There is no magic bullet when it comes to taking the leap into being an entrepreneur but there are some steps you can take to avoid some of the pitfalls that have befallen those that have gone before you.
In my talking and working with those with the entrepreneurial spirit, there are a few “sins” I have uncovered during my conversations:
- They lack customer focus. You can’t rely on the idea that if you build something or offer a service that people will just flock to it. You need to focus on your ideal customer prior to even deciding to make the leap into business ownership. Who is your ideal client and what do they need… ie, what problem do they have that you can solve?
- The money in your bank account — especially if it’s borrowed or on credit cards — isn’t a measure of success. Yes, making money is great and will help you achieve other goals in your life, but if you’re leveraged to the hilt, and that is the reason you have money in the bank, you could be putting your business in a precarious position.
- Going it alone. Even if you don’t have the funds from the get-go to hire staff, you should at least have a “board of advisors” that you can bounce ideas off of. Individuals whose business savvy you trust and whose advice you may be willing to follow if you’re steering off course.
- Not making the investment in a good attorney and an accountant. While you may think you can’t afford to pay for legal advice or hand your books off to an accountant, you truly can’t afford not to have these advisors working for you. They can steer you away from risky investments and help keep your legal dealings in order.
What lessons have you learned on your road to entrepreneurship?