Owing a business is much more than thinking about the profit to be realised.
The eagerness to start or become an entrepreneur shouldn’t stop you from putting in place all the needed trainings, experience and even skills needed to avoid potential mistakes, which may lead to the death of the business.
The survival of a business is attached to how the business owner put in place all factors required to succeed.
It will then be useful to understand the 6 deadly mistakes small business owners make
1. Improper Plan: Like the saying goes, “Proper planning prevents poor performance”, while thinking of starting a business, it is important to draft out a SMART Plan ranging from financial, product and marketing plans.
Without a proper plan, you tend to operate in the dark.
Ensure you have it all planned out, considering the present and the future.
2. Poor Knowledge of Customers:
Your customers are the reason you are in business, and they form an important part of your business. Knowing them, their needs and preferences and the best way to satisfy them contributes to the success of the business.
You need to do some marketing analysis in order to identify who you are trying to reach, where you can find them, and how best to reach them.
3. Wrong Pricing Technique: Pricing, which is one of the vital marketing mix can mar or make a business.
Under-pricing your product will eventually affect the life span of your business and recovering from this can be daunting for business owners.
Setting a lower price does not necessarily attract customers, the quality of your product shouldn’t be compromised.
4. Poor Marketing Strategy: Having a great idea isn’t enough, knowing how to get your products to the market at the right time in order to make sales is paramount too.
You need to develop a strategy in line with your product that will give it a good and profitable shot in the market.
5. Poor Location: While starting a business, the location of the business also contributes a lot to the survival of the business.
Your product has to be in the right place at the right time. Your customers should be able to access your products when in need of them, this can be achieved by studying the environment to site your business.
6. Believing in Overnight Success: As a small business owner, you need to give your business time to grow. You shouldn’t be expecting an overnight success. More efforts must be put in place to achieve an overall success.
In conclusion, mistakes are bound to happen, but knowing how to identify them when they occur is key.
Also, as a startup, more than realising profit should be the goal as the behind the scenes that will contribute towards the growth of the business must be acted upon for all round success.