When starting a business, both successes and failures make an unforgettable learning lesson for entrepreneurs. Some are bound to happen, but this doesn’t mean that others can’t be avoided.
Here are five common mistakes any entrepreneur should avoid while starting a business:
Expecting Immediate Results
Entrepreneurs are setting themselves up for disappointment if they expect big success as soon as they launch their business. It takes a long time to grow a business and an even longer time to earn money off of it. This mistake is very common with young business people who are eager to see short term results, forgetting all about their business plan and process.
In fact, enterprises go out of business at the launch phase because the founders end up expecting to earn money right away to cover other side expenses; to the point were they end up bankrupted.
It’s important to set realistic expectations and exercise patience to avoid early failure before even giving the business a chance to test itself in the market; which leads to the following mistake.
Starting a Business and Misinterpreting the Market
Deadly and fatal, this mistake can range between underestimating or overestimating costs, appealing to the wrong target demographic, misinterpreting the market, or worse, underestimating the competition. It might seem weird, but having competition is healthy because they validate the market.
Not Going Digital
Going digital is no longer an option, it has become a necessity. Without a digital presence, it’s merely impossible to compete with the fast pace of modern marketers. In addition, consumers are far less brand loyal than they were decades ago because of all the flow of information going their way as well as they high competition among industries. With that being said, not going digital nowadays is the equivalent of losing consumer data which would allow them to engage with their target market based on their buying and social behaviour.
Social selling is when a B2B sales organization leverages their social networks to find leads, foster relationships, and eventually close deals.
At EMLV business school, the ongoing efforts to promote diversity and experience sharing are providing opportunities for students to keep up with the needs of the business landscape and become professionals in positions such as digital project manager, digital brand manager, social media manager and search marketing consultant through the MBA.
Micromanaging While Starting a Business
Even though micromanaging gives greater control over operations and supports onboard employees, not delegating often leads to pejorative consequences. To name a few:
- It makes managers lose sight of the big picture
- It threatens fresh employee trust and loyalty
- It often leads to quick burnouts in teams.
- It increases employee turnover rate
What if’s… What if’s…
Doubt and fears tend to force entrepreneurs to play it safe and limit their chances to scale up their business which can ultimately other aspects of life. Going all in early on is not necessarily being reckless and immature, but rather seizing the momentum. Just like Merci Handy did, a startup founded by Louis Marty, an EMLV graduate.
Despite the failures, it’s all about the mindset that is ready to learn the lesson and repeat again.
If you see yourself ready to conquer the business world, discover the master’s, MSc, and MBA programmes at EMLV business school in Paris that will equip you to confidently start a business.