry like Apple? Even if you have a great product or idea the big names are going to steal all the focus, aren’t they?
Well while it’s certainly difficult you can rival even the giants of your industry with clever marketing which is why all start-up entrepreneurs should ensure they focus on marketing. A great marketing strategy is going to go a long way towards boosting your chance of success.
Not Protecting Your Business
Finally, one other key area where many start-ups struggle is failing to take the proper legal precautions to protect their business. This covers many different aspects of your business but one particular area where many entrepreneurs trip up is with their copyright.
If you don’t copyright your businesses name and domain name someone else could come along and do it. Which could lead to a number of issues, you’ll also need to ensure your business is insured and follows proper health and safety procedures. Protecting your business is very important but it’s easier than you think to slip up.
So, that’s a look at several easy mistakes start-up businesses can easily avoid with a little foresight and planning. Will this ensure you don’t make any mistakes later on? No, it won’t but it will certainly help the early days of your business run a lot more smoothly and remember don’t let the fear of mistakes stop you from setting up your business.