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Top 5 Mistakes Successful Entrepreneurs Learn to Avoid



Top 5 Mistakes Successful Entrepreneurs Learn to Avoid

There are some unavoidable mistakes that may cost your company dearly, however, seeing as how they are, indeed, unavoidable, the key to success lies in not allowing yourself to make them twice. Some even manage to skip this ‘unavoidable’ part by learning from the mistakes of others. Either way, here are some tips, pointers and red flags that should help you with any potential damage control and allow you to avoid these mistakes without suffering from them in the first place.

Worrying about the wrong people

1.Worrying about the wrong people

The first thing you need to understand is that not everyone is going to like you. Fortunately, not everyone has to. Your team has to look up to you for guidance and your clients, suppliers and partners need to trust you. As for the ‘liking’ part, the truth is that it’s quite abstract, hard to quantify and, at the end of the day, completely irrelevant. Haters will be haters and there are always going to be some people who are envious of your success. After all, high achievers always know how to handle these people. Seeing as how you’ll already be under a lot of stress and have too much on your plate, the key lies in not wasting too much time and energy on these people.

2.Developing a gambler’s mentality

What this means is that you get emotionally driven when making important decisions. You see, once you start losing a lot of money, you’ll be reluctant to call it quits, seeing as how you might still hope that your luck will turn and that all of that effort, time and resources invested won’t go to waste.

A similar thing happens when you start profiting greatly, seeing as how you’ll be reluctant to call it a day. The best way to handle this is to set a stop or gain order, in order to automate this process, thus making it much less biased.

Developing a gambler’s mentality

3.Ignoring the power of infrastructure

Making plans without checking the infrastructure that you’ll have to work with can be a devastating mistake. Imagine a scenario where your entire production depends on a sophisticated, expensive piece of machinery that your power grid just can’t handle. In other words, what you need to do is consult a power quality logger before you make any move in this direction. Other than this, access to roads, reliability, and speed of local broadband and similar factors play as big of a role. The relevance of this, on the other hand, depends on your industry.

4.Making promises that you know you can’t keep

Another major mistake that you could make is to start saying yes to your clients even when they ask you for something you know is impossible. Some first-time entrepreneurs have a problem attracting clients. So, once they start getting more work than they can handle, they’ll be reluctant to refuse anyone, fearing that turning down a client might, once again, take them back to that humble starting point. As a result, you let people down, pay fees and penalties for failing to complete a task that you’ve committed to and earn a negative reputation. This last part is particularly harmful to your brand. Therefore, saying no, outsourcing or postponing are all much better alternatives.

Not preparing for success5. Not preparing for success

Growing too fast can be a serious problem if you’re not ready for it. Previously, we’ve discussed one potential danger of an increased workload but there’s so much more to consider. At times, this increase will be merely a fluke and if you overinvest, you might find yourself in a downward spiral. The majority of entrepreneurs have a plan B in case things go worse than expected. However, what about a plan when things got better, much better than you’ve anticipated?

The final word of advice is to try and maintain a realistic image of your business. Both overestimating and underestimating it may be equally dangerous, so you need to steer clear of both. Other than this, you need to do your research, take steps of precaution whenever you can and base your decisions on facts rather than emotions. You can use these tips as your learning curve to ensure the easy and permanent growth of your business.

Diana Smith is a full time mom of two beautiful girls interested in social media and latest business technologies. In her free time she enjoys exercising and preparing healthy meals for her family.