5 Accidental Errors That Might Crash Your Business

5 Accidental Errors That Might Crash Your Business
Thimantha | Technology | 25th April 2019
Being an entrepreneur is an amazing thing. Watching those big shot businessmen tell their life stories to the world is indeed very inspiring. You may dream of joining the ranks of them someday. There are many ways to build your dream startup. But also there are many startups that tend to fail. Many wonder what the reasons are for their failures, and spend a lot of time searching for big issues when it is simple and minute errors that have caused the failures.
Here are a few errors new entrepreneurs make that could affect them in the long term and how to tactically avoid those errors. With these tips, you can guide your dream to be a guaranteed success one day.
1. Neglecting the reality of the competition
There are people who are overconfident about their business idea. Confidence is the key to success, but not overconfidence. As a startup entrepreneur, you should always examine the industry of your business. There could be many other entrepreneurs just like you. So, you must have a strategical marketing plan which could help you surpass those competitors. Advertising your product on mass media doesn't help you much as a startup company. You have to build up your reputation and gain the people’s trust first. Try to market the uniqueness and what makes your product different from others rather than blindly advertising the product itself.
2. Instability in online marketing
As a new entrepreneur to the field, you should always try to target your consumers online. Most of the mass media is captured by huge companies. Until you are ready to take your business to the next level, keep a close eye on online marketing. Many entrepreneurs tend to fail at online branding due to the company's inconsistency. People should be able to find your brand easily, anywhere online. So get a people-friendly brand image. Think about the stability of it, remember that you can't change it from time to time. Learn more about branding, read this case study about the branding process of TanClean Sri Lanka.
3. Investing huge amounts before growing
This is a rookie mistake done by many fresh entrepreneurs. It is true that entrepreneurs have to take a risk to make their dream a reality. But, after starting your business, always make sure that your spending rate is controlled until your company's growth is stable. Many entrepreneurs tend to spend more on the business even when any growth has not been achieved yet. This is a possible risk that could lead you to bankruptcy. To keep your business up and running, save a portion from your profits rather than spending vastly before your company is stable.
4. Juggling many ideas at once
When starting your own dream business, you come up with many creative ideas and you get the urge to implement those in your freshly started business. It is a great way to initiate a unique startup but not all ideas at once. When you juggle all ideas at once you may confuse yourself and there's a chance of you spending a lot of the money from your planned out budget into impractical and unfeasible ideas. Try to write down all your ideas giving priority to the best and most practical one. Then pick few and most suitable, profit-generating ideas for your company rather than implementing all ideas at once and getting confused, choose the best few and lead your business the correct path.
5. Advertising the product only
Many new entrepreneurs make the mistake of advertising just the product on media. This is a new era, and people need a change. It's time to change things up in marketing. In fact, things are already changing in marketing. Try to include new information in your ads rather than advertising the old fashioned way. This is a great trick to lure in customers through social media. More interesting news you tend to provide, more people will visit your page. So try to be unique and different than advertising just the product and what it does. Try to educate people once in a while to attract more potential buyers.