On The Way To Wealthy: What NOT to do in Business
Sure, these are mostly no-brainers, but people make these mistakes every day.
Carlee McCullough | 7/10/2015, 2:10 p.m.
What not to do in business
The path to success is full of peaks, valleys, twists and turns. While a great deal of winning in business revolves around knowing what to do, a greater deal of winning is based on what not to do. The most successful entrepreneurs are those who have suffered some sort of failure along the way.
Very few folks win on the first try. But those who are focused, diligent and determined have a better chance of success than those who give up at the first sign of trouble. Let’s discuss eight things we should make every effort to not do in business.
1. Starting a business without enough money
The truth of the matter is that most businesses start without enough money. This is one of the primary reasons for failure. One strategy in business is not having the expectation that you will not run out of money, but having a plan of what to do when you run low on funds. Identifying and securing additional funding should be done when you have money, not when you need it.
2. Not Having Plan B
A successful business requires flexibility and numerous “Plan Bs.” Lack of flexibility has been the cause of many business failures. Unexpected bumps occur daily with entrepreneurs and plans need to sometimes morph to meet the needs of the day. The requirement for change does not necessarily happen because of failures in the business plan.
3. Hiring family instead of qualified non-relatives
Many entrepreneurs have the dream of creating a multi-million dollar company so that the owner can provide for his or her family. The dream may even encompass providing employment for family members. There is a time and place for family and friends to contribute to the success of the business. Now it is truly understandable if the budget does not allow for hiring Harvard grads. Family is there to help bring the dream to life. No disrespect is meant for family. But sometimes the timing is not right to include family – because a different level of expertise is required. If and when the budget allows, go for the expert and bring in family for the positions they are best suited.
4. Seeking “Yes Men” instead of truth
We all want to be right and need the assurance that we are taking to right path. But it is far more critical for an owner to create a team that will be honest and provide truthful feedback in the business. Some employees will always agree with the boss simply for favor in the workplace. These employees are not necessarily good for business. While most folks have opinions, an owner should listen for positive, helpful advice.
5. Moving in too many directions at once
With a business plan in hand, an entrepreneur is ready to take on the world. Frequently, those plans are so full of products and services that it is difficult to determine what is core. In the beginning of a business, the direction should be straightforward and not scattered. Too many products and services create an environment where the staff and resources are stretched too thin, which results in a lack of vision for the business.