As a new entrepreneur, it is often difficult to parse through all the advice received from fellow business mates and to determine what truly applies to the business start-up.
With all the views and noise around you, it is possible to feel overwhelmed and more confused. To help new entrepreneurs parse through this, here are some unhelpful insights to 10 common business start-up tips that do not need to be followed when launching a business.
The Customer Is Always Right
As much as customer satisfaction is important, they might also not be right all the time. No one is supposedly an expert on everything. Some of the times, the arisen conflicts and issues require a proper approach to solving them. When conflicts arise 99% of the time, the client understands the issue and works on resolving the issue together.
If You Are Failing, Fail Fast
If the globally renowned entrepreneurs and businessmen/businesswomen, heard this piece of advice and acted accordingly, they will never have been where they are today. A business is bound to face several obstacles on the way but the magic happens when the entrepreneurs are able to detect where they are failing at and adapt the hurdles. In this fast-moving world, businesses need to adapt quickly to the market, that’s where the success lies.
Raise Money, Burn It And Grow As Fast As Possible
It is often heard that successful business start-ups raise money fast, burn it down and grow as fast as possible. This is a rule often accepted by the founders of companies. However, following this can fail the business as it raises a huge amount of money too early, bloat its expense budgets before product-market fit and fail to grow as fast as VCs expect them to grow.
Give Away Your Product To Get Early Customers
This piece of advice may work for some consumer start-ups but giving away the products of a company at the start-up, can hurt the company is more ways that the folks recognize. By doing so, it is said to devalue your product, lose the opportunity to evaluate a customer’s true willingness to pay and push you down the path of building a product for the wrong customer.
Looks are Everything
It is often heard that good product design is the lynchpin to success. Designs are an important part of the puzzle. However, what is important to note here is that a start-up company needs to be sure of what the customer wants more, over a seamless design of the webpage, etc, because otherwise running out of business is the closest option. Focus on a large market you know well and do testing, testing, and even more testing until you know what people want. Then you can build a beautiful product.
Must Choose Between Your Business And Family
Entrepreneurs, often females are told to choose between business and family. This is a start-up tip that should not be followed. Today we have a huge percentage of women dominating the business industry and so many of them have inspired starters with their balanced life of family and profession. After all, that is what true success is all about. Create a seamless work-life integration where your passion intersects with your personal life instead of having them weighed against each other. Never let anyone tell you that you can’t have it all. It is possible.
One start-up tip that a beginner could ignore is seeking for investors. This process is often too time-consuming for a beginner and while on it, the companies’ cash flow could possibly suffer. Many new companies have gone broke while waiting for adequate funding from banks or other credit institutions. It is better to opt for microlenders as they are more mission-based than profit-based.
Follow Best Practices
Some practices must be done exactly, like accounting and legal work, but you should trust your gut when it comes to determining the best way to run your own business. Best practices are a guideline, not a strict set of rules.
Move Fast And Break Things
Things that are executed well tend to have staying power and long-tail implications. It is always beneficial to provide and imagine the various problems that can arise when a client or even ourselves want to do something too quickly. It’s a good balance to have for a CEO like me and many of my fellow entrepreneurs who always want things done yesterday or faster.
Fake It Til You Make It
Too many people take “fake it ‘til you make it” to mean that you should pretend to have competencies you don’t actually possess. In the hothouse environment of a start-up, this ruse will quickly become apparent to your team and your investors. Not only will this dishonesty harm your reputation, but pretending to “know it all” also impedes you from seeking guidance in areas where you lack proficiency. Typically, this leads you to overpromise and underdeliver—a recipe for failure.