7 Things To Avoid Before Starting A Business
Things to Avoid Before Starting a Business: What should you avoid before starting a business? Keep reading to know what to prevent your new business from flourishing.
With Nigeria’s current economy and, of course, global inflation caused by COVID-19, virtually everyone now explores the idea of a “side agitation” to get extra income. This has become something, and almost everyone you know is selling something, right? And you are thinking that maybe it should too, and that’s absolutely great.
However, if you plan to start a business or have one, but things are not doing so well, this article is for you, as it will address things to be avoided as a potential or new entrepreneur.
Table of Contents
Things to Avoid Before Starting a Business
If you plan to start a business, there are certain things you should avoid. This section will show some things to avoid before starting a business.
1. Noting Having a Business Plan
The first mistake we believe a lot of potential and new entrepreneurs make is to advance without a business plan. Any business without a plan will probably fail sooner or later, so it is important to create a business plan that can be temporary before you get a more detailed and professional plan.
• Why is having a business plan important?
Having a business plan is crucial as it provides a roadmap for your business. It helps you define your goals, target audience, marketing strategy, and financial projections. Without a plan, a business is more likely to face challenges and may fail sooner or later.
2. Inadequate Financial Resources
I know you’ve heard about “start a business with what you have now.” Although this may seem convincing, it is equally important to take into account your financial strength before starting a business.
The essence of starting a business is to add value and also make money, right? Therefore, if you are not yet financially there, do not overwhelm with unnecessary pressure.
However, you should have enough money to put the business in operation at least in the first 6 months or up to one year.
• Why is an inadequate financial resource a potential pitfall?
While the idea of starting a business with whatever resources you have is common, it’s important to consider your financial strength. Inadequate financial resources can lead to unnecessary pressure and hinder the business’s ability to sustain itself. Sufficient funds for at least the first 6 months to a year are recommended.
3. Not in Love with Your Niche/Product/Service
Don’t start selling a product or service because everyone seems to be selling. Avoid venturing into a business because at the time people keep saying it’s lucrative.
As a potential entrepreneur, find your niche and make sure it is something you like or like to sell. This makes marketing without sewing.
Some argue that this is not important, but I beg to differ. This is because, in many cases, people have chosen to leave their business for lack of passion for it.
• Why is passion important in business?
Passion is crucial because it keeps you motivated and engaged in your business. Starting a business solely for profit without genuine interest can lead to burnout and lack of commitment. Being passionate about your product or service makes marketing more effective and enjoyable.
4. Not Defining the Right Price
As a potential entrepreneur, it is important to learn about prices. You may think you know what you are doing, but you may be doing it wrong.
Do not define your price based on your competitors. If you are pricing your products or services without a professional guide, this is your suggestion for talking to a guidance expert.
5. Not Specific About the Business
This leads us to intelligent analysis in business, which is specific, measurable, achievable, relevant, and limited or timely. If you start a business without being specific about how much time spend with it in one day, it will be difficult to measure or track the time you spend every day.
Be sure to set goals for yourself. This makes it easier to know if your business is progressing or needs new strategies to keep it alive.
6. Not Asking For Help
As a potential or new entrepreneur, you will need to ask for help from people who have been in business, and there is absolutely nothing wrong with asking for help. You can have a mentor or talk to a business consultant for support and growth ideas.
7. Do Not Take Online Marketing Online Seriously
The world is now global and with the change in physical stores visits to online shopping companies. Many physical stores are starting to explore digital space for engagement and generate more sales.
Social media marketing goes beyond being online to post your products. The use of social media marketing tools should not be neglected as it has become a big deal in society. Almost everyone is buying online, which is why companies are enjoying space online.
FAQs on Things to Avoid Before Starting a Business:
Here are some frequently asked questions on things to avoid before starting a business:
Is starting a business easy?
Starting a business is not easy, and it requires careful planning, financial consideration, passion, and strategic decision-making. While challenges are inevitable, avoiding common pitfalls can increase the likelihood of a business’s success.
What does being specific in business mean?
Being specific in business refers to setting clear and defined goals. The SMART analysis (Specific, Measurable, Achievable, Relevant, Time-bound) is mentioned, emphasizing the importance of setting specific goals, measuring progress, and tracking the time spent on the business.
Why is setting the right price important?
Setting the right price is crucial for the success of a business. Pricing should not solely be based on competitors but should consider factors like costs, value provided, and market demand. Seeking guidance from pricing experts ensures that the business establishes competitive yet profitable pricing.
Why is asking for help recommended for new business owners?
Asking for help, whether from mentors or business consultants, is valuable for gaining insights and support. Experienced individuals can provide guidance, share their expertise, and offer ideas for business growth. Seeking help is a proactive step toward overcoming challenges and achieving success.
Conclusion: Things to Avoid Before Starting a Business
Starting a business is never easy. However, this post revealed some things to be observed when starting a business. Do you have others? Share them with us in the comments section. In the meantime, you can read our blog to learn more about how to start Okrika business in Nigeria.
