In the current economic climate, more and more people who have lost their jobs are considering or have actually started a business. Since young entrepreneurs need all the help they can get, here are ten tips you should take into account if you are just starting a business.
Many entrepreneurs start feeling the need to jump at every opportunity they meet. Opportunities are often wolves in sheep’s clothing. Avoid distractions from initial business plan. Juggling multiple associations or partnerships will diminish and limit both efficiency and productivity. Make one thing perfectly, not ten things poorly.
2. Know your business
Do not just start a business because it seems cool or because it might bring big profits. Do what you love. Businesses built around such values, of talents and strengths of the entrepreneur, will have a higher chance of success. It is not only important to create a profitable business, but it is also important to be happy with it. If you are not psychologically involved in the business, it will not be successful.
3. Know someone who knows what you don’t
Nobody knows everything, so do not look like a know-it-all. Surround yourself with advisors and mentors that will help you become a leader and a better businessman. Find successful people whom you share mutual interests and business objectives, people who see the benefits in working with you on the long term.
4. Always act like a startup
Forget about fancy offices, fast cars and expense accounts. Practice and perfect the art of being humble. Look at every penny and check three times every expense. Maintain a low budget limit and manage cash flow effectively.
5. Learn from mistakes
No business book or business plan can predict the future and neither can it fully prepare you to become a successful entrepreneur. There is no perfect way to have a profitable business. Never jump straight into a new business without proper planning. You will become an entrepreneur only when you have tested the market directly and experience your first problems in business. The most important thing you can do is to learn from your mistakes and never make the same mistake twice.
6. Nobody will give you money
Nobody will invest in you, in your business idea. If you need large amounts of capital to start, turn around the business plan. Find a starting point rather than an end point. Reduce costs and big plans. Simplify the idea. Find ways to implement a business idea on a small budget. Prove that the idea can be a successful business before asking for an investment. If the concept is successful, the chances to raise capital from investors will improve significantly.
7. Pay attention to personal health
We promise you that you will be more productive when you take better care of yourself. Entrepreneurship is a lifestyle, not a desk job from 9 to 5. Working to the point of exhaustion will make you less productive. Do not find excuses. Eat healthy, exercise and find time for you.
8. Be modest and tasteful
Impress through actions, not talk. Avoid exaggerating the truth and promoting ambitious targets as certainties. Modesty is good in business.
9. Know when to put an end to the relationship
Contrary to popular belief, a captain does not go down with the ship. Do not go on crazy missions for the sake of your ego. Figure out when it is time to leave. If the initial idea does not work, think about what went wrong and the mistakes that were made. Judge what you could have done differently. Determine how you will use this hard lesson to prepare for future entrepreneurial plans. Failure is inevitable, but a true entrepreneur will triumph in the face of difficulties.
10. Do not make decisions when you’re under pressure
Never take important business decisions when you are overwhelmed by emotions. Get away, take some time off and think about what you need to accomplish. Then realize what steps you need to take to make it happen.
So, if you are planning to start a business, make sure you follow the tips mentioned above. We are not saying that they can guarantee success, but they can represent a good start in being part of the business world.