Many entrepreneurs fail collide with problems that could have easily avoided if they had taken the time to write a business plan before you start. If you do not have the dedication to write a business plan, then you probably will not have the dedication to run your own business.
miscalculate the niche market to conquer is another common error. Most entrepreneurs do not analyze in depth how many people have the potential to buy your product. They do not have the time or money to invest in it. They imagine, argue that sell thousands and then only sell 10% of projected. If you calculate wrong the size of your market, calcurás bad your sales projection.
It is always more expensive than it appears to be, you always have to sell cheaper than you had thought. A large number of entrepreneurs define the principal amount based on a sales projection based on an error and create an operating cost without enough to start the operation capital.
Three out of four businesses fail because they run out of cash. This results from an initial poor planning. Business owners are so caught up in the day-to-day management of business operations and do not take time to send invoices to customers. Monitoring your cash flow is the most important thing you can do for your business.
Many entrepreneurs hire their relatives or friends without knowing or objectively analyze their true abilities. It is the easiest but often they are the wrong people. Then also it becomes difficult to fire a relative or good friend. Please also note that in the initial stage of your business, you need people with the ability to perform more than one task.
It is very common that the founder only to be focused on activities you know. He pays close attention to a part of the business and neglect others because they do not know or do not like. If you want to be a successful emprededor you must be a very organized person with ability to prioritize important tasks and concentrate on what will bring money into your business.
Put aside the prejudice that “no one will do better than one” is the first step to place confidence in your employees. Even the best entrepreneurs can not do everything. It is important that you learn to delegate to let your business grow. If you’ve hired good people and you’ve trained properly, give them freedom of action and the results will surprise you. If your employee fails to do homework, you may need additional training or you must locate an another candidate.
Times change is a fact of life. Sometimes, your business needs to change to keep pace. The fact that it has worked so far, does not mean you should continue that way. Think about the business you’ve seen in the past, whose only form of advertising was an ad in the phone book. You must keep up, especially with technology, before your business disappear from the radar of your customers and prospects.
You must have an exit plan, for example: if you want in the future create additional business or want to move the company to your children or develop a business and then sell it. If so, stay alert you can sell your business to a multinational.