What are the most Common Business startup mistakes to avoid

 5 MISTAKES STARTUPS NEED TO AVOID

Having a  startup and turning out a failure is something no one would ever wish for. But meanwhile, we have a startup and we tend to certain mistakes that degrade our business. But if you already knew those mistakes, wouldn’t it be a better approach to make better mistakes and grow better?

IDENTIFY MISTAKES MADE BY STARTUPS

Let us identify the common mistakes startups make:

1 Failing to prepare a better plan

A new plan is always better than the previous one, and therefore many startups fail. Planning is the first necessary step to having a good startup, the better your plan, the better your chances to have a good business.

Plans are never static or consistent; they need to be modified with time in respect of certain aspects such as economic, political, legal, social, and technological changes. But the core idea remains the same, so having a good plan is the first necessary step to avoiding failure.

BENEFITS OF HAVING A GOOD BUSINESS PLAN

Funding - The very fact your business plan becomes essential is because businesses work on written agreements and discussions also, as a startup you need to collaborate with people. So, it becomes necessary to have a business model. A business plan helps you to possess an attribute of professionalism, thereby helping you present a good business plan to investors.

Your business plan serves as a tool to convince people that your business is worth investing in when you will require loans in the future or for any needful purpose. So, have a good business plan handy with you if you are a startup.

Risk management

As you have decided to have a startup, you must be well aware that business carries risk along with returns too. A business plan helps you figure out what kind of risk you want. If you wish to have a high risk you can create your revenue model accordingly.

Expense Tracking

As you are having a startup, you need to have a one-time investment that is essential. Meanwhile, if you invest your time and money in business, you need to be aware of how you use the resources. Overvaluation of your expenses may cost you.

A business plan helps you to track your expenses, as an effective business plan should be the one where each and every detail of the business is precisely mentioned. It also helps you provide a clear picture of how you can expand your business further.

So now you must be having enough awareness about how important a business plan is, as so many crucial factors can be determined and avoided from your business plan itself. So, instead of failing later, learn from the common mistakes that a startup makes from the beginning itself.

FAILING TO SET SMART GOALS

Goals are the roots of a good startup, in order to have your goals set clear, ask yourself these questions.

• What is my purpose for having a  startup?

• Does my startup has  a good proposition/4

• Is there a scope for growth That I see in the near future?

• Will I be able to devote my time and money here to my startup?

• Am I really committed to my startup?

• What improvements do I need to make my startup a great one?

Start asking yourself these questions in order to set the right goals.

What does this SMART refer to?

• Specific

• Measurable

• Achievable

• Relevant

• Time-based goals

Use this to brainstorm and come up with an amazing idea for your business.

FAILING TO ASK

Ankur Warkoo said ‘ If you don’t ask, the answer is always No’

Understand the fact that if you are going to have a startup, you can’t manage all operations on your own, you may be the founder of your business, but you can't possess every skill. You tend to outsource and delegate the non-core tasks to different people, so you need to ask people to become your business partner, to work as an employee, join your organization, or work as an intern.

But for any of this to happen, you need to ask people, as a startup don’t hesitate to ask for help, it is never wrong to reach out to people.

FAILING TO LEVERAGE TECHNOLOGY

Technology is one the useful assets if used in an efficient manner, but COVOID- 19 has given a boost to many corporations and organizations to leverage modern technology. It becomes very important to leverage advanced technology in business as Everything that exists on digital platforms grows. It is very important for a startup to start building its online presence as quickly as possible.

FAILING TO BUILD A GOOD NETWORK

A distribution channel or a marketing channel is very important when you plan to have a startup. Marketing is the essence of any business, without marketing none of your products or services are sold. You engage, bring, keep, and retain customers through effective management. Start learning about how to do marketing in the best way and most reliable manner to get customers and build a good brand.

STARTUP MISTAKES TO AVOID:

We have understood the startup mistakes but we should make sure that we don't do the same, so let us see the mistakes that we need to avoid:

Creating a Plan B

Suitable alternatives are always an essential essence of every good business. As a startup you should make sure you have a financial blueprint, a financial blueprint is an alternative that helps you modify and change your plan structure if the existing plan doesn’t work.

A business contingency plan, helps you have continuity in your business. It decreases the risk of your startup being declared a failure. If you have a plan B, that is an alternative plan for your business it helps you become more futuristic and overcome financial crises too.

Develop Management Skills

An effective management system is required to implement the plans of any business. Lack of effectiveness in management often leads to failure in any organization. Make sure you inculcate the best management system in your organization.

An effective management system comprises a set of certain tools, techniques, and methodology that helps an organization to run on a smooth scale and progressively. In order to possess good management skills study and read the case studies of successful startups.

Hiring Potential

When you startup, you require a few people with a  skillset and potential to work and help you. You need to be very precise and aware of who you hire for your business because it would play a key role initially.

The efforts they will be putting in to help you grow will determine your growth. So make sure to bring the right passion to your business.

Many companies filed for bankruptcy during the pandemic. So, if you plan to have a startup be aware from the very beginning of the dos and don'ts of business. It helps you have a clear path on a road map towards success. I hope you will have a great startup and turn out into a successful business. Good luck!

If you want to learn about increasing your productivity while working you can refer to the 80/20 Pareto Principle:  https://lifeestartup.blogspot.com/2022/06/8020rule.html