The Biggest Business Mistakes To Avoid

1. Sticking With The Game Plan

The original plan for your business will NEVER work out. Your business will change 50 times over before you get things right, so don't stay static, be dynamic!

Thanks to: Danny Wong of Custom Dress Shirts | BL.

2. Don't Plan for Failure

Failing to plan is one of the biggest mistakes new business owners make. I work with a number of small businesses every day and the one thing that leads them down the wrong path is failure to plan. If you do not have a plan in place and attainable goals you will never know when you have reached them or if you are on the course for success or failure.

Thanks to: Shannon Myers of Walton Search, LLC.

3. All things to all people

"Narrow your focus to broaden your appeal" -- customers value specialized expertise; identify your ideal client and go out of your way to deliver value of meaning to them.

Thanks to: Oana Hogrefe of Oana Hogrefe Photography.

4. Don't Do What You Can't Do

Everybody is good at something...and not-so-good at something. Non-entrepreneurs get jobs that play up their strengths, not their weaknesses. We, on the other hand, turn our strengths into a business that brings with it many areas beyond our innate expertise. We may feel like we need to do it all (especially during start-up phase), but it is critical to recognize our shortcomings and bring on the right people to handle these areas. This strategic foresight and initial investment pays off!

Thanks to: Denise McVey of S3 - advertising, marketing & PR.

5. Customer Service Always Counts

I see business owners spending truckloads of money on various marketing strategies, yet when the customer comes through the door or makes the call, the marketing effort stops. Customer service is non-existent. Customers are made to feel as if the business is doing them a favor by offering products & services. It takes less money to treat all customers well than it does to bring in a replacement new customer. Respect, courtesy, communication & interest are key to repeat & referral business.

Thanks to: Dale Little of Business Strategist, Dale Little.

6. Business Mistakes to Avoid

I didn't believe this entirely when I read it 2 years ago but, "Cash is King." I was told to have $20,000 in cash in order to start a business but even $10,000 cash might be enough to get you off the ground. Have the cash!

Thanks to: Tina Hill of Kidzsack.

7. Plug those cash “sinkholes.”

The first step is to be sure that your balance sheet and cash resources are available to be deployed. How opportunistic can your company be when you are not sure about the accuracy of your balance sheet and cash equivalents today and six months into the future?

Thanks to: Gary W Patterson of FiscalDoctor Inc..

8. Living beyond your means

The traditional paradigm is that bigger is better. This also often applies when it comes to startups: many entrepreneurs are attracted by the increased recognition that comes from building a large startup with several employees and a posh office. But growing without the revenue to support it can be fatal. Cash flow management is key to success as an entrepreneur, and scaling before you can afford it can kill the business. Small is beautiful- stay small & agile and only grown when you must.

Thanks to: Jon Reifschneider of 31Projects.

9. Mistakes? Mistakes?

We don't need no stinking mistakes! The biggest mistake I made was thinking I would not make any mistakes. A chapter in my book is titled "So, You Want To Be An Entrepreneur?" I write "do you hear that flushing noise? That's YOUR money going down the toilet." IMHO, marketing, advertising, PR money is constantly flushed because one NEVER knows what will work and what won't work. So figure your "marketing budget" and then triple it!

Thanks to: Jeff Block of JustPaperRoses.com.

10. Think Globally, Not Locally

When starting your business, project into the future and choose a name/logo/focus/mission/client base that goes beyond what you are hoping for initially. To illustrate, if you have had some success selling to soccer moms, don't choose that narrow client-focus for your letterhead/business cards. Know that your business is likely to grow and you will want a brand that is more inclusive of other possible markets.

Thanks to: Marlene Caroselli of Center for Professional Development.

11. Don't Go It Alone!

When starting out, entrepreneurs often believe "I can do it all" and most are very capable at wearing a number of hats. It's critical though to identify (1) what you are really good at and (2) what you like to do. Then, review what your business needs and figure out what things are not your strongest areas of expertise -- or "like". I spent many hours doing financial and tax work for my firm and found I both hated it and wasn't good at it. Finding talent to help me was a huge relief to me!

Thanks to: Beverly Flaxington of The Collaborative.

12. There are no Mistakes

...just lessons. My biggest lesson is thinking I can do it alone. I am an entrepreneur NOT a super hero! I need a team, a coach and other players. I need to ask for help. I need professionals who are good at what I am not. I have to ASK, ASK and ASK again. That is my lesson.

Thanks to: Barbilee Hemmings of Are You For Real?.

13. Big Egos Lead to Big Flops

One of the most important (and most difficult) lessons I've had to learn was not to fall into the trap of big spending to 'reward' myself for financial success. When profits start to grow, it's easy to get tempted into moving into a big office, investing in a new 'company' car and hiring a bunch of people for every job you can think of. Overspending is easy to do and must be kept in check. You made it this far by being frugal and you must constantly be asking yourself - Do I REALLY need that?

Thanks to: Shareef Defrawi of Zizinya Web Solutions.

14. Start with the end in mind

One of the common reasons entrepreneurs and small business owners become disappointed, frustrated and stop is their actual experiences do not match what they wanted. Step one of a successful, sustainable business is "Start with the end in mind." Jesus' first words to the disciples was "What is it that you seek?" If what you seek is unrealistic, you're doomed to failure of some level.

Thanks to: Tom Pryor of ICMS, Inc..

15. hope and reality

I learned painfully to distinguish between what I hope for and what I can reasonable expect. Expectations are based on what I work at every day. I can build a business on expectations. Hope is that something good will fall out of the sky. I can lose a business based on hope.

Thanks to: Kate Putnam of Package Machinery Co Inc..

16. Watch out for advertising

In my experience, especially early on when funding is very limited, advertising is too big-budget for tiny companies. I've paid big dollars and gotten very little ROI, so no more for a while.

Thanks to: Barbara Schantz of Baby Dipper, LLC.

17. Do It Right the First Time

I didn't incorporate or separate any of my revenue as "business" and "personal". Nor did I save anything for taxes. As a result, I'm paying for it this year with filing my taxes in more ways than one! So it's very important that you start as you mean to go on... it will save you a ton of future headaches in the long run.

Thanks to: Cori Padgett of Big Girl Branding.

18. Letting Go!

Entrepreneurs got into the business because they have a niche/specialty. But as the business grows they don't know when to bring on another person to take the non-core work off their plates. Big mistake which leads to overload and unhappy employees.

Thanks to: Linda Konstan of Sensible Human Resources Consulting.

19. Putting Heart Before Head

Many service providers and healers will undervalue themselves and their services for close friends and families. Having a clear definition and document of worth will help you to remember this: Charities are probably not your business. Profit leads with ones head.

Thanks to: Jeffrey Schoener of Neuro-Enhancement Strategies.

20. Don't Go It Alone

Biggest thrill during my first six months as an entrepreneur/speaker--going it alone. No boss, quotas, deadlines, or reports. Biggest disappointment--not getting clients, and my survival outlook was dim.

So I turned to people who had succeeded as professional speakers. I joined regional and national associations, hired coaches, hosted veteran speakers for lunch. What I learned the next six months brought amazing results.

Here's the lesson: Don't go it alone. Ask, ask, ask. . .and prosper!

Thanks to: Bill Lampton, Ph.D. of Championship Communication.

21. It's all about CASH Baby!

The bigget mistake I see, and the one that led to the fastest company failures in this recession, is over spending when the economic times are good. When the cash is rolling in the owner is a 'genius', gets a big time ego and starts spending like crazy. The showing off is fun until the slow down comes and you don't have any reserves in the bank. Ops. So much for genius.

Thanks to: Stephanie Henley of Beasley & Henley Interior Design.

