5 tips to help first-time business owners
Start-ups are hard and if you’re a new to it, things can fall apart easily. So how do you make sure you don’t make naive mistakes as a first-timer?
We’ve put together 5 tips that will help you do better in your new business.
- Focus. Focus. Focus. Many first-time entrepreneurs feel the need to jump at every “opportunity” they come across. Opportunities are often wolves in sheep’s clothing. Avoid getting side-tracked. Juggling multiple ventures will spread you thin and limit both your effectiveness and productivity. Do one thing perfectly, not 10 things poorly.
- Know what you do. Do what you know. Don’t start a business simply because it seems sexy or boasts large hypothetical profit margins and return. Do what you love. Businesses built around your strengths and talents will have a greater chance of success. It’s not only important to create a profitable business, it’s also important that you’re happy managing and growing it day in and day out.
- Act like a start-up. Forget about fancy offices, fast cars and fat expense accounts. Your wallet is your company’s life-blood. Practice and perfect the art of being frugal. Watch every pound and triple-check every expense. Maintain a low overhead and manage your cash flow effectively.
- No one will give you money. No one is likely to invest in you to begin with, if you need large sums of capital to launch your venture, go back to the drawing board. Find a starting point instead of an end point. Scale down pricey plans and grandiose expenditures. Find ways to prove your business model on a shoestring budget. Demonstrate your worth before seeking investment. If your concept is successful, your chances of raising capital from investors will dramatically improve.
- Learn under fire. No business book or business plan can predict the future or fully prepare you to become a successful entrepreneur. There is no such thing as the perfect plan. There is no perfect road or one less travelled. Never jump right into a new business without any though or planning, but don’t spend months or years waiting to execute. The most important thing you can do is learn from your mistakes.
At CBX we support start-ups and small businesses. Our Business Insurance policies offer protection for commercial buildings and/or contents from fire, theft, storm, escape of water and much more! Give us a call on 020 8587 1073 today!