Top 3 Mistakes Small Business Owners Make

by Louis Tanguay - September 9, 2015

Top 3 Mental Mistakes Small Business Owners Make
Small Businesses sometimes make mistakes. A small business isn’t by nature prone to any more mistakes than the big businesses. They just generally suffer from some of the more basic mistakes due usually to the fact that the business owner wears many hats and might not be able to have the type of delegation which a large corporation has. This by natures creates some undersight through no fault of the small business owner. Also due to the constant busy state most small business owners find themselves in, the inability to stay focused on what’s important creates some issues. We have isolated, outlined, and recommended remedies for the 3 Biggest Mistakes which many small business owners make which causes lost profits. Please share this with your network of small business owners, so we can help as many as possible.

MISTAKE #1:
Forgetting The Number One Rule of Business: Business is All About Relationships.

Customers want to buy from companies and people they trust, and value the products from. Customers will refer their friends, family, and acquaintances to businesses and products they have good relationships with (product works great for them, company had great customer service, sales person was there for them every step of the way, etc). The web allows companies more opportunity than ever to develop, nurture, and expand upon relationships with their customers. Focus first on the customer, and you’ll find that you’ll have better customers, better conversions, and better evangelists of past customers who go out and spread the good word about you and your services which of course leads to new customers. Keep that Circle of Marketing going and going and going…

MISTAKE #2:
Losing The Money-Making Mindset Which Help Them Become Successful In The First Place.

Most businesses start out with the money-making mindset, where the small business owner will take out a loan, take calculated risks, and invest in the future of their business. The most successful small businesses also have great products and strategies.

When a business becomes successful, or at least stable, most owners unfortunately flick a mental switch and enter what we like to call “Reverse Thinking.” Instead of focusing on how to make money, and stick to the strategies and tactics which got them there, they get complacent and comfortable and afraid. Ever see a sports team “playing not to lose” instead of “playing to win?” This is what happens to businesses who eventually fail. They plateau, get comfortable, then stay there until the business eventually starts falling off because they’re not nurturing it and growing it. Your competition new and old is staying up with things and thinking of ways to beat you. Don’t let them. Keep moving and planning and stay successful by going back to the things which got you where you are (or keep doing things which are working and getting you on your way).

MISTAKE #3:
Choosing Vendors & Services Based Solely On Price, and Not ROI.

“How Much Will This Cost?” is the LAST question you should be asking, not the first. The first question you should always be thinking and asking is “How Much Money Will This Make Me?” This way, you will know what your Return On Investment is when you do get to the pricing question. Pricing on services is usually flexible depending on what your specific needs and strategies are. Find out the level of success you want to aim for, first, then find a price program which fits into that. When you’re about to buy a car, you don’t go looking for the cheapest car you can find, because “all cars are the same.” You know what you want in a car, then look for cars in a range you can afford, and find the best car for your needs and purposes. Same with services. You can always find “cheaper.” Most of the time, though, “Cheap” is still “cheap” in many ways other than cost.

If a vendor or service provider can’t give you numbers, expectations, and strategies on how their product or service can meet your business goals, then walk away. Actually, don’t walk away…RUN AWAY! Any company that can’t address your business goals with what they’re providing is just going to be a complete waste of your money. No matter how cheap the price is, if someone can’t give you expectations of results, then any money you spend is wasted money. We believe you should never waste money.

If I gave you the option to spend $500 on something that would never work, or spend $2,000 on something that would make you $10,000, and have a strategy to get you there….which would you choose? (Hint: If you chose $500, please read this article again.)

—

So there you have it! Now you can promise yourself to never make any of these 3 mistakes and you’ll be well on your way to getting the kind of success you deserve and desire. You’ll know how to stay focused, stay strategic, and keep moving in an upward direction with your small business! If you need some assistance, call us and ask what we can do to help you, or check out our online Marketing Course for Small Businesses, which can help you learn at your own very affordable pace.