Top 5 Traps To Avoid When Setting Up A Business
When starting your own business getting it off the ground will push you to the limit. To make it a success you’ll need painstaking research, paired with plenty of grit and determination. In this blog, we’ve compiled just some of the common errors to steer well clear of when building your business…
- Not writing a business plan
You may think that business plans are something for Starbucks and Adidas to worry about. But that’s simply not the case. The main purpose of a business plan should be to recognise goals you want to achieve and the timescale in which you want to achieve it. Getting your plans down on paper will help you stay on the straight and narrow and act as a useful reference point for identifying when and where things went wrong should that happen.
- Not enough cash to run the business
‘It’s all about the money’, ‘Money makes the world go round’ – some common sayings that hold true in the world of business. One thing’s for sure, when you first start out on the road to building your business you’ll be guaranteed to encounter a few financial surprises on the way. Don’t overlook the small things like stationary costs and postage, it all adds up.
- Underestimating promotion
You could have the best product or service in the world but if nobody knows about it, it won’t sell. You can’t rely on the generosity of family and friends to spread the word about your valiant efforts. Business acquaintances who promised to give you the foot up you so desperately need often won’t. Plan out a carefully thought out marketing strategy for your business. Single out your target audience, the ways you plan to reach them and how much you’ll need to spend to do that.
- Being inflexible
Not being tuned to changes and shifts in your industry will only do your business damage. If an alternative route is needed then you should be flexible enough to jump into action if it’s in the best interests of the company.
- Not automating your work processes
Sometimes there will be moments in business when things are so good, it will feel like no-one can stop you. However tedious admin never goes away and often takes the wind out of your sails. Automating repetitive tasks with accounting software will leave you feeling safe in the knowledge that the important account stuff is being taken care of. If you find yourself raising an invoice for the same amount for the same customer every month, then you should let the software do that. The same goes for chasing customers for late payments. One click accounting will save you heaps of time and most importantly keep stress levels down.
KashFlow is software that works how you’d expect it to work, without using confusing jargon or complicated processes. You can manage your business finances from anywhere and create professional, branded quotes and invoices in minutes. For a free no-obligation 1-2-1 demo just call the KashFlow on boarding team on 0844 815 5779.