Given all the negative credit crunch/housing slump/economic gloom/ press lately Small Business Blog is reluctant to add more to the pile, but working on the assumption that it’s better not to stick your head in the sand if you’re in business, here are a few more things you DON’T want to do…
- Cash flow – a negative balance is not good, in fact it’s very bad. If your customers aren’t paying you and you’re not paying your bills, the outlook is not positive.
- Lack of research. You may think your idea is so brilliant it can’t fail, but maybe someone else has got there first or the rest of the world isn’t quite ready for your proposition – it’s worth testing the water first.
- Insufficient capital – make sure you’ve got enough to see you through at least a year’s trading.
- Bad administration – you may be a creative genius but completely useless when it comes to ensuring your paperwork is all in order. But if you don’t ensure you’re properly insured or audited for example, your genius is wasted.
- Growing too fast – this can be very thrilling, but unexpected growth can cause unexpected problems. You can’t work 24 hours a day, and new staff take time to skill up.
Read more about these common start-up mistakes here.