22. Fully Functioning Website!

Biggest mistake I see people making is not having a professional looking website. If you want to be taken seriously as a business owner, then please have a fully functioning, ad-free website. Hosting & purchasing a custom URL is fairly inexpensive & you can get a great shopping cart for free, you just need to search them out. First impressions are important. Don't you want to stand out from the crowd with your own unique URL? Why share the spotlight w/ads that aren't yours & don't benefit you?

Thanks to: Phyllis Pometta of Baby Swags.

23. Pay attention to the details

Never let yourself become so busy and overwhelmed that you forget the details. The thank you to a customer, the extra flare that made you unique, the i-dotting and t-crossing, which made you a success to begin with.

The details DO matter. They matter to your customer, they matter to your community and they set you apart from your competition.

Thanks to: Laura Petrolino of Flying Pig Communications.

24. Don't Sell Yourself Short

My biggest mistake was my hesitancy in discussing money. Clients would ask for a quote on a project, and I would price the work low because I hated asking for money. I didn't want to meet any price resistance from clients, and I didn't want to lose the project over price.

After a while, I realized that I was selling myself short. I was providing quality work that my clients valued. I had no reason to be timid when it came to pricing my services; I was worth it.

Thanks to: Susan Greene of Job Hunting Strategies.

25. Get Passion around the Numbers

After working with entrepreneurs for the past 10 years and being one for the past 25, the key is to be as passionate about how the numbers play out. Not just about why you went in business in the first place. This doesn't just mean just the balance in your bank account but all the things that gets the numbers there to begin with. Things like accurate projecting, forecasting, budgeting. As we are yelling from the rooftops at the Victory Circles these days - Get Passionate about the Numbers!

Thanks to: Cheri Ruskus of Victory Circles.

26. Paralysis By Analysis

No matter what type of biz you go into it's really the biz of *variables* - it is so easy to be overwhelmed by all the variables to consider when making any and every decision.

Are you a (self-inflicted) victim of PARALYSIS BY ANALYSIS?

The biggest mistake in launching new ventures is to overthink every milestone. What should you do instead?

Whether online or offline, take the Web 2.0 approach -- everything can be iterative. Incremental gain alleviates all pain. Just go for it!

Thanks to: Kenny Jahng of EssistMe.com Free Tech Tips For You.

27. March To Your Own Beat

The biggest mistake I made as an entrepreneur early on was that I kept trying to fit into someone else's business model. The problem with that was that it was tough to develop a unique selling proposition and branding, and I didn't have the passion for it.

I found that once I focused on developing a business around my passion for sharing my own unique knowledge and talents with others, I finally became successful and achieved the flexible lifestyle I desired.

Thanks to: Melanie Jordan of SunLover Publishing LLC.

28. Hire Support Help!

It took me a number of years before I hired an outside employee (starting part-time). But if you want to grow, you need assistance. There's only so much you can do yourself!

Thanks to: Andrea Gold of Gold Stars Speakers Bureau.

29. Create an Online Presence

One of the biggest mistakes I find new entrepreneurs make is that they feel like they can wait until later to create an online presence for their brand. Since the web is now the primary source of information for most people, it's important for businesses to have a professional looking website, as well as be engaging in social media and connecting with their potential customers online. This isn't something that entrepreneurs should put on the back burner.

Thanks to: Jillian Koeneman of Freshlime: Digital Marketing.

30. Build A Business Road Map

Starting a business without a business plan is akin to trying to drive from Seattle to Johnsonville, TN without a road map. Can you do it? Sure, but you'll probably take a few detours along the way that will cost you in terms of time, money, and resources -- and take you off track for your goal. Develop a road map (business plan) for your business and consult it when making any business decision. It will help you avoid distracting and costly detours -- and keep you on track for success!

Thanks to: Ann Guinn of G&P Associates.

31. Not Knowing Your Target Market

The worst mistake you can make when starting out is failing to identify a target market. I see it all the time in startups and growth companies alike. If you don't have a clearly-identified target market, it's like wearing a blindfold and throwing darts at a dartboard . If you know your target market well, you'll have a much easier time with branding, product and service development, marketing, and sales. Identify them, get specific with demographics and more, and you'll be ahead of the curve.

Thanks to: Susan Baroncini-Moe of Business in Blue Jeans.

32. Trust Yourself The Most

Trust yourself first and foremost. Run ideas by valued friends, colleagues, and business people. Research as much as possible, share ideas with others, ask for advice consistently, BUT TRUST YOUR INSTINCT above everything else. Don't go down a path simply because someone else thinks you should. Follow your gut, lead with your heart...blaze your own trail...ALWAYS.

Thanks to: Lori Fields of Real Beauty Is.

33. Not Hiring The Expert

The entrepreneur's mindset is one of doing it yourself. It is important to realize when to hire that expert to do the work for you, the accountant, the social media star, the webmaster or whatever. If a professional can do it for cheap, hire them. Your time is more valuable. If you bill at $100 an hour but you can hire an accountant for only $25 an hour and you do the books yourself, you just became that $25 an hour employee. Your time is more valuable. Hire out work that keeps you earning money

Thanks to: Deb Johnson of Epicurean Fitness, LLC.

34. Don't Boil the Ocean

As much as I'd love to save the world with my "wonderful" ideas I can't do it all at once. In fact create a laser focus on solving one point of pain that people will pay for and you are on your way. Also don't just add another fancy layer to an existing solution. Focus on breaking through the existing layer, smashing it wide open, with one easy solution addressing a point of pain.

Thanks to: Mike Clarke of Qtility Software.

35. Not Getting Under The Hood

Bloggers who don't know how install a widget... Email marketers who don't know how to segment a list... you may have a team of people to handle all your digital needs (congrats if you do!) but if you're clueless about the technology that runs your company, it's going to come back to byte— Er, I mean bite you. Having working knowledge of how everything works will make you more productive and keep your costs down (as well as have more appreciation of what your geeks do to support you!)

Thanks to: Carley Knobloch of Tech When You Don't Speak Geek.

36. A Capital Idea

Entrepreneurs are never short on ideas, creativity and enthusiasm for projects but often start-ups lack funding. When I created my company, I worked four day jobs in order to have capital to launch it. In theory this sounds like dedication, but in actuality it was mentally and physically exhausting, and that affected the flow of excitement and enterprise I was supposed to be feeling as a new entrepreneur.
Seek funding. Be sure you have a capital before stepping into Entrepreneur World.

Thanks to: Tammy Brackett of Moonstruck Promotions.

37. Keep The Momentum Going!

It is easy to become so caught up in the current client workload that we neglect to spend time securing new business. Many solo or micropreneurs will wait until a project ends before looking for the next client. Remember to balance your schedule with time to seek out new opportunities and clients BEFORE the current workload has ended. This helps build your momentum and a steady stream of income.

Thanks to: Teresa Cleveland of Empowered Awareness.

38. GIVE 'EM YOUR BEST!

In a service business, the biggest mistake you can make is to give anything less than your best effort. Writing a book is a labor of love - and someone has put their heart and soul into it. That fact can NEVER be overlooked. I've worked on hundreds of books, but I NEVER lose sight of the fact that whatever level of editing or ghosting a book needs, it's still someone's cherished DREAM. Bottom line: if you're in a service business, give clients the very best you've got - EVERY TIME!

Thanks to: Gary Anderson of ABC Iowa Writing and Editing.

39. Don't Be A Cheapskate!

Sure, there's never been a greater time in the history of the world to be able to easily and inexpensively start a business. However, there are mission critical things every business needs to have when starting up. Imagine you're starting a waterslide park. What's the first thing you should take care of? The water bill. You can't run a water park without the water, right? Don't be a cheapskate in the beginning, you'll thank yourself later when your new business is running without hiccups.

Thanks to: Jim Kukral of TheBizWebCoach.com.

40. GO GET YOUR MONEY!

A common mistake that a lot of young business make is to let their receivables remain uncollected for too long...Cash flow is key and what is owed to you is owed. Go get it, lest they turn into bad debts!

