One of the biggest mistakes a new entrepreneur can make is trying to do everything on their own. It may seem like a good idea at first, but as your business grows and becomes more complex, it becomes impossible for a single person to manage every aspect of the company. Eric Porat is a successful entrepreneur, investor, and online digital marketer with more than 15 years of experience buying and selling websites. The first step in choosing the right business partner is to understand that the business partnership is like a marriage.
That means there will be misunderstandings and fights, but they are necessary. However, you must realize that misunderstandings must be addressed logically. So it's essential that you set the right expectations on day one, so you both know what to do. Lack of planning is a formula for failure, but over-planning can also lead them down the same path.
In fact, too many plans can be a burden for you. On the other hand, a good plan is always something that leads to a decision. So how do you draw up a plan that leads to clear decisions? Focus on a few key topics instead of addressing all of your potential problems right away. Reinforce the areas that already generate revenue for the company before moving on to minor issues.
If you expect immediate success from your business, then you're setting yourself up for disappointment. Yes, it's great to have the confidence and drive needed to succeed quickly, but you shouldn't expect these results right away. It takes a long time to grow a business. Making money with a company takes even longer.
Starting a business is a challenge, but there are many areas you can focus on to ensure that your company stays afloat beyond the first year and continues to be successful. We asked several small business owners and executives to share 20 mistakes that new business owners should avoid when starting their companies. According to the Bureau of Labor Statistics, more than 18% of new businesses fail during their first two years of operation and more than 55% of companies don't survive beyond the fifth year. So how can you successfully launch and manage your startup? We contacted hundreds of small business owners, growth strategists, financial advisors, legal experts, and business consultants to compile the 20 most important mistakes that startups make so you can avoid them when starting your own business.
The COVID-19 pandemic has posed an additional challenge for new business owners. Safety measures, such as masks, hand sanitizer, and plexiglass separators for staff and customers, can be expensive. In addition, at the start of the pandemic, lockdowns reduced spending, which proved to be a challenge for small business owners.