By Gwen Payne, Invisiblemoms
Starting a business of your own is an exciting professional milestone. However, entrepreneurship can be a tough road. Unfortunately, many startup owners make common errors that cost them time, stress, and money, jeopardizing their success. The good news is that, by doing your research, you can avoid these mistakes. Today, Massey Marketing Associates presents the most common entrepreneurial errors people make and what steps you can take to avoid them.
Selecting the Wrong Type of Business Entity
The type of business entity you choose impacts important business details, like how you're taxed. One popular business model for first-time entrepreneurs is a limited liability company, LLC. It helps to protect your personal liability, provides tax benefits, and is more flexible than other entities like a corporation. Every state has its own LLC regulations, so research your area guidelines before proceeding. To avoid a pricey lawyer, use an online formation service that’s already well-acquainted with how to launch an LLC to get started.
Using Your Own Money to Cover Startup Costs
Most businesses require some kind of initial investment. You may have to buy supplies, rent a commercial office space, and hire employees. If you have savings, you might consider paying for all of these expenses out-of-pocket. However, it's a good idea to hang on to your rainy-day fund.
Instead, look to external funding sources. Nationwide offers a roundup of feasible options, including crowdfunding sites, personal loans, bank loans, venture capital firms, and angel investors. If you plan to take out a personal or small business loan, be sure to check your credit report first. Lenders will use your credit score to determine whether or not you are likely to repay the loan. If your score is too low, your request will get denied.
Failing to Network
Marketing is an important part of your business success. You'll probably want to invest in cost-efficient marketing options, like blogging and social media. Another important marketing technique you shouldn't ignore? Networking. Connecting with other entrepreneurs in your field can provide potential clients and business partners. Also, look to connect with local organizations.
Not Using SEO with a Professional-Looking Website
In today's digital age, having a professional looking website and implementing effective SEO tactics are essential for any business that wants to succeed online. A website that looks outdated or disorganized can be a major turn-off to potential customers and can cause them to lose trust in your brand.
Additionally, without utilizing SEO, your website may not rank high enough on search engines, making it difficult for customers to find you. By investing in a professional website and learning how to implement SEO strategies, you can increase your online visibility and ultimately drive more traffic to your website, which can lead to more conversions and sales. Contact Massey Marketing Associates today to learn more about how we can help!
If you’re launching an ecommerce store, remember that your site must be user-friendly with customizable content, as well as a reliable payment section and behind-the-scenes data that you can analyze so that you can streamline your inventory and sales.
Not Obtaining the Necessary Expertise
In the digital age, cybersecurity expertise has become a necessity for operating a successful online business. With the increasing prevalence of cyber threats like data breaches and ransomware attacks, businesses must prioritize the security of their networks and data. One effective way to acquire the necessary expertise is by returning to school online for an Information Technology degree with a focus on cybersecurity. Such programs offer comprehensive training in network security, encryption, intrusion detection, and more, equipping you with the skills needed to protect your business from cyber threats. So, if you're running a digital business, explore the benefits of investing in cybersecurity education. It could make a significant difference in ensuring the longevity and integrity of your business in the digital landscape.
Not Creating a Schedule for Your Business Tasks
Starting a business means wearing many hats. Within a single day, you might take care of human resources, customer service, and marketing tasks—to name just a few. One major mistake entrepreneurs make is failing to stay on top of their diverse responsibilities. Pick a central scheduling tool and use it to keep track of tasks and deadlines. You can use your own free schedule maker that you download from the internet. Just pick a predesigned template and personalize the colors, backgrounds, text, and fonts.
Ignoring Your Company Culture When Hiring Employees
As your business grows, you'll likely build a team. Most people focus on hard skills when hiring employees, considering details like their educational credentials and experience. However, you also want to think about soft skills, like communication.
Additionally, it's important to consider whether people are a good fit culturally for your organization. Recruitee explains how to hire for culture, which starts with determining your company culture. Then, it's all about asking the right questions.
Trying to Do it All Yourself
Many entrepreneurs insist on maintaining strict control of their business and try to do all the tasks themselves. This can result in entrepreneurial burnout. Make sure that you're getting the help you need, for example by hiring employees as your business grows. There are also tasks you can outsource. Tasks that small businesses generally can outsource include bookkeeping, marketing, and general admin. Basically, you can outsource anything that isn't a core business competence.
Starting your own business is fun but there are also hurdles. The above guide outlines some common mistakes to avoid, like failing to keep a strict schedule. Be prepared to tackle these issues head-on to improve your odds of success.