Thanks to: Mo Nariani of Mass Energy Lab, Inc..

41. One Word: Isolation

As a career creative, I've typically embraced the hours spent on creative development. However, as of late it has become a burden that I must overcome. My introverted personality needs to step aside so that I can foster relationships to grow my business.

Thanks to: Joann Sondy of Creative Aces Corp..

42. You Are Not An Island

One of the biggest mistakes I see entrepreneurs making is thinking they can go it alone. It is perfectly understandable to want do as much as possible to save on starting cost, but struggling with parts of the business that are not your strong suit will result in more time, energy and often cost than if it had been outsourced.
Lack of support often results in frustration which can lead to quitting. Start small in building a team that will allow everyone to shine.

Thanks to: Jennifer Shaw of Jennifer Shaw Coaching.

43. Don't Borrow Beyond Your Needs

A big mistake any entrepreneur can make is borrowing more money then what is required. The reason for this is rather simple. Let's say you need $10,000 to start up. You borrow $50,000 instead. Sure the extra cash would help tremendously, but it also puts more of a burden on you, as now you have a lot more to pay back. Sit down and calculate what it would cost you to start your business. Narrow down as many expenses as possible. Then borrow against that amount. Keep it simple. Don't overspend.

Thanks to: Harry Husted of Creating Words.

44. Count Your Chickens......

Do not incur expenses in anticipation of Profits. Plan spending but spend after money is in the kitty. Whether it is for expansion, purchase of business assets/machines or hiring new people.

Please remember a sale is not complete till you receive money in your hand.

As a human being we have tendency to celebrate in anticipation of gains. Business works on hard facts and hard cash.

Learn to count your chickens..every day!

Keeping a daily tab on your cash flows is extremely important.

Thanks to: Naresh Vij of Kaveri Consultants, India.

45. You May Be Tempted But....

As eager as you are to get a better price per unit on your packaging, better to do a very small initial run to ensure this particular design does your product justice in the real world marketplace. Frequently you'll notice tweaks or outright changes that must be made, turning your first generation effort into a VERY expensive lesson.

Thanks to: Kendra Kroll of PortaPocket by Undercover Solutions.

46. Social Media: Time Waster?

Watch the time/effort you put in to social media channels. With all the junk & trite trash on Facebook, MySpace, YouTube, Twitter, & others, you can quickly devote WAY too much time to such applications for what--just to "establish a presence"? I'm not convinced yet of the effectiveness of any such channels based on revenue results, so be diligent about limiting your efforts here. I may start my own organization: Professionals Against Senseless Social e-Media Updates and Postings (PASSeMUP)!

Thanks to: Donn LeVie Jr of Kings Crown Publishing.

47. Clear The Air

One of the biggest mistakes entrepreneurs make is not having a clear vision and understanding of the value their product/service provides. Many times it's because they want to be all things to all people. "Oh yes, we can do that" is common. While they may be able to do a lot of things they should land on one and hone it.

Clarity and focus lead to success. Be clear about your value and focus on it. Build your marketing message around it. Make it your 30 second commercial.

Get Clear!

Thanks to: Diane Helbig of Seize This Day Coaching.

48. Everyone's A Customer

Everyone makes for a great customer, right? Not necessarily. When we don't clearly define our target markets, our messages become diluted and we fail to fully understand their specific needs. Determine your primary and secondary target markets and really get to know them. Your goal is to sell your product, so focus on those who want it most.

Thanks to: Melissa Rose of Biz in a Boxx.

49. Check, and Check Again

I had a production run of a garment done with-out having them make a SAMPLE of the style. I had used them before, and they had made this style before. I sent via an email an order, and I hand delivered a copy of the order. They made the garment a full run, inside out, that is the out side of the fabric was facing inside!

Thanks to: Haralee weintraub of Haralee.Com.

50. Know Who You Trust

When starting out, don't take advice from anyone you wouldn't trade places with. Some people talk a good game, but they don't have the experience to back up their advice.

Thanks to: Shari' Alexander of Presenting Matters.

51. Effective Marketing Is Job #1

You are an expert in your field, you can sell "igloos to Eskimos," but until people know about you through effective marketing then all you will have is melted ice! Invest at least 1 hour per day understanding what makes effective marketing whereby your potential prospects pull you to them. Today having a fully integrated marketing action plan that unites social media to your website to your business networking actions is the first step to avoid business failure.

Thanks to: Leanne Hoagland-Smith of ADVANCED SYSTEMS.

52. Let Friends Stay Friends

The biggest mistake I made as a new entrepreneur is going into business with friends. When the struggles come (and they will come) it threatens the friendship. My advice: NEVER go into business with a friend; especially if you value the friendship!

Thanks to: Suzanne Shaffer of Parents Countdown to College Coach.

53. Stick With Your Niche

It's so tempting to take any business that comes your way when you first start a company, and even down the road too. But straying from your core business usually just distracts you from what you should be doing, and is often less profitable since it's not what you do every day. Have the strength to refer those that don't fall into your sweet spot to others and really focus on what you do best. It will pay off royally in the end.

Thanks to: Bonnie Buol Ruszczyk of BBR Marketing.

54. Share the Wealth!

Idea wealth, that is. Many entrepreneurs are too scared to talk about their new idea because they think that somebody else will steal it! In more cases than not, nobody has the time, energy, resources or PASSION to turn that idea into a reality. Got an idea? Tell people about it! You'll be shocked at some of the great feedback you get.

Thanks to: Katie Shea of FUNK-tional Footwear.

55. Not Having A Business Plan

I learned that having a Business Plan is like having a Road Map, when I first started my business I did not have one, and so I seemed to be going nowwhere, and then a wise person told me to do one which I did, and all of a sudden the road to success became so much clearer, and as I followed the plan more and more opportunities for my business came my way. So I say to everyone now, get a business plan, include Marketing into your plan and follow the plan.

Thanks to: Robbie Motter of Robbie Motter dba/ContactsUnlimited.

56. Family "HELP"!

An entrepreneur's biggest mistake is accepting help from family particularly in the form of lawyer, accountant or partial partner. Entrepreneur's, you must separate yourself from the business..you are not the business! You need experts that will focus on the success of the business not worry about taking care of you. Enjoy family dinners and events without your business team in tow.

Thanks to: Vicki Donlan of VickiDonlan.

57. Avoiding A Closed Mindset

I'm lucky that I read Carol Dweck's book MINDSET: THE NEW PSYCHOLOGY OF SUCCESS before starting my social media marketing company. Dweck's premise is the need to have an open mindset -- be willing to fail -- in order to be able to move forward to success. Whenever something was difficult for me, I didn't give up. Instead I kept pushing through until I overcame the difficulty. Cultivating an open mindset can make a huge difference for any entrepreneur. Read this book and practice its tenets!

Thanks to: Phyllis Zimbler Miller of Miller Mosaic Power Marketing.

58. Making Exception To The Rules

In my biz, I am dealing with the public, clients and patients as they come through the door. Most are great and I try to treat everyone fairly and the same.

But there were times early on, that I let people talk me into doing something that I couldn't offer to everyone. Like picking up a patient. Well, that turned into picking up the patient every time. . .then picking up the patient and hauling client to work. . .and then the neighbor wants me to do the same for her. . .
So set boundaries.

Thanks to: Andy Mathis of Andy Mathis Art Co..

59. Plan The Plan - Work The Work

Schedule time to produce a solid business plan. *BUT* remember that there are different degrees of completeness for different types of businesses. Don't get caught up in analysis paralysis. Don't overthink the plan, to the detriment of actually performing work - whether prospecting, pitching, or producing your product or service. And don't be afraid of deviating from the plan when you have to - you won't have all the answers at the beginning!

Thanks to: Jason Burke of PM Underground.

