By Mark Halstead
Starting a new business in any field is never likely to be a walk in the park. Whatever your specific goals are there will be any number of ways in which your pursuit of success could be scuppered.
But there are also some predictable problems that all start-up operators should be looking to avoid if at all possible.
Here’s a look at 4 such pitfalls well worth having in mind if you’re embarking on a start-up journey of your own.
1. Failing to properly prepare
Quite what amounts to “properly” preparing to start a business is always going to be a matter of opinion and individual judgement but the list of companies that fail because their founders didn’t do their homework is endless.
Missing opportunities to launch can be a problem too but failing to gain a clear understanding of the market you’re entering and what your business will offer is almost a sure-fire way to leave your start-up struggling from the outset.
“By failing to prepare, you are preparing to fail.” – Benjamin Franklin
2. Taking on too much debt
Not every start-up company can attract investment funding on a significant scale and use it to make rapid and worthwhile early progress. Therefore, taking on debt can be essential and unavoidable for start-ups looking to get their ideas off the ground.
However, taking on too much debt can leave new businesses with a burden that quickly becomes too much to bear. As a rule of thumb, it is generally a good idea for start-up operators to only borrow as much money as they really need, rather than as much money as they are able to secure access to.
3. Staffing up too soon, or too late
Figuring out when and on what scale to take on more staff to help