Business Start-up

Watch for Start-up Hazards

 Are you planning to start a new business?  There are many hazards that might be faced and avoiding these can help improve the chances of success.

Here a few hazards new entrepreneurs should try to avoid.

1. Zero Capital investment

This may seem obvious but it can overcome easily. Don’t open for business until you can prove customer validation of your concept and see real potential traction. Even if outside financing can be obtained, without personal skin in the game there may be less commitment. 

2. Indecision

Information overload can cause “analysis paralysis”. There is a finite number of ways to look at issues so make a decision a get on with the business. There is no perfect answer and many ways to move forward so don’t procrastinate.

3. Fear of Failing

It is natural to have some fear that the business will not succeed and certainly problems will arise and challenge your business acumen. However, if the concept is strong and validated you should not let fear of failing stop you from trying to live your dream.

4. Isolation - Disorganization

Don’t be afraid to admit when you need help. The business will be stronger and more successful if you take advantage of advisors and team members. Relationships should be built continuously to enhance the health of the business.

5. Cash flow shortage

Avoiding the initial investment issues does not prevent running out of cash later. It is essential for owners to know the numbers. You cannot avoid balance sheets, income statements and cash flow projections and achieve success easily. Cash should be held and parted with reluctantly. Make sure you understand where new cash reserves can be built before spending existing reserves.

Well these are some hazards you may face in starting a business. There are others but avoiding these may help improve you chances of a successful start in business. I hope this helps you get underway. Let me know.

gerry@polarisgroupmc.com