07 Nov Five myths of business start-ups
There are numerous myths when it comes to business start-ups. While some of these are harmless and can be quickly dismissed, others can be damaging to the potential success of your future venture.
So, what are the top five myths of business start-ups and what are the truths you have to realise?
1. You can have better working hours
While some business start-ups can enjoy fairly good working hours, the truth is that most sole traders and business owners work long hours. More than a third of business owners work more than fifty hours a week.
There are things that can be done about this, such as outsourcing certain functions like accounting, payroll and marketing. However, don’t think that you can have more time off just because you’re working for yourself.
2. Business start-ups have lots of money
Many businesses fail because they don’t have the financial backing they need. Often this is because business owners overspend at the beginning of the business’ life. Every business owner needs to learn that funds are not limitless, you still need to watch your spending.
Of course, this doesn’t mean that you shouldn’t stop spending. There are important investments that you have to make. You just have to be sure your investments are worthwhile.
3. Sales come instantly
When starting out in business, many entrepreneurs believe that sales will start straight away. This is a false assumption. It can take weeks, if not months, in order for you to get your first sale.
If you’re an online eCommerce business it can take six months for Google to start ranking you, assuming that they rank you on the first page, which is unlikely. Therefore, don’t rely on sales for at least three to six months. Make sure you have your living and business expenses covered during this time, from other means and in full.
4. Marketing will guarantee you results
Not all marketing is going to grow your business. While social media, Google and print advertising are all advertised by businesses as being successful, the truth is that some won’t work for your business. Or, they could bring in some sales, but the long-term financial implications are a loss due to the expense of marketing.
Be cautious with marketing your business and remember the best marketing is free or in-person. Business networking is one of the best ways to generate sales early.
5. Everyone will see you as an expert
You might have years of experience but that doesn’t mean that people are going to believe you’re an expert. Don’t assume that others will know about or recognise your knowledge.
Prove your expertise by getting your name out there, speaking at events, writing articles for publications and your own website. Let everyone know you’re an expert by demonstrating your knowledge, not by saying you’re a business owner.
Owners of business start-ups often fail because they assume some unrealistic myths that state their business will be an unrivalled success. While this can happen, it’s usually because of hard work and wise investments that have led to business success.
Often these business owners also have the support of other experts like accountants, consultants and others around them to help with important decisions.
If you want to discuss how we can help you as a small business or startup, then please get in touch. We’d love to hear from you.