The Most Common Mistakes Before Starting a Business

 As an entrepreneur with a lot of experience in starting a business in the past, I have listed the most common mistakes for you. Some of these mistakes were made by me and the entrepreneurs around me. Remember that you don't have enough time to make mistakes and you don't have a chance to try. You have to learn from the mistakes of others and deal with more important problems. For this reason , pay attention to the list of the most common mistakes entrepreneurs make before starting a business.

Mistakes Made Before Starting a Business

The most common mistakes before starting a business

There is the problem of not knowing what you want. This may not be about you. The fact that you have to make money and the pressure it puts makes you wrong about it. Many people seek to go where the fish is. First of all, you have to reveal what you are, what you want and what you aim for.

The result of the work you started and your dreams should have a common point. For example; You have a dream of traveling the world. However, you are considering opening a market. It is impossible to open a market and travel the world at the same time. However, if you are a programmer, you can work from anywhere in the world with a computer routine. Your dreams should be able to meet at a common point with the profession you want.

 

Let's say mistakes made in tax and expense calculations. Many entrepreneurs usually calculate how much they will earn when they start a business. They only deduct the operating rent from the earnings. However, the main expense item is taxes. Take steps by calculating these costs, which may seem small but will be the biggest cost in total, such as withholding tax, income tax, VAT payment, professional association fees, accountant payments, invoice expenses.

 

Obtain transfer rights in lease contracts. Many owners do not give transfer rights to the shops they rent. When you get a good offer, you cannot transfer it without the owner's approval. Some owners may even request a share over the transfer. Unfortunately, this will cause your plans to go awry. Be sure to rent a shop with the right of transfer.

 

Decide whether to set up a limited liability company or sole proprietorship. In fact, many entrepreneurs who do not know go the way of sole proprietorship. However, a limited company has both tax, credit and some advantages. For example; When you open a shop, you don't have to deal with getting a license or permission again. Find out which one is advantageous according to the type of business you will open. Otherwise, you may have to re-establish a company.

 

Many entrepreneurs go the way of starting a business only on the capital they have. However, it does not benefit from incentives and grants given by the state. Special tax breaks are available for both young entrepreneurs and some regions. Investigate whether the business you will establish is suitable for grants and incentives. 

 

 Most of the entrepreneurs abroad devote 70% of their energy to the business plan. We do not have a business plan. If you create a business plan, every step you take will be faster. Write down what you are going to do before you start work.

 

If you are going to start a business by taking a loan, the loan amount you withdraw should not exceed 30% of your main capital. There is no guarantee of any business idea that will be established. Taking a loan can push you into insolvency and hinder your creativity at work. Having something that will cause payment pressure will put you in a psychologically difficult situation.

 

Don't make the mistake of looking for a shop near your house. This is usually done by amateur entrepreneurs. You should keep a distance between your work life and your home life. In places with a neighborhood culture, you may find it difficult to conduct business with people you are sincere. In addition, having both your home and workplace in the same place can wear you out psychologically.

 

You have to consider the working hours. If you are working in a job with regular working hours, remember that there are no longer any working hours when you start the business. Even at home, business owners may have to think about their business even while lying down. You will now devote 24 hours to your own business. Be prepared for this.

 

Let your work be connected to a system. you are not able to do everything yourself. Your goal should be to employ staff in the future. Even if you say you will work 14-15 hours, remember that you will get bored in the future because of it. yours business would not run without you.

 

Get an invoice for every expense you incur. The food you eat, the interest you pay, bills, etc. Show your expenses as expenses. For this reason, the first thing you should do after renting a shop is to get a tax plate. Because you need to have an official company registration in order to show expenses for the fixtures you buy. Otherwise, you will not be able to benefit from a large tax deduction.

 

Do not start a business without making calculations about the online sector. Now everything revolves online. Research this aspect of your job. If you can run your business online, split the investment amount equally. For example; like selling shoes both on Instagram and in the shop.

 

1 gram of action is worth 1 ton of theory. Stop thinking all the time for the best time to come or to get different ideas. Some people have the disease of being lost in thought. In this life, not those who think, but those who practice wins.

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