8 Common Pitfalls Small Business Start-up should Avoid

Every one particularly today’s youngsters dream is starting a business, considering the current unemployment crisis. However this is not always easy. Due to multiple things to think and decide, you may be forced to make a poor decision that can hurt your potential for success, or at least set you back.

While there isn't a fool-proof plan to reach small business start-up success, there are several common and dangerous pitfalls small business owners should avoid. Otherwise these can negatively impact their businesses.

Here are 8 of the most common pitfalls to avoid as you start your small business. ?

1.     Lack of proper planning

People may overlook the proper planning as this may be tedious, but they will start business with plans which may lack the proper research on potential, competition and lifespan. May be the plan will work on short term basis but in long term it is like as if you are operating in the dark even though outside is shining. To be successful, prepare a detailed business plan by carrying out the systematic market study and research.

2.     Goals are not SMART  

With Goals, you can get direction when you first start your business, then keep you on track during the day-to-day operations. But this is only for survival and once a crisis occurs there is possibility of failure. Make sure that your goals are SMART will help you to reach where you want. You can definitely overcome any crisis with SMART goals.

3.     Undervaluation

Due to fear of failure and lack of self-confidence forces us to under-value our products and services. By treading this dangerous path for short term, we undermine the unique value we bring to the table. Recovering from undervaluing goods is a not an easy process and takes long time. Explore the market thoroughly to identify the best price entry point for what you're selling.

4.     Assuming business is automatic

Many small business owners believe that they need not spend time and money on marketing. They assume that business will be automatic and not necessary. This is a dangerous pitfall and will hurt you in long run.

The business owner should decide the best type of marketing for you depends on your business and your target audience.

5.     Lack of Ideal Customers

The small business owners create the marketing budget but they never focus on their ideal customer base. Without proper marketing campaign, it is difficult to identify the ideal customers, without which we can’t achieve the dream.

Focus the marketing campaign to identify your ideal customer. They will help you to create a successful business

6.     Lack of control on spending

Starting a business doesn't require a large investment. But some new business owners spend to purchase the best of the best everything which is not required even though there is less expensive but equally viable options available. Few others wouldn’t even spend for basic necessities and treat them as unwanted. They never foresee the benefits of these necessities.

Either of them is bad for business as we are in start-up phase where focus should be on developing the business. The best way is to create and stick to a budget set as per business plan

7.     Treat as super hero

A small business owner always treats themselves as superhero by willing to learn how to be a jack of all trades. Delegation is the best ways to build their businesses, free up their time for business activities and build a team for future success.

8.     Not Making a Commitment

Starting a business requires key skills like drive, dedication and commitment. By not making serious commitment, the small business owners failed to live up to the expectation.

They need to make sacrifices, put in the efforts and time. Also they have to encounter the challenges if they want to be successful.

We all make mistakes. The key is being aware of them and consistently working to make smart, well-informed decisions in your business based on learning. By taking informed decisions factoring the learning and remain resilient during failures, we can reach the height of success soon