60. FAMILY FUED?

Even if your family member (especially a spouse) is "totally" supportive (even when you mess up) and even if they are qualified and will follow your lead, it may be best to find someone else to help you. You can "eliminate" that someone else but you will be seeing that family member again.

Thanks to: Greg Pryor of Life Priority Health and Nutrition.

61. Know "Why" You Do What You Do

Everyone knows "what" they do, some know "how" but nobody knows "why". If you don't clearly define WHY you do what you do, people will be bored and nobody wants boring when there's exitement and drama drawing a crowd down the street. Avoid that trap by knowing what you believe and surrounding yourself by those who believe the same thing. Now what you do makes sense because what you believe is a reflection of what you do. People who believe the same thing will identify with and buy what you do.

Thanks to: Leah Boler of Production Chemical Mfg Inc.

62. SHOTGUN MARKETING

"I'll market to everyone because my offer works for anybody!" Seems logical. Whether it's a new business or a new offer, our chances of success go up if we make ourselves available to as many markets as possible, right? WRONG! Focus on a VERY specific market. Use a laser approach, not a shotgun. Get specific; you will know where to find your prospects & exactly what to say to them to motivate the desired action. Marketing, bigger ROI. You, more sales. (You can expand to other markets over time.)

Thanks to: Trish Lambert of Success in Sweatpants.

63. Friends and Biz...

You can have friends. And you can have acquaintances. And you can do business with people you like. But just because you have done business with someone do not think that he/she is your "BFF". The bottom line is business is business and if you fall into the "Oh, but he's my dear friend.." trap, trouble will ensue. Be friendly and magnanimous to all, but remember, friends are friends, and business is business. Prtect yourself at all times and never assume "business buddies" have your back.

Thanks to: Shari Lynn Rothstein of SLK Creative.

64. Delegate Away

The biggest mistake I made was that I tried to do too much myself. One man show is no show at all.
So go find and motivate smart people to build your business together.

Thanks to: Slav Ivanov of Socially Apps.

65. Money Drains And Ad Traps

When you're small and starting out, it's very hard to distinguish which advertising opportunities will be worth while. Sales people are very good and something may sound GREAT, until it doesn't work AT ALL! We tried to be very selective, but it didn't always turn out.
You have to determine 2 things: How much will I have to sell/make to make spending this amount worth it? and How much exposure to my TARGETED customers will it guarantee me?
If both are favorable, go for it. If not, skip it!

Thanks to: Kirsten Reeder of Sprout Shell.

66. Incompetent Service Providers

Before entering into any agreements for services or supplies, be sure the company or individual is credible and reliable. You can check with the Better Business Bureau to see if complaints have ever been filed against them. It’s also perfectly acceptable for you to ask for references before utilizing their services.

Thanks to: Dr. Madeline Lewis of Deline Institute.

67. He Said, She Said

Most entrepreneurs realize quickly that they can't do it alone. We need someone to shore up our weaknesses. Even the best idea, business plan, widget or service is quickly derailed by choosing the wrong person to go into business with. Choosing a biz partner is taken far to lightly, usually due to some sort of urgency. So, we often pick a friend. Successful business partnerships are based first on the business, then develop into friendships, not the other way around.

Thanks to: Joe Randeen of 3 Penguins Design.

68. Sending Mixed Messages

All too often business owners make legitimate, lofty claims about their offerings, then price at or below the industry norm. This sends a mixed message to the market leaving buyers with the dilemma of deciding which to believe, your marketing message or your price. Most believe the price which makes your offering look like a commodity. Make sure that your price substantiates your value claims. You'll not only help buyers make better decisions, you'll generate more sales at higher margins.

Thanks to: Dale Furtwengler of Furtwengler & Associates, P.C..

69. Don't Go In Alone

Solicit the support of others - experts you need (business, legal, banking, financial, taxes, technology, marketing); your best champion; your best friend; even a support group of peers. If you are very self-disciplined, use courses, books, and audio tape programs from mentors you admire. I have found a combination works best. The sooner you admit you don't know it all and ask for help, the faster you will be thinking and acting like a business owner to increase your productivity and profits.

Thanks to: Kerri Salls of Breakthrough Enterprise.

70. Test Your Name

Test your name on people outside the industry - friends, family, the babysitter, your banker - everyone.

My first mistake with my new business was in choosing a name that included words that were alien to the local community. I quickly tuned into the oversight when an account manager looked up from my file and asked me: "What's a vah?" (VA).

The name worked perfectly within my industry, the domain was available, it was short and catchy, etc - but that didn't matter offline.

Thanks to: Crystal Coleman of Northern Edge Business Solutions.

71. Start SMALL with Manufacturing

We went into our first oversees manufacturing order with all guns a-blazing! Under the advice of our "experienced" china mfg broker (who makes his living on commissions from large orders) we ordered a "mandatory" 5 times more product than we needed to start. This built inventory that we would be bequeathing to our children's unborn children! There are significant changes you'll want to make before your 2nd batch too so KEEP IT SMALL on the first order. You can perfect it and make sure it sells!

Thanks to: Lisa Assenza of HuePhoria Hand Painted Stemware!.

72. Don't be an island!

Resist the urge to go it alone. Find partners and outside advisers. Get someone unconnected with your business to be your coach/cheerleader/mentor/confidant. It's the person on the outside who will alert you to the opportunities you're missing,tell you when you're making a mistake, keep your enthusiasm up when things are tough, and hold you accountable when everything seems crazy.

Thanks to: Stephen Balzac of 7 Steps Ahead, LLC.

73. Business Mistake-Overstocking

A Big Business Mistake To Avoid is overstocking inventory. If it is possible, order inventory as needed as orders come in so one can maintain a better cash flow position. This is a must in this volatile market.

Thanks to: Tracy Wright of Executees, Inc..

74. Ignore Everyone

If you are passionate enough about something to consider taking a large portion of your time out to pursue it, go for it. No one else is going to have that same desire and vision, otherwise they would have done it themselves. So ignore the vast majority of advice you will receive, especially from people with no credentials in your industry. No one gets your vision better than you do and if you compromise, it's not your vision anymore. And if it flops, at least you followed your heart.

Thanks to: Tony Adams of Local Business SEO.

75. Doing Everything Myself

Starting my business on a shoe-string budget, I did not want to pay anyone to assist me with development. Looking back it would have saved me a lot of headaches, several thousand dollars and lots of wasted time! There were things I did not know and it would have been smarter to hire someone to help fill those gaps.

Thanks to: Sheena Edwards of Lizzie Lou Shoes.

76. Cash-Is-King for Contractors!

Lessons learned whilst starting AboutOne are mainly around hiring technical contractors. My tip is when hiring a contract team references are useful but DO NOT rely on them. Have your contractors prove their ability, give them a small project & deadlines, make sure you have an expert on your team to review their work, if you do not have an expert on your team PAY someone! Do not waste a lot of time & more importantly your precious cash with a contract team who cant deliver what they promise.

Thanks to: Joanne Lang of AboutOne.com.

77. Still Going in Spite Of

My husband and I are always looking at examples of companies that do everything wrong and are still standing.The most common theme is bad customer service.A recent example is his cable company.After loosing service he called and was given an appointment after repeatedly explaining to the agent that he was not available for it (4 days later). Then the agent hung up. Interesting how the motto of this company is that the customer is their most important asset.
Go beyond good customer service.

Thanks to: Roxana Nunez of AviddivA.

78. Entrepreneurs Mistakes

In their enthusiasm to go from creation to market, many entrepreneurs get low interest loans that must be paid back even if their business fails - 9 out of 10 fail. I recommend that entrepreneurs stay the course until they can be fully funded by angel investors and/or venture capitalist - especially if they have Intellectual Property.

Thanks to: Bonnie Ausfeld of beacon Resources.

