5 Traps Every Entrepreneur Should Avoid - Decision Tree

Originally posted on www.ciba.org.in

The initial days of every startup are full of excitement and emotion. Entrepreneurs tread through many stages and processes to launch, establish, and gradually grow their startup venture.

In present times, when startup and entrepreneurship are the buzz words, a plethora of information, opinions, and stories related to the startup ecosystem and its participants streams in from all corners – making entrepreneurs susceptible to many false notions regarding the right way to steer their startups.

While your Google searches would not discern between a piece of genuine advice and a trending lie; we bring to you 5 snares you must watch out for during the initial days of your entrepreneurial journey.

Lack of a Business Plan

No matter how ingenious your idea is, without a solid business plan it would be a Ferrari without any gas in the middle of a wasteland!

A concrete business plan is like a blueprint for your startup’s success. It helps you define sellable products / services, set the right pricing, and precisely define the target customer base. Moreover, a good business plan will help you chalk out your growth plans and help you scale up your venture. Also, it can’t be more obvious that no investor or VC firm will even consider a startup without a good business plan.

Run a ‘One Man Show’

Planning to be the Jack of all Tricks? Well, abandon the idea instantly and hire an able team. Most entrepreneurs fall in the trap of trying to run each and every aspect of their startup, only to fail a potential business idea. As the head of the business, you must take the steering wheel and focus on the road ahead, while the team takes care of their specialized roles. Remember, you can scale up your operations, build a stronger brand, and move ahead of competition only with the help of a team.

Develop a Peerless Product

Everyone around you will say that building an innovative solution or product is the key to success, and all your focus should be invested in doing so. True, but your offering is innovative and peerless only till the time it hits the market. In today’s hi-tech and fiercely competitive world, you cannot afford to enjoy the fruits of an invention for a long time. Someone will catch up soon, and chances are, working on your vision and technique, may even launch a far superior offering in very less time! From Facebook to Twitter, and Snapdeal to Flipkart, we have seen that the key to be on top is to continuously hone your offerings to meet the fast evolving preferences of your customers, and surpass your competition.

All Work and No Play

The quintessential 24X7 work culture attributed to startups is rather a dangerous fad for the entrepreneurs. Businesses are run by people. And people, being social animals, need to let their hair down every now and then, and socialize. The biggest support for entrepreneurs doesn’t come from customers, vendors, or investors. It comes from friends and family; people who love you and stand by you through thick and thin. Reciprocating this selfless devotion from your loved ones by spending quality time with them will help you tackle business challenges with ease.

Ignore Incubation Support

All mighty businesses were once vulnerable startups. It is essential for businesses to reach out and seek as much help as possible during their initial days. Thankfully, the incubation support is increasingly being made available across the country. Incubation centres not just provide the much needed infrastructural support (office space, seamless internet connectivity and power), but also provide valuable mentorship support. Add to this the handholding in planning and executing marketing efforts, as well as phenomenal exposure and free press through various networking events.

While we list these top 5 tips, entrepreneurs should decide the best course of action for their startup. Tune in to your true instincts, weigh the pros and cons, and stick to the vision of the business before taking crucial decisions.