Tuesday

Mistakes To Avoid When Starting Up

Are you thinking about launching a business or venture in the foreseeable future? Should that be the case, this list is worth going through. It details 10 of the most common mistakes that budding entrepreneurs make, in the hope of letting them avoid these pitfalls and shoot to the top, or make it to the second year in business at the very least. The full list, incidentally, can be found here. Check it out for a comprehensive elucidation as regards each point. In my case, I have appended my own observations at the bottom.

1) Not enough money.
2) Not thinking survival.
3) Losing momentum.
4) Doing it all alone.
5) Not hiring right away.
6. Doing it just for the money.
7. Getting to year 1, past year 2.
8. Don’t build around a customer.
9. Don’t seek mentors.
10. Don’t get involved in the community.

Points number 4 and number 9 highlight the importance of resorting to those who have that more experience. It has nothing to do with showing weaknesses or anything like that, it is just a matter of admitting that one has some limitations that can be overcome with the help of individuals that are more knowledgeable. Admitting you have something to learn from others is actually a sign of strength as far as I am concerned, and it is something that every entrepreneur has to consider.

Other points are obvious, yet equally important – running out of money, for instance, is the chief reason businesses have to close shop sooner than expected. There are more ways than one to keep going like bank loans and private investors. Another option is starting up on a part-time basis, and then chuck your job in once you realize your new venture is a sustainable model itself.

I would like to end by drawing your attention to point number 6: doing it just for the money. Of course, money is there. It is the reason you have embarked in such an experience to begin with, but if you think only in $$$ you are bound to wake up one day and wonder “Why am I doing this?”. Gratification is felt not only in your wallet; it is also felt in your bosom. Keep that in mind all the time, and remember that business are business indeed, but there is no viable business model without an inner gratification that lights the original fire and makes it burn stronger and brighter.

• Paul Graham: How to be an Angel Investor
• Elon Boms Talks Venture Capital
• 4 Steps Towards a Successful Solo Entrepreneur Experience
• Inside Angel Investing
• Jeff Stewart on Venture Capital
• Small is the New Big
• To Fail Or Not To Fail
• Jon Bischke’s Advice for Young Entrepreneurs
• Unconventional Ways to Fund Your Startup
• Startup Procrastination