Starting a business of your own is an exciting professional milestone. However, entrepreneurship can be a tough road. Unfortunately, many startup owners make common errors that cost them time, stress, and money, jeopardizing their success. The good news is that, by doing your research, you can avoid these mistakes. Today, Massey Marketing Associates presents the most common entrepreneurial errors people make and what steps you can take to avoid them.
Selecting the Wrong Type of Business Entity
The type of business entity you choose impacts important business details, like how you're taxed. One popular business model for first-time entrepreneurs is a limited liability company, LLC. It helps to protect your personal liability, provides tax benefits, and is more flexible than other entities like a corporation. Every state has its own LLC regulations, so research your area guidelines before proceeding. To avoid a pricey lawyer, use an online formation service that’s already well-acquainted with how to launch an LLC to get started.
Using Your Own Money to Cover Startup Costs
Most businesses require some kind of initial investment. You may have to buy supplies, rent a commercial office space, and hire employees. If you have savings, you might consider paying for all of these expenses out-of-pocket. However, it's a good idea to hang on to your rainy-day fund.
Instead, look to external funding sources. Nationwide offers a roundup of feasible options, including crowdfunding sites, personal loans, bank loans, venture capital firms, and angel investors. If you plan to take out a personal or small business loan, be sure to check your credit report first. Lenders will use your credit score to determine whether or not you are likely to repay the loan. If your score is too low, your request will get denied.
Failing to Network
Marketing is an important part of your business success. You'll probably want to invest in cost-efficient marketing options, like blogging and social media. Another important marketing technique you shouldn't ignore? Networking. Connecting with other entrepreneurs in your field can provide potential clients and business partners. Also, look to connect with local organizations.
Not Using SEO with a Professional-Looking Website
In today's digital age, having a professional looking website and implementing effective SEO tactics are essential for any business that wants to succeed online. A website that looks outdated or disorganized can be a major turn-off to potential customers and can cause them to lose trust in your brand.
Additionally, without utilizing SEO, your website may not rank high enough on search engines, making it difficult for customers to find you. By investing in a professional website and learning how to implement SEO strategies, you can increase your online visibility and ultimately drive more traffic to your website, which can lead to more conversions and sales. Contact Massey Marketing Associates today to learn more about how we can help!
If you’re launching an ecommerce store, remember that your site must be user-friendly with customizable content, as well as a reliable payment section and behind-the-scenes data that you can analyze so that you can streamline your inventory and sales.
Not Obtaining the Necessary Expertise
In the digital age, cybersecurity expertise has become a necessity for operating a successful online business. With the increasing prevalence of cyber threats like data breaches and ransomware attacks, businesses must prioritize the security of their networks and data. One effective way to acquire the necessary expertise is by returning to school online for an Information Technology degree with a focus on cybersecurity. Such programs offer comprehensive training in network security, encryption, intrusion detection, and more, equipping you with the skills needed to protect your business from cyber threats. So, if you're running a digital business, explore the benefits of investing in cybersecurity education. It could make a significant difference in ensuring the longevity and integrity of your business in the digital landscape.
Not Creating a Schedule for Your Business Tasks
Starting a business means wearing many hats. Within a single day, you might take care of human resources, customer service, and marketing tasks—to name just a few. One major mistake entrepreneurs make is failing to stay on top of their diverse responsibilities. Pick a central scheduling tool and use it to keep track of tasks and deadlines. You can use your own free schedule maker that you download from the internet. Just pick a predesigned template and personalize the colors, backgrounds, text, and fonts.
Ignoring Your Company Culture When Hiring Employees
As your business grows, you'll likely build a team. Most people focus on hard skills when hiring employees, considering details like their educational credentials and experience. However, you also want to think about soft skills, like communication.
Additionally, it's important to consider whether people are a good fit culturally for your organization. Recruitee explains how to hire for culture, which starts with determining your company culture. Then, it's all about asking the right questions.
Trying to Do it All Yourself
Many entrepreneurs insist on maintaining strict control of their business and try to do all the tasks themselves. This can result in entrepreneurial burnout. Make sure that you're getting the help you need, for example by hiring employees as your business grows. There are also tasks you can outsource. Tasks that small businesses generally can outsource include bookkeeping, marketing, and general admin. Basically, you can outsource anything that isn't a core business competence.
Starting your own business is fun but there are also hurdles. The above guide outlines some common mistakes to avoid, like failing to keep a strict schedule. Be prepared to tackle these issues head-on to improve your odds of success.
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