and how to not make them.
We’d be lying if we said that running a business is easy. There are so many things to learn along the way through both successes and failures. With over a decade of experience in the field, our team has helped over 1000 businesses learn from their mistakes and thrive.
So, without further ado, here are some of the most common mistakes that businesses make, and how to prevent making the same ones.
Mistake #1 – Trying to grow too fast
The risks of getting too deep into the fast growth game without a solid, long-term plan include neglecting your customers, your employees and even the crucial backend tasks that are the backbone of your business.
To avoid this, it’s more effective and sustainable to opt for managed growth. This is where you forward plan so that as the business gets bigger, you adapt your systems, processes and even staff structure to accommodate. Strategies could include hiring, finance management and scouting new locations to scale your business.
Mistake #2 – Setting unrealistic goals
Too many business owners set unrealistic goals for their ventures, which can lead to negative outcomes such as stress and disappointment, late order fulfilment and even forced closure.
To avoid this, set goals that are SMART; Specific, Measurable, Attainable, Realistic and Time-Bound. This means that your goal is detailed, quantifiable (or has a clear gauge of completion or success), achievable and has a set ‘due date’ to help with planning.
With our experience and external perspective at Business Advice, we can help you use this framework to set goals that are clear, realistic and well planned out.
Mistake #3 – Neglecting e-commerce
The pandemic taught us that e-commerce is more important now than ever. For example, due to the pandemic in 2020, Australia recorded a 13.9% growth in e-commerce sales. E-commerce sales are even expected to reach a compound annual growth rate (CAGR) of 10.3% all the way through 2024, so there are no signs of slowing down!
Regardless of whether you’re a goods or service-based company, there is likely an e-commerce strategy that is viable for you. Getting into e-commerce allows you to expand your customer reach, thereby increasing your sales and contributing to your business’ growth.
Don’t forget that a strong e-commerce initiative should always be supported by a good digital marketing strategy. At Business Advice, we can assist with both areas.
Mistake #4 – Not adapting to change
As a business owner, it is vital to realise that using the exact same strategies that got you to where you are today won’t always work in the future. You have to be willing to change – the business world and consumers are constantly changing so your business must adapt to keep up!
To ensure your business is proactive when it comes to change, there are two strategies you can implement. Firstly, you need to get the best people on board and create an environment for everyone to flourish. Secondly, you need to keep up to date with trends and regulations and adapt accordingly.
Mistake #5 – Not seeking help when needed
Sometimes, to enter the next stage of a business or outrun your competitors, help is needed. An external perspective can shine a light on what you may have missed. An advisor will likely also have the experience and knowledge that you lack and by bringing them onboard, you will be able to leverage it for your own business’ growth.
Our business coaches at Business Advice are highly experienced in a range of fields and can support with all aspects of running a business such as:
1. Starting a business
2. Growing a business
3. Managing growth
4. Exiting a business
We personally vet each of our business advisors and they all join our team on an invitation-only basis, so you can be assured that you are getting the cream of the crop!
When you’re running a business it’s important to know that you don’t have to do it alone. By finding support in others, you will leverage their experience and expertise and avoid making these most common mistakes.
Business Advice is here for you every step of the way so contact us today.