Waiting too long to hire employees. If you are overworked and being pulled in multiple directions, you need to start seriously thinking about hiring employees.
Devaluing your services to make the sale. When first starting a business, it is common to be unsure of your pricing and discount yourself in an attempt to make more sales. You need to be confident in your services and price them competitively within your industry and target market.
Not knowing your numbers. Many small business owners don’t know their numbers. Shark Tank’s Kevin O’Leary (better known as Mr. Wonderful) has chewed out many entrepreneurs for not knowing their numbers.
Trying to be a Jack-of-all-Trades. One of the biggest mistakes when you start out is trying to do it all. Budgets are tight, and you can’t afford to hire people. But as you grow, remember that you can’t be an expert at everything.
Not having a long-term plan and goals to work towards. It is common for small business owners to take it day-by-day, but you need goals to work towards.
Not understanding insurance needs. Quickly find an expert to walk you through the insurance and liability needs for the type of business you are starting.
Trying to juggle too many tasks at once. Every small business owner runs into this problem at some point.
Failing to invest in the right people. Investing in the right people is no easy task. (Notice I said investing.) One of the biggest mistakes business owners make is looking at their team as simply a cost.
Forgetting to stay ahead of tax liabilities. As businesses grow over time, many owners fail to keep a close eye on new tax responsibilities.
Poor cash-flow and accounts receivables management. Most people who start a business aren’t from a financial background (and that’s OK). A business owner has so many things to take care of (sales, vendors, etc.) that many times making sure that you have sufficient fund in the account or sweep your accounts receivables for any unpaid balances isn’t a priority until your bank calls you or payments bounce.
