techniques
April 19, 2018
7 Mistakes that are destroying your business
But can certain mistakes be avoided? You have probably heard numerous times about how creating an initial business plan is an important tool in the growth of your company. But did you know its equally important to have a contingency plan.
A contingency plan otherwise known as a backup plan, is what you are going to do when facing issues within your business, and just how you are going to go about avoiding or resolving these issues.
Here are 7 mistakes that are destroying your business.
How many are you currently doing?
MONEY
One of the biggest and most obvious issues within business especially in the early stages is money! You either lack money or you are spending it in the wrong places. Its all too often that small business owners get credit card happy, and create huge amounts of debt for themselves, by using credit cards or loans to obtain unnecessary items in the early stages of your business. New computers, large office space, warehousing and fast cars are some of the items in which business owners purchase to early on in their business career. Does it sound like a silly move? Well this isn't the only one. Some smarter moves like advertising costs can also send you into a dangerous spiral, by not budgeting or spending the money on the WRONG type of advertising.
KNOWLEDGE
You have heard it before, but I am going to repeat it once again, "knowledge is key" without this you are diving into unknown waters, and this isn't safe for even the most experienced business man.Many millionaires and even billionaires will tell you, that reading books is such a valuable tool within their business modules. Some of which even research unrelated topics to scale their businesses years down the track. Knowledge is the preparation your business requires to succeed.
There are numerous things you NEED to know when starting a business, but here are just a few. And if you have a business/ or are starting one and don't have the answers to these questions, well... you better get your research cap on.
- Who is your target market: Including ages, sex, countries, hobbies, etc.
- How much will your business cost to start and maintain over a 6 month- 1 year period
- How much will you spend on advertising
- What type of advertising will you be doing
- How much competition do you currently have in your industry, and what makes you a competitor.
MOTIVATION
All to often business owners go on a rollercoaster of emotions, very early on in their journey. It is normal to play out the motions of excitement, confusion, nervousness etc. But how you deal with these situations is what is really going to determine the outcome of your business.
Generally the scale of emotions goes a little something like this:
Business launch- Leading up to, and upon the launch of your business the feeling of excitement and nervousness is also clouded by a sense of confidence. You wouldn't be starting the business if you didn't initially believe in it.
No sales- Then comes the confusion when the sales aren't rolling in, as you had such a strong product right?
You then may go back to the drawing board and rewrite marketing techniques to better advertise. This is when your rollercoaster ride becomes exciting, because you now have the confidence back and are ready to make these sales.
If these efforts succeed you will continue to roll, but if the first attempt doesn't succeed then its a testing time for any business owner as they begin to question themselves, and wonder "if this is really for me"
Motivation is what keeps us moving, it keeps our business afloat and stops us from pulling out of our dreams prematurely. Its all in the frame of mind, and how you deal with situations. Which of course leads me to the next point.
CONFIDENCE
When you lose the confidence within yourself, you lose motivation. These two points go hand in hand & it is all too often I see business owners closing shop, right before the Eureka moment. Now sure, this doesn't happen in every case, but if you have invested your time, effort and money into a business. Why would you give up after only a few attempts at success?
Maintaining the confidence to re-evaluate situations when they aren't working is a common scenario that many people forget.
DIRECTION
If your initial direction changes, that means the business is not worth having right? Because well, you had a plan? Wrong. Business plans change all the time, and your direction will too. But it is key to have a direction planned out for the series of events that can easily occur.
For example: Lets say you spend your whole budget of $5,000 on advertising & that advertising doesn't give you the expected results, what is next?
Imagine a map of your country. If one route is closed, generally there will be a detour. And business works the same. Get the directions and detours mapped out early on to avoid any mishaps or disappointment.
MIND BLANK
How many times have you started telling a story but all of a sudden lose your chain of thought? This commonly happens in business. It takes a lot of will power to stay on track and stay focussed in what your end goal is. You are only human, and these things happen... to all of us. Hey I'm pretty sure it has happened to me a few times whilst writing this blog! A great key to helping with this issue is keeping a pen and paper handy. Write down your ideas as they pop into your head and look at the best possible opportunities at executing them within your plan.
REPETITIVE ACTIONS
A famous scientist once said " Only an idiot would keep doing the same thing over and over expecting a different result" And this statement couldn't be more true. Sometimes we get an idea that we think is amazing, so we try it. And it doesn't work. You need to learn to read your customers, and not continue repetitive behaviour if you are not receiving the desired outcome.
If you try something and it doesn't work. Then learn from it and try something else!
This is one of the largest and most reoccurring issues that business owners are facing.
Each and every one of these occurring issues work hand in hand with each other to create a steady flow. Business changes, that's life and things are not always going to go to plan. But have you ever heard the saying "if at first you don't succeed, try and try again" ?
This goes without saying, that sometimes despite our efforts. The business may not work. Its all a game of determination, consistency and planning. And sometimes that planning does include knowing when to shut the door.
So how many of these traits are you applying to your business? And how do you work at changing them? We love to hear from you, so leave us a comment on your ideas and opinions.
Business and Digital Marketing