Mistakes That Can Easily Kill Your Business
Mistakes are bound to happen sometimes, some can have little effect but others have great consequences. So it is important that every business owner is cautious in running their business. This is why we have come up these five mistakes that every business should a void.
#1. Ignoring critics
Criticisms are not very easy to deal with especially if they are harsh, after all, nobody likes to be told they’re wrong or doing poorly, but then again, criticism can be a good thing. A good professional is able to take criticism on board and not respond as though it’s a personal attack. Constructive criticism can guide you away from bad practices and towards good ones. Always see positive criticisms as a competitive advantage and a stepping stone to make you better and improve.
#2. Lack of Focus
Lack of focus is one of the fastest ways to ruin your business. Sometimes, when you’ve launched your business other opportunities begin to surface. At this point it’s really important to concentrate on what you’re doing so you can give it your best and possible get the best results. One mistake that most people do is waste time and resources chasing after all the things they believe will bring them money. Focus on what will make your business the MOST successful not trying to do everything at the same time.
#3. Not managing your costs
Take the time to know what it costs to run your business. Expenses that are not moving the company forward have to be adjusted or eliminated. Having said that, it’s very important to always analyze your cost so you can determine your profit and to know what to charge. Bear in mind that your cost should be determined based on everything your business spends on so someone else’s labor rate, unit price or markup might not work for you. So learn how to properly calculate your costs to avoid costly mistakes.
#4. Lack of structure
When your business is growing, having a good structure is key. It’s something that every business should be well prepared for. Hire the right people, give them the responsibility and authority to do their jobs and get out of the way. You need to make sure that everyone understands the culture and represents the values of the company in the proper way.
#5. Cutting Down On Marketing
Some experts say never stop marketing unless you want to be forgotten. Even when things are going bad, and you need to cut down on certain areas, find other areas you can cut, but don’t cut down on marketing. Everything you’ve ever spent or done to give your company a brand name or recognition gets flushed down the drain when you stop marketing. Marketing is like the backbone of every business.
In every business, mistakes can happen and to an extent you can get away with them. However there are some mistakes that are very deadly and can cost you your business. Recognizing and addressing these deadly mistakes is key if you want to remain successful.
