Working for yourself has worked out for many the world over, and it can work out for you, too - but only if you know what you are doing. There are plenty of mistakes to be made in business. Below are some of them.
Incorrect Target Audience
Whether you are selling products or services, it does not mean that each and every person that you encounter is a possible buyer or patron of your business. This is a common mistake that the self-employed make – sometimes, it’s even a case of desperation, just to have food to put on the table. Still, it is important to know that seeing everyone as a possible buyer can work against you, whether you sell to family members or friends. You will just be wasting your breath and energy in doing this. Also, do not accept every business relationship opportunity offer that comes to your doorstep, as a lot (though not all) of them will turn out to not be beneficial for your business. Networking is best done wisely, or it could mean a lot of trouble, trying to maintain these business relationships.
Let’s say that you are just starting out as a self-employed individual, and you have some money to invest. The common mistake that a lot of us make is immediately investing our savings into the business we have in mind, and by the time the business picks up somewhat, we are already deep in debt. It is better to do things strategically than to invest all your money into this business venture.
Likewise, being unwilling to spend enough cash is not likely to generate you sufficient income. If your business will be more efficient by spending extra, then spend the extra investment. It might even be wise to seek the help of contractors who will be able to handle some tasks better than you. It is only good to purchase some equipment if it is evident that you will be maximizing your use of it. If you’re a video editor, it doesn’t make sense to invest in a computer that is old, and will take forever to render videos. This will slow you down, and not allow you to generate as much income.
Being Dishonest Or Pretentious
Lack of honesty is something that a lot of entrepreneurs are guilty of, and dishonesty can come in many forms. It can seem trivial to you, such as referring to your business as if you are working with a team, when you are working all by yourself. Present yourself as you are, especially if you don’t want things to backfire.
Thinking “It’s In the Bag”
A lot of us tend to assume that our business venture is “in the bag” even before we have solid, stable proof of it. Even contracts that are signed can be of no value, if a company’s CEO figures out that he does not wish to go through with the deal.
There are a lot of mistakes that we make as self-employed individuals, but by far among the worst is not trusting one’s deepest emotions and analytical skills. In other words: one’s intuition. Most of the time, we get a good or bad feeling when we get ourselves into something, and this sense is validated when we are faced with the outcome of our decision. Working for oneself and venturing into a business is best done wisely: with a lot of planning and studies conducted, and it always helps to trust our gut feeling and invest in our common sense when we are our own bosses.