79. Be An Adviser To Your Company

It's all too easy (and common) for entrepreneurs to fall in love with their product or service and talk themselves into wild expectations of success! To avoid that trap, make sure to also step back and look at your business as if you were a trusted adviser. You'd be amazed at how - with that perspective - your 'advice' to your own business can differ dramatically from your thoughts as an 'internal' employee / founder.

Thanks to: David Sears of YouFloral.com.

80. You Can't

Don't Know That You Can't Do It!

There are lots of stories about people who did things in spite of the "fact" that everyone else knew that one could not do it.

You don't have to have all of the answers. You have to start.

Thanks to: Monica Tombers of Just So! Jewelry.

81. Watch Those Eggs!

Other wannabe entrepreneurs want you to partner on their idea.

You think, “How great would it be to have a partner? They have good ideas, contacts, they’ll work on it too & I can still run my business.”

It never works out that way. Are you ready to give up your dream and buy into theirs?

Be clear on why you started your business (employee or boss?); don't be sucked into someone else's plan.

Put all your eggs in one basket and keep the heat on, until they hatch!

Thanks to: Nancy Fraser of Nota Bene Consulting.

82. Falling In Love With Your Idea

I believe 'Falling in love with the idea' is the most common and dangerous mistake many entrepreneurs fall prey to. It is awesome & nearly required to be passionate about your idea/business however, ignoring the critical elements like feasibility, market, sustainability etc simply because you love your idea/startup too much to let go, would eventually hurt you even worse. Don't fall in love with your idea & always remember to question it from an economic perspective as well. Always.

Thanks to: Devesh Dwivedi of Entrepreneur In Making.

83. Avoid the Naysayers

There are always a good number of people around you who will have many, many reasons as to why your business will fail miserably. It is very important to learn to ignore such negativity.

Thanks to: JR Rodrigues of Job Hunt Express.

84. No Risk = No Business

The biggest mistake I made when starting my marketing consulting business was I was afraid to take financial risks. I knew I had to take more risks and spend money but I felt so uncomfortable doing it that I would always make up an excuse to do more research or whatever to delay taking the risk. Finally I decided that being so risk aversive was really hurting me because I was not investing in my business to make money. As soon as I started taking risks, success came to me. So, take more risks!

Thanks to: Peter Geisheker of The Geisheker Group Marketing Firm.

85. Less Is More

When I first started my business, I tried to create two completely different products at once. It turned out to be a terrible idea. I spent more money than I should have and neither product was getting the attention it needed. I went back to the drawing board and decided to focus on the product that was more promising. The key is to pick one thing and stick with it. You can't ride two horses with one ass. I learned that the hard way.

Thanks to: Chelsea Logan of Luxe Innovations.

86. Bold Dreams, Gradual Pace

Bold, ambitious dreams and a well-thought out business plan is recommended in launching an enterprise; however, one big mistake is growing your business too fast. When you're unprepared to take on more than you can handle, you are overextended. You then conceivably sacrifice the quality in your products and services, take on too much overhead and inventory, and possibly take shortcuts to meet your obligations. And when you sacrifice quality, service and your reputation, you lose everything.

Thanks to: Greg Jenkins of Bravo Productions.

87. Thinking & Playing Ghetto

It's one thing to grow up learning standards far below my God-given potential. And it's been quite another animal to respond to the call inside for greatness, despite of it. It has taken me almost half a century to realize that I had gathered to myself an entire army of ghetto minded "experts" online and off. Today I'm only interested in being influenced by those who are where I aspire to be. I have learned to listen for a good long while before expanding my professional & spiritual mastermind.

Thanks to: Adelaide Zindler of Home Office Mommy Magazine.

88. Have Enough Cash!

When you run out of cash, the game is over . . . even if great success if just over the next hill. Be sure to stay liquid so that you can learn from your experiences, improve, and install better business models.

Thanks to: Donald Mitchell of The Four Hundred Year Project.

89. Do It Your Way

“To thine ownself be true.” A mistake I occasionally still make is trying to make someone else’s path to success fit me. It never does – I am uniquely me - someone who thinks, feels and functions differently. It might be good for stimulating my thinking but trying to use someone else’s method usually results in some kind of struggle for me – a sure cue that I am trying to fit my triangular peg into their octagonal hole. Do it your way and it flows easily.

Thanks to: Susan Lannis of ORGANIZATION Plus! Inc..

90. The Buck Stops Here

As entrepreneurs and business owners, I believe we are visionaries. We take the risks that most people don't. We put our money, and our you-know-whats on the line. After 20 years managing businesses, I think the #1 problem is cash flow. Too many businesses try to wing it - they don't have a well thought out budget in place. Money goes out faster than it comes in. I recommend taking the time to create a business plan with a detailed financial budget. You can take that advice to the bank!

Thanks to: Robert Finkelstein of Behind the Scenes / Virtual COO.

91. Have A Clear Message Early

The biggest mistake that I made as an entrepreneur was also the most useful lesson that I learned. Having a clear message and narrative to prospective clients & customers is crucial for them to understand who you are, what your value to them is and why they should pay/hire you. In the early days of many start-ups (especially in the services industry), this can take some time to develop - but what I found is that the clearer the message, the more likely clients are to come on board.

Thanks to: Stephan Nicoleau of Critical Value Advisors.

92. How To Topple An Empire

It all comes back to your business foundation and your computer. If your computer is out for the count, everyting else in your empire is affected.

What to do?

1. Have a computer back-up system: external hard drive/CDs/flash drives or on-line backup like Carbonite. Everyday back it up!

2. Multiple security software to prevent spam/virus/spyware, etc.

3. Regular cleaning up of your computer - weekly. Keep your life's blood machine working speedy and smoothly for you.

Thanks to: Tonia Boterf of The Practical Expert - Business.

93. The Unprepared!

Being unprepared is the biggest blunder a business owner can make - I learned the hard way. If you put something into action be prepared for the consequences, overwhelming response, or lack of response. Expected the unexpected

Thanks to: Myra Roldan of Anarchy In Beauty.

94. Money or Profit?

So many small business owners think because there is money in the bank that they are making money. This is NOT the case because it doesn't take into consideration taxes, withholdings for employees, etc. It comes back to the whole scary concept of business planning. You must have a plan and you must understand your numbers. We look at our numbers every single month, if not every week. We identify places where we are not profitable and we make adjustments to ensure profitability.

Thanks to: Sarah Petty of The Joy of Marketing.

95. Invest Early

At the beginning, and even now, we remain scrappy. We do all we can to use our resources well.

However, at times you need to invest early. One case is in trademarking. I didn't do it as early as I should have for our company name, because it cost $1500. It seemed such a load. Imagine the load I faced 3 years later, wrongfully sued by a company that wanted the name.

Invest the $1500. Get protection in place early. It will save you hundreds of hours--in protecting your name.

Thanks to: Pamela Hawley of UniversalGiving.

96. Empty Promises

As you begin your business you will be overflowing with enthusiasm and energy to get it off the ground and very tempted to enlist the help of PROS who promise you a fast track to profits. Caveat Emptor..Buyer Beware.
Do your research, ask a lot of questions and get a list of referrals before you sign on the dotted line.
I spent thousands of dollars and got very little back. Spending big dollars does not equate to big results.
My BEST investment to date has been with Mike Michalowicz.

Thanks to: Linda Nagamine of EZ Living Connection LLC.

97. Negative Patterns

My biggest mistake was worrying about things that I couldn't change. Staying positive is a bigger part of success than many people realize. Not only does avoiding the negativity save you time to concentrate on the things that you can change, it also gives you the confidence and excitement to finish them before moving to the next topic.

Thanks to: Jeffrey Cumro of Better Life Chiropractic & Wellness.

98. Don't Trip Over a $1 for $.05

Many people in business make the mistake of "tripping over a dollar to get to a nickel". "Busy" all day, they wonder at the end of the day what they really accomplished. They work on low value tasks (low hanging fruit), are easily distracted by "shiny objects" or use low priority work to procrastinate doing something important that may feel challenging.

