Top 5 mistakes Every Tech Start-ups Makes
Running a business is certainly not easy. Besides the initial task of setting it up from ground up, entrepreneurs are always learning on the go. Despite having some of the most amazing ideas, entrepreneurs struggle to bring in different aspects of business operations together.
Don’t set yourself up for failure. Bizbrolly brings you 5 common mistakes tech start-ups make and explores various ways in which you could tackle these challenges —
1. Flying solo
Name 5 tech businesses that were started by just 1 founder. Well, while Oracle’s Larry Ellison is perhaps the most quoted founder for flying solo successfully, there are many others that have done better as a team. You may be excellent at what you do, but when you have a team of people working with you just as passionate as you are, there definitely is a greater chance for success. Business successes and failures can be shared. Ease the daunting task of doing it all, and seek professional colleagues and friends who share their passions.
2. Shortcuts with the B-Plan
Skimp your way around the business plan, and know that you are setting yourself up for failure. Having a solid, fool-proof business plan is the setting stone to your success. Identify the purpose of your business, the values, the target audience, competitor analysis and determine how you would define your successes. Your business plan must be able to answer each of these questions better than anyone else in the market. Once you get this right, you’ve devised yourself a great guide to direct the company.
3. Money is Business and vice-versa
When it comes to startups, having money is very much a big deal and it needs proper handling. One of the biggest mistakes is spending too much, which may occur when a business owner or founder becomes overly eager and hires a ton of people. At first, the entrepreneur may believe all the new employees are needed. But this will just mean burning through the start-up’s finances faster. Remember, without proper management and use of its finances, a new business may never set sail. Be sure that someone good with numbers can help out with this.
4. Ignoring a hunch
There’s nothing quite like the instincts of an entrepreneur, that I can perhaps tell you as an entrepreneur myself. It’s probably the reason many get far with their startups. So don’t ignore that hunch. Use it to advantage. But make sure that that entertaining a hunch is balanced with engaging in number crunching, viewing key performance indicators and developing business strategies based on research.
5. Forgetting the big picture and the failure to PIVOT
As a tech entrepreneur, there is one thing you must know and prepare for — Murphy’s Law. Anything that can happen, will happen, or in simple entrepreneurial terms, if it can go wrong, it will go wrong. Not everything will go as per your plan. That is why, having the ability to pivot at the right time, is something that entrepreneurs must live by. It is an inevitable part of the game. Odeo once existed as a podcasting platform. But when Apple launched its podcasting platform, Odeo pivoted. Today Odeo is that social media outlet known as Twitter.
A successful business owner always keeps a backup plan for every worse-case scenario but also be flexible and able to pivot if the original proposal isn’t going to work.