Two of the Biggest Mistakes That Entrepreneurs Make
In the world of young billionaires and entrepreneurs, it seems easy to make it through the path of self sustenance. I mean Bill Gates did it, Zuckerberg did it, and they didn’t even have a college degree! Almost half a million businesses open up each month in the US, and we can always get creditors to sponsor our business startups, no? Well, here’s the flipside of the equation; an even greater number of businesses fold shop each month, with those who once dreamt of a successful business working at Pizza Hut to cover the vast debt that they accumulated.
Look, entrepreneurship may have its advantages, but it’s a risky road nonetheless, carrying more risks than an average 9 to 5 job. If you want to avoid the latter scenario, here are two of the Biggest Mistakes that Entrepreneurs make that you should avoid at all costs.
Not Understanding New Technology
The biggest mistake that entrepreneurs, especially older ones, make is not taking time out to understand developments in modern technology. Now this may sound pretty obvious in today’s technology oriented playing field, yet many prospective entrepreneurs do not have even the slightest understanding of how modern technology works, which in turn keeps them uninformed of the potential benefits it boasts. For example, social media sites such as Facebook and Twitter allow businesses to create an official page, post updates and reply to fans, all the while checking their click statistics. Using this service, a small business can eliminate the need for a dedicated customer service or a statistics department, as the business can reply to consumer queries directly.
This is just one example; there are many more technological innovations that can help a business keep costs low and to increase consumer base.
Giving Up Too Soon
This is the second mistake that new entrepreneurs make; giving up to soon on their dreams. With all the negativity and fear surrounding the economy today, many may start having second thoughts soon after. This may also explain why a higher number of businesses close within the first month as compared to the number of businesses startups in the same period.
What they don’t realize is that every new business idea, whether it was the iPod or Kleenex, goes through a rough patch commonly referred to as teething. This is perhaps the most critical period of a business’s life, as it burgeons and establishes its niche. It does mean that you’ll be suffering some setbacks, but that’s okay since it’s all a part of the game.
Just ask our late friend Henry Ford, who had to go through seven failed businesses before revolutionizing the automotive industry. Or how about the Father of our Nation himself, Abraham Lincoln, who was almost penniless after running a failed wood business. Heck, he was even rejected for being a land officer, being seen as incompetent, but he still got back up and managed to prove everyone wrong.