Be clear on your goals, identify priorities (your "dollars") and then work on those dollars before you trip on the nickles along the way.

Thanks to: Debbie Rosemont of Simply Placed.

99. Be Open To New Ideas

Sometimes you start off with an idea and this whole thing planned out in your head but we all know that plans don't always go as "planned." You have to be able to shift and bend with what gets thrown your way. If you are dead set on something that's not working you may need to rethink some things to move forward. Don't be close minded, be open to new ideas and changes. Change can always be a good thing, if you do it right of course. Take it all in and make it work for you.

Thanks to: Ashley Bodi of BusinessBeware.Biz.

100. Insufficient Funding

Not enough startup funding to stay in business until the business can generate enough money to be self-sustaining.

Too few new business owners really calculate how much it will cost to run the business until the revenues can support the expenses, and have enough funds to provide for those spending needs until the business is cash flow positive.

Thanks to: Ilene Davis of Financial Independence Services.

101. DIVERSIFY CLIENT BASE

One of the biggest mistakes a new business can make is to build a business relying on more than 75% of revenue coming from one customer. Business is usually driven by a personal relationship with someone from the company. As soon a that person is gone, so likely is your revenue from that company.

Thanks to: Barbara Venturi of Ambar Realty Group, LLC.

102. Network Locally

As an e-commerce company we focused on gaining national exposure and we got it,we landed a spot on the Today Show within 6 months of launching.But we overlooked the potential customers in our own community who had little knowledge of who we were,so we joined our local Chamber of Commerce to network and sent press releases to our local paper prompting them to write a full length article on our business, this led to local sales for us.So don't overlook potential customers in your own backyard.

Thanks to: Anna Eves of DigiPix.Us.

103. Seductive "help" = zero help!

As an entrepreneur, when I brought in extra help, I did not do enough due diligence nor did I impose a trial time, so I could determine if we were a good fit. I was too eager to get people in my office to do the things I didn't think I could do. I was really seduced by their energy and professed expertise. When, I recognized that their words did not fit their actions, I took too long to sever the relationship. Once, I even paid in advance, which turned out to be a total disaster!

Thanks to: Alice A March of The Attention Factor (R).

104. You Can't Do Everything!

One of the biggest business mistakes an entrepreneur must avoid is trying to do everything. The key to success is doing what you're good at, then hiring out the rest. There's so many facets to creating — and running — a lucrative business. Writing, design, organization — you name it — has to be of the highest quality. If you're lacking expertise or skill in an area, find someone who can help.

Thanks to: Drew Gerber of PitchRate.com.

105. You Must Have a Starving Crowd

Most entrepreneurial small business owners think of their business in the wrong direction. They think of the greatest product of service in the world FIRST. Later, they shop around and try to find someone that will buy it.

If you want to be successful right out of the gate, you need to first find a starving crowd of customers. Figure out exactly what problem they are having, then develop the perfect product that solves that exact problem. Finally, you hand it to them on a silver platter.

Thanks to: Joshua Black of The Underdog Millionaire Blog.

106. Failing to Plan, Deadly

Failing to Plan is Planning to Fail. If you go to the grocery store without a list then you are guaranteed to arrive home missing something you desperately need. Starting a Business is the same thing. When you've got a bright idea for a business is when you should start making a list of what you will need. The list can be in any order, not necessarily in importance. Sometimes it is the smallest thing that topples the stack, so... take that list and check it twice, seriously. Success is yours.

Thanks to: William Michael of Vallarta Escapes.

107. #1 Mistake to Avoid

The biggest business mistake I made when I started my business was not setting up the right turnaround time for work. I was so anxious to get started (and make money), I promised everyone the moon. Send me work and I'll have it back to you tomorrow even if it means I don't sleep. Needless to say, that's not the way to go. Now, I allow myself adequate time to do a great job. The quality improves when you have the time to do it right.

Thanks to: Diana Ennen of Virtual Word Publishing.

108. Eyes Forward

The biggest mistake I can see for "ME" has been to stand still. Any & all fields change and you want to change with them, run with the change and embrace new ideas. Don't look back as much as you look forward.

Thanks to: ALIA MARIE HAZEN of RE/MAX equity group inc. OREGON.

109. Got money?

I think that one of the biggest mistakes people make is to just jump into a business without preparation. Not just being knowledge poor... but jumping into business while cash poor. Before they quit their job... they should either have enough money set aside to last them 6 months to a year (regular bills plus business bills), or else start slowly to build the business while still employed. It's much better to walk away from your job when you are ready to, than to crawl back when it doesn't work.

Thanks to: Jeff Stewart of Night Sky Murals.

110. N/A

No Action is the biggest mistake you can make. Takes notes on everything you do for your business. Make adjustments to what works and what does not work for you.

Thanks to: Derrick Hayes of WOE Enterprises .

111. The "Lone Ranger" Syndrome

The biggest mistake that I see entrepreneurs making still, even after all of the talk, coaching and warnings not to, is "going it alone". Whether it is not investing in support resources, not building alliances and partnerships or not seeking out mentors who have already walked where they are trying to get to, too many business owners limit their success by trying to do it all themselves and all on their own! Life is too short not to seek the support you need to live your great life!

Thanks to: Ann Farrell of Quantum Endeavors, Inc. .

112. Balancing time vs. money

Entrepreneurship means a race against time and money. Unfortunately most new in business "throw" money at everything in hope of making it big. They do not take the time to analyze promises, services and ramifications of the hard work required on the back end. Debt piles up quickly and beyond expectations. A business coach shared with me, "Always regard your bottom line for every single activity. Next, focus on your top 3 money-making streams of income and build upon those." Amen to that!

Thanks to: Elinor Stutz of Smooth Sale, LLC.

113. Underestimating Start-Up Costs

The biggest mistake that entrepreneurs make is underestimating and therefore underfunding start-up costs. In addition to properly estimating costs such as marketing, technology, space fit-out, owner's draw, etc., you must also estimate the operating deficits until the business gets to break-even volume. There is a tendency to underestimating the time that it will take to get to break-even volume. Over-optimistic projections can lead to under-funding and financially cripple a new start-up.

Thanks to: Ken Halkin of Kenneth C. Halkin Mgmt. Consulting.

114. Avoid Fixed Overhead

Assuming you don't have a ton of venture capital to waste, avoid fixed overhead until your business model actually proves it makes money.

*Stay lean and mean
*Keep costs variable
*Avoid employees - use contractors
*Avoid long term leases - particularly equipment and facility
*Focus on Inventory Turns
*Monitor your gross margin
*Make sure you're actually making a profit

View first six months of any new venture as a market test and be ruthless if it doesn't work and can't be tweaked.

Thanks to: Timothy Barry of ITI Web Stores.

115. Start SMALL with Manufacturing

Thanks to: Lisa Assenza of HuePhoria Hand Painted Stemware!.

116. Learn to Let Go

So many business owners struggle with this concept. When you create a business, it's your baby and at the end of the day there is no one at stake but you. I've worked with many entrepreneurs that truly struggle with this daily. Even I struggle with it myself.

Learn to let go and you will have the ability to multiply your efforts very quickly. How do you do that? Simple....

1. Focus on the areas you love
2. Delegate
3. Maintain Accountability

Thanks to: Carissa Newton of Delivra.

117. To Know Thyself To Succeed

A big mistake is not knowing yourself, what your values (what’s really important to you), beliefs (what you accept as true), skills, and traits (how you do what you do) are, and do you have the right one’s to succeed. Are any of your goals in conflict with who you are as a person? Do you need to delegate more? Challenges will occur, motivation can suffer, but by understanding who you are and what really matters to you, can keep you moving forward.

Thanks to: Ronald Kaufman of Ronald Kaufman Consultancy.

118. Working With Friends...

Don't do it. You should like the people you work with, but if you really value your personal friendships, don't hire your friends and especially don't start a business with them.

