Updated: Jul 30, 2022
Owning a small business can lead to greater job satisfaction and financial freedom. But when it comes to entrepreneurship, there are a few steps that shouldn’t be skipped in order to turn your idea into a thriving success. So, if you’re about to launch your own small business, read on to avoid making those common mistakes.
Neglecting to Draw Up a Business Plan
Once you have an idea for a startup, your next step should be to come up with a business plan, especially if you’re thinking of taking on partners, or if you’ll be looking for investors to finance your startup costs. It doesn’t have to be a thousand pages long, but it should outline the main aspects of your business, such as who owns it, its structure, what type of products or services it provides, and how you’re planning on marketing and advertising it. It should also contain financial information to draw in potential investors, as well as your expectations for the future in terms of revenue.
Neglecting to write a comprehensive business plan can make it more challenging to reach your financial goals, find the right partners, and even make the right business decisions since you won’t have a “roadmap” to guide you.
Not Investing in Accounting and Bookkeeping Software
If you’re not accurately tracking your expenses, revenue, and payroll, you’re putting your business at risk. By investing in software for your bookkeeping and accounting, you’ll be able to view all your financial statements and balance sheets on one platform which will keep you organized, and you’ll be able to gain cash flow insights. This software will also make it easier to be compliant come tax time and pay your bills and employees.
Thinking You Can Do it All
Running a business isn’t just about coming up with an idea for a great product. It’s also about finding funding and resources to start your company, looking for vendors and partners, and reaching out to your target audience. Small business owners who think they can do it all often end up resenting having to wear so many hats, and what started as a passion project can soon turn into an endless list of unpleasant tasks to accomplish.
So if you feel like some jobs could be better handled by professionals, hire some freelancers for these tasks. Clearly explain what position you’re looking to fill, how much it pays, if the position is short-term or long-term, and if you’re looking for employees or independent contractors, and find the best candidates for you.
Not Researching Your Target Market
In this digital age, it is critical for small businesses to engage audiences across multiple channels in order to develop brand awareness which will ultimately lead to sales. But with so many social media platforms vying for people’s attention, how do you know which ones to focus on to reach your target market, and what kind of content you should deliver to your potential customers?
You may end up spending time and money on the wrong target if you forgo the market analysis part of the process. So start by looking at your existing customer base, and come up with a profile for your ideal client. Then, research your competition and look at what kind of marketing strategies they use, and see if you can respond to a need that they aren’t meeting in order to create your own niche market.
Spending Too Little on Marketing and Advertising
When you’re just starting out as an entrepreneur, your first instinct may be to save money wherever you can. But you definitely shouldn’t be cutting corners when it comes to advertising and marketing. After all, what good will it be to offer the best product in the world if no one ever hears about it?
If you don’t know where to start when it comes to advertising your products or services, consider hiring branding and marketing professionals like Justork Lifestyle who can help your business stand out from the competition. Advertising experts will ask you the right questions that will lead to a better understanding of your core values, what makes you different from your competitors, and what you want your customers to feel about your brand. They’ll then develop strategies to advertise your company and help it reach a broader audience.
Your branding efforts should focus on all elements of your business—even your invoices. Once you and your marketing team have developed a branding strategy, you can create branded invoices using an online invoice maker. Choose a template and then create a customized invoice by adding your logo and any colors or background that suit your marketing strategy.
Get your business up and running by avoiding those pitfalls. Find partners that share your values to help you reach your goals. Then, take time to celebrate your success!
Interested in building your brand and online presence? At Justork Lifestyle, we specialize in branding, promotional apparel, social media marketing, custom websites, logo design and more!