Thanks to: David Hooper of Music Marketing [dot] com.

119. It's Not About the Money

Focus on helping and being of service to others - rather than what can I get from the world. People will respond to this approach like a breath of fresh air and the money will follow.

Thanks to: Jeffrey Gitterman of Beyond Success Consulting.

120. Grow With The Flow!

You have an idea. Decide to start a business. Put the idea into action and you hope for the best. Success eludes you...why? Because you've tried to everything yourself. Reach out ask for insight and guidance as you develop the business. Share your vision as you focus on service and quality, people and planet! Your business grow with the flow in no time!

Thanks to: Judith Lukomski of Transitions Today Inc..

121. It Seems Too Good to be True..

Many entrepreneurs want to experience financial results immediately. With this mentality, new business owners often search for the silver bullet that will create overnight success. Unfortunately, this can lead to faulty decision-making when spending advertising dollars. You can read all the statistics that websites (or magazines, if you're still into print) brag about in terms of traffic or readership. The bottom line is that no single ad will drive sales; rather, it is a collection of efforts.

Thanks to: Karen Gallagher of The Lollipop Book Club.

122. Skip The Pain!!

If I had ONE thing to do over (and sometimes I am still learning this) is DO NOT make the mistake of thinking every new latest and greatest thing is for you and your business!! I have wasted so much money and more importantly TIME chasing everything that seemed to be popular. The result has been frustration, overwhelm and nothing getting accomplished. Stay focused!!

Thanks to: Patti Massullo of Jazzy Brandz.

123. Just Say You Don't Know

I was at one of my first corporate networking events. Not recognizing anyone there, I gathered my courage and literally stepped into a conversation with a group of blue-suiters. The talk shifted to a certain individual whom everyone knew except me. I remember being asked if I knew the guy, and I answered, "Of course." In trying to save face, I ended up embarrassing myself when another question about him was asked of me which I could not answer. I should have just said, "I don't know him."

Thanks to: Kita Szpak of KS Communications.

124. STOP Procrastinating!

"Procrastination" = a new word which means the untimely death of your business due to YOUR inability to take decisive action now!

It has often been said that hard work is really just the easy work that you chose NOT to at the proper time. If you often see yourself in these stressful, low productivity situations, then it is imperative that you break the procrastination habit once and for all.

Remember there is always enough time to do everything that is WORTH doing in your business.

Thanks to: Rhondalynn Korolak of Imagineering Unlimited.

125. Patience Grasshopper!

Everyone wants to be P Diddy with multiple income streams. That's all fine, but a brand isn't created overnight. The biggest mistake new entrepreneurs make is to want it all yesterday! Patience and Humility always win out in the name. The best thing you can do is keep your overhead low while you develope your concept and spend money intelligently and only when you have to. Spend to build your brand, not your ego!

Thanks to: craig wolfe of CelebriDucks.

126. Project Fees Yes; Hourly No!

So many professional consultants just starting out, sell their services by the hour. This is a huge mistake. It leads to debates over travel time and requires loads of detailed paperwork hours for which you will never be paid. Skip this mistake and bid project quotes w/great specs. Read Million Dollar Consulting by Alan Weiss for more info! Best wishes and here's to your smart success.

Thanks to: Kate Nasser of The People-Skills Coach, CAS, Inc..

127. The Wrong Person On The Bus

Hiring the right people for your business can make you money. Hiring the wrong person can cost you time and money. Your biggest mistake is not checking out the person you hire. Interview them in person for a critical position. Referral agencies are just that referral agencies. Resumes are embellished and sometimes experience is overstated, even from the references. When in doubt take the extra time to check them out. Don't bring the wrong fit into your business it will cost you money and time.

Thanks to: Dr. Amicitia Maloon-Gibson of MGAA Professional Development Insti.

128. Big Mistake!

I think the biggest mistake an entrepreneur makes in the beginning is not planning a schedule with "A" priority items listed. Yes, things will come up that may have to be adapted, but once you're in a scheduling mode, things really do get accomplished. When you add a time line to it, it makes real sense.

Thanks to: Gayle Carson of Carson Research Center.

129. Co-founder

Finding a partner with complimentary skill sets versus someone exactly like you! Having a partner with different skill sets will enable the business to run more efficiently as allow each person to focus on what they are best at on a day-to-day basis.

Thanks to: Susie Levitt of FUNK-tional Footwear.

130. Don't Wait Until You're Ready

My biggest mistake (being the perfectionist that I am) is waiting until everything is perfect to launch a new business. Obviously, you want to have a business plan, a marketing plan and have done enough research to know that your business is feasible. However, there will always be a never-ending to-do list. There's no better time like the present and sometimes you just have to take the plunge and figure it out as you go.

Thanks to: Kim Nichols of WSI Internet Marketing Strategy.

131. Outsource!

The biggest mistake was, and still is, thinking I need to do EVERYTHING myself. Outsource people, outsource! I needed data entry of 770 names and I hired a Guru.com freelancer in Uruguay to do the project for $25.00.

Focus on high-leverage, income-producing activities yourself, outsource as many other tasks as you can possibly afford. Your business will not only survive but thrive!

Thanks to: Michelle Hill of Winning Proof.

132. CASH IS NOT THE SAME AS PROFIT

My biggest mistake when first starting out was to think that profit was the same as cash flow. I didn't understand that it takes serious cash to grow a business - so when I saw profit every month, I was satisfied. It wasn't until the credit card balances just kept growing and growing that I figured out something was amiss. And then, I went straight to financial literacy classes for entrepreneurs that taught me that cash is truly king. And, it's not the same as profit.

Thanks to: Anne-Marie Faiola of Bramble Berry Inc..

133. Have No Fear...

It sounds cliche' but it's true- NOT taking risks- thinking you're safe in your approach to reach your target audience is a little silly.

Today's consumer, client, sponsor, audience (whomever you're reaching), want to be "wowed!" Believe it or not, they are more forgiving than you'd think. They would rather you take a risk and make a mistake, they chat/tweet about it (still publicity), than to see the same campaign year after year. It's the expression, "been there, done that..." mentality.

Thanks to: ASHA SPACEK of UR SuperModels, INC..

134. Don't Hire Just Carbon Copies

When choosing partners and hiring people to work for you, don't hire only those who agree with you all the time. You MUST have a diversity of opinions, styles and energy in order to ensure you are addressing your challenges and opportunities from all angles. One of my partner sometimes frustrates the hell out of me, but her ideas are usually spot on

Thanks to: CJ Scarlet of Roving Coach International.

135. Small Picture BIG Impression

Our small organic specialty healthy foods proved to us we knew our stuff but not how much our customers loved it..in 6 months we were swamped and had to stop selling because we had no product! It took us a year to re-coup our inventory! Too much sales undid us..
The real moral of our story is to always expect the worst and prepare for it. Business driven by sales- translates into always developing and building your inventory regardless of how satisfied you feel about your existing client base.

Thanks to: Aisha Bauer of eSutras Organics.

136. Short Pencil Or A Long Memory

I've always been told that a short pencil beats a long memory. In other words, take notes on everything. Don't try to memorize everything you listen to or see. These notes will be worth their weight in gold in the future and you can always go back and use them as a reference point many times over instead of trying to remember where you heard or saw something. So it's your choice but in the long run a short pencil beats a long memory.

Thanks to: Edwin Soler of Libreria Berea.

137. Horse First -- Cart Next

Don't put the cart before the horse. In the passion and exuberence that comes with a successful start up, don't be overly anxious to grow your company. Do the necessary planning to move forward in a logical, strategic mode. Make sure your organization is on solid ground today with processes, systems and finances under control before leaping to that next step. Use your accumulated horsepower to pull your company to the next level.

Thanks to: Terri L. Maurer of Maurer Consulting Group.

138. Show Me The Products!

The Biggest Mistake I Made Starting My Business Was Spending More Money Then I Made. I Was Buying Products That I Liked, And I liked A Lot Of Products. I Had To Go Into My Savings To Pay My Bill Every Other Week. Needless To Say I Have Stopped Doing That So That My Savings Did Not Go Dry. That Was The Best Way In Avoiding Not Making The Money!.

Thanks to: Sheila A Caruso of AVON.

139. Packager Wrapped It Up

I was the new kid in the manufacturing world. I have a retail product that needed a packaging machine. I found a small affordable one. The machine manufacturer promised 6 weeks delivery of the printed film for the machine. Without my knowledge he sent it off to China. A year later the boat came in. The wait almost bankrupt my company. I did due diligence. The manufacturer said he got his supplies in America. From now on I will ask for the addresses and phone numbers of their suppliers.

Thanks to: LaNila Wong of Soothing Waves, LLC.

140. NICHE YOU PRENEURS!

One of the biggest mistakes I made when I started my business was trying to market to most every audience that would listen to and read me. That actually went against everything I coached my clients.

Not only is it easier to market to a niche, but specializing allows you to better know your clients. You can also better target ongoing educational opportunities to help you grow your business.

Thanks to: Gail Sideman of PUBLISIDE Personal Publicity.

141. Underestimate Business Costs

The biggest mistake I made When I started my first business was underestimating the Business costs. Due to which , our business was was having a poor cash flow even after generating decent sales. My best tip for new entrepreneurs is to keep some spare cash for undesired circumstances and not to waste lot of money in items like office Furniture and supplies for first few months.

Thanks to: Roger Rae of Promotional Products.

142. Concrete Contract

This one came to mind the second I read the subject...do NOT go into business with ANYONE unless you have a very specific and well written contract. It does not matter who your partner is...money and problems, and money problems, create anxiety. To avoid unnecessary conflict and possible loss of friendship...put together a CONCRETE CONTRACT that all partners can agree to and live with.

Thanks to: LeeAnn Hopkins of Just Hair.

143. Share Your Vision

Business that survive the start-up challenges face the next opportunity to shoot themselves in the foot when they fail to codify their vision, mission and values and share them with their new organization. In start-ups, the principals often share the "dream" of their product or service and are generally working to the same set of goals and standards. Once new people are hired, the principals seldom communicate their values and expectations and the company starts to fragment into incoherent silos

Thanks to: Tom Taormina of The Taormina Group.

144. Focus, Don't Multitask!

The biggest mistake I made was to become distracted by shiny objects. Instead of focusing just on writing and editing, I diversified right away into other avenues. As a result, I didn't have time to put in all the upfront work on all those avenues. Now I'm focusing on just the editing and writing, putting in the necessary grunt work to get things moving. And I still wonder if I'm too diversified. When you're starting out: focus, don't multitask!

Thanks to: Erin Brenner of Right Touch Editing.

145. Off The Record? No Way!

When talking to the media about your company and vision, there is no such thing as, "off the record". Memorize and rehearse your elevator pitch and try to stick to it while still directly answering their questions. I made the mistake (once) of giving a journalist some background information which, of course, became the lead story. Not only did this waste a great press opportunity, it took the story in the wrong direction.

Thanks to: Karen Howe of Mindbloom.

146. Non-Participation in Community

Entrepreneurs are well-known to form a strong community and network of like-minded individuals. Non-participation in these communities is one of the mistakes entrepreneurs MUST avoid. It is important to learn from the mentors and the business experts in your niche.

Thanks to: Eric Kates of MortgageLeads.com.

147. Who NOT To Hire...

Understanding that many start-ups are working on lean budgets, it can be very tempting to hire family members or close friends to fill in the gaps. Although they are eager to help, they are less likely to be compliant to your decisions and often tend to be extremely opinionated. The biggest area of concern is when you feel that they are not meeting the needs of the position and have to let them go, you don't only loss the employee but you are at risk of lossing the relationship.

Thanks to: Denice Davis of Obvious.

148. I Let Them Own Me!

I started a business through a well-known international firm a handful of years ago because I'd "be my own boss." However, once I signed on, they constantly provided standards, procedures, suggestions, and more to me on how to run "my business." Sad thing is, I accepted every bit of it instead of making it my own. I became a super-successful clone, striving to follow their way to a T. In reality, I lost myself and my zest for business at the same time. No more! My advice: Take ownership of YOU!

Thanks to: Kelly Ikenberry of Authentic Action Coaching.

149. But I'll Never Sell ________

Entrepreneurs are lovers - we love our companies, our "baby." And we're always ready to tell the world why our _____ is the best ever. So, when presented with new ideas, our reaction is often, "let's do it." BAD! Avoid this by adding to our Mission Statement, the phrase, "but I will never "sell ice cream (or whatever)." Share this phrase with a trusted advisor. When new ideas come, ask the advisor what s/he thinks of the idea. If the words "ice cream" are heard, move on - FAST.

Thanks to: John Reddish of Advent Management Int'l, Ltd..

150. Avoid at All Costs

Don't do it yourself. Invest in a team of professionals including an attorney and CPA to guide you and your business. Decisions made without these professionals will cause grief many times over. Decisions made with these professionals will allow you to focus on what you do best because you know your team members are doing what they do best. An investment in attorneys fees and CPA fees are just that...an investment. They are not a cost item.

Thanks to: Matthew Kamula of Kamula Law Group.

151. Are You Hiring Blind??

The biggest mistake that businesses make when it comes to hiring is not using the tool of personality assessments. They are inexpensive (considering the alternative of hiring, training, and firing) and simple to use! Don't hire someone just because they interview well. It doesn't mean they can do the job. These assessments are non-biased and will report only the facts about the applicant. You will receive anywhere from a 4 page to a 48 page report depending on the assessment purchased. Use Them!

Thanks to: Angel Tucker of Personality Profiles LLC.

152. Forcing Growth

One of the biggest mistakes an entrepreneur can make is "forcing growth". When a busines owner tries to force growth, they make costly decisions that will actually set them back instead of propel them forward. Building a business takes a lot of patience and self-control. Remember: Legacies are built one generation at a time.

Thanks to: Beverly Floyd of The Corporate Vine.

153. Where Did Everyone Go?

When becoming an entrepreneur make sure you have a support system in place so when you stumble reach out and connect with others immediately. Never give up! If you do not have a support system in place start now. With all the social media it is much easier to find like minded people. Peeps who will happily join our cheer leading team.

Thanks to: Tricia DYcka of Tricia Dycka.

154. Are You Open?

You've created your widget, got the storefront, put up your sign and unlocked the doors. But nobody is coming into the store. Why? Because one of the biggest mistakes business owners make is NOT telling anyone they are there! Get on the social networks and let folks know who you are, what you do and how you can help them.

They won't come if you don't tell them you are there.

Thanks to: Tracey Tarrant of TCT Business Solutions.

Compiled by Mike Michalowicz, Author of The Toilet Paper Entrepreneur

Tags: lesson, mike michalowicz, mistakes, obstacles, startup, toilet paper entrepreneur, Video

5 Responses to “The Biggest Business Mistakes To Avoid”

Tweets that mention The Biggest Business Mistakes To Avoid | Toilet Paper Entrepreneur Blog — Topsy.com Says:
July 13th, 2010
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Devesh Says:
July 14th, 2010
Mike: Thanks for including my tip!
Susan Liddy Says:
July 14th, 2010
Not only an excellent list of solid advice for the biz owner, yet great tips to heed for life in general.

Isn’t it amazing how much life can teach us, even from the seemingly unrelated avenues and pathways that we walk?

Enjoy this FABulous day,
Susan Liddy
Mike Michalowicz Says:
July 15th, 2010
@Devesh – You are the man!
Mike Michalowicz Says:
July 15th, 2010
@Susan – Amen to that.