8 Common Entrepreneurial Mistakes you can easily avoid (1) (1)

8 Common Entrepreneurial Mistakes you can easily avoid

To err is human but to turn around that err is entrepreneur. Entrepreneurship is a metonym of learning and learning is all about knowing how to get up even at the face of a great fall.

Mistakes are inevitable but caution is imperative. There is a bounty treasure of knowledge tucked in the stories of entrepreneurs – in the tales of mighty rise and drastic disasters. Learning from their experiences you can surely avoid making these 8 common mistakes that have dug more graves than a stock market crash.

8 deadly mistakes that young entrepreneurs make.

1. Lacking clear vision

Vision is like the headlight of your car, without it you are sure to smash. Pen down your vision and carve out clear goals for your business. This not only helps you stay in the right track but also lets your employees know what you expect from them.

Awesome vision statements from leading companies.

2. Skipping the sketch

Sketching a well-thought business plan is of paramount importance that many entrepreneurs fail to see. Planning makes things simpler and organized. It not only helps you pass the pits but also equips you to save finances, make better decisions and make optimum utilization of resources.

Seven Steps to write an amazing business plan

3. Perishing perseverance

Try and try again until success comes knocking at your door. This is an old saying that most entrepreneurs fail to understand. There is no such thing like an overnight success, every success story has a back story of relentless efforts and unshakable determination.

10 Pro tips to becoming a successful entrepreneur

4. The deaf ear

Entrepreneurs often turn a deaf ear to the critics and connoisseurs. They just talk, talk and talk about the big ideas and their great ideals. Listening is an art and it is very essential for entrepreneurs to absorb well for creating things that really sell.

5. Flying far from reality

Young entrepreneurs are big dreamers, they dream of denting the universe to become the next Mark Zuckerberg or Jeff Bezos in no time, thus flying far from reality. While dreams are a boon but illusion is definitely a bane for the young entrepreneurs. Start small, be reasonable, live in present and then dream about the future.

6. Doing it all alone

It’s a common sight to see enthusiast entrepreneurs juggle with a sprawling list of tasks making futile attempts to erect an empire all alone. To grow a successful business, you have to allow it to flow beyond you.

Tips to hire the right man

7. Missing on marketing

This is one blunder that many entrepreneurs commit and they end up paying a hefty price. Cutting down on marketing to save budget is just like not wearing a watch to save time. Many entrepreneurs turn a blind eye to marketing and brand positioning keeping their product from reaching the target audience.

Low cost marketing ideas that works for all start ups

8. No back-up plan

Being is business is like sailing in an ocean of unpredictability and entrepreneurs must have a back-up ready to pass through the hail and storm. The unforeseen losses, changes in policies, shift in customer demand or an unexpected attack anything can shake their sustainability.

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Things you must know before Franchising your business?

Things you must know before Franchising your business?

Who does not like the idea of a growing business and expanding territories without even spending a fortune in capital investment? Well if you are running a thriving business and have tasted the flavour of success, then franchising might seem to be the most alluring option for you to explore.

Franchising has earned the crown of being the best feasible way to rapidly expand a network. Its ceaseless perks including faster growth, strong brand recognition, dedication and commitment of an owner-operator, shared capital, local contacts and expertise, marketing bonanza, de-risking business among many others make franchising a tempting bait.

However, despite this big bouquet of advantages, not all franchises see the dawn of success. Each year thousands of franchises sprout from the seeds of start-up ideas hoping to achieve the feats of Subway or McDonalds but only to be shut down within a year of realising all the potholes along the way.

So, what’s the deciding meter that sets the destiny of one into a trending story and another into another lesson from failure? There is a lot more to this fascinating charm from franchising. From analysing if franchising is a suitable model for your business to strategising the model for better replication; it is a process involving some hard math.

So, here we have listed the lesser known facts you must know before putting your bet on franchising your business.

Is franchising the right option for your business?

No doubt franchising is an enticing option, but does it fit the criteria to propel your growth aspirations. Every business is unique and so is its working module and targeted goals. It is very important to understand the world of the franchise and scrutinize deeply if this model really suits your business. So, the first question, to begin with, is – Is my business franchisable.

Check out by answering the following questions:

  • Have you gained enough expertise and experience in your business?
  • Is your business earning a good profit?
  • Have you expanded your base to more than one locations successfully?
  • Is your business model replicable?
  • Is the business easily teachable?
  • Do you have provisions to provide training and support?
  • Have you applied for patenting your model?
  • Can your business offer a quick return on investments?
  • Are there other franchise competitors in your field?
  • Have you tried operating your business from multiple locations?

Before entrusting others with the job, it is always better to taste the water once. Most successful franchises have opted for this option after establishing seamless operations from multiple locations. These companies have more experience, capital and human resources which comes handy while extending through franchising.

Can you bear the costs to Franchise Your Business?

Franchising is a “low cost” means of expansion; not a “no cost” means of expansion. Contrary to the popular myth that franchising is all about convincing others to chip in, it does need some solid capital from the franchisor. 

Do you have a precisely documented process in place?

The moment you step out to franchise your business, everyone would ask you the papers of your processes. A well-documented training program sorted legalities, competent staff, and organizational procedures everything must be on paper.

Protecting your image

The moment you hand over the responsibility of your brand to an ally it becomes very crucial to monitor their actions and guide them throughout to keep up the reputation that you achieved. With comprehensive training, access to a detailed operations manual, and regular marketing support this can be assured.

The franchise agreement

This is the certificate of your franchise, the bond tying the franchisor and the franchisee. A clear crisp easy to understand agreement is what lays the foundation of this relation and as we all know a strong franchisee-franchisor relation is an ultimate key to franchise success

27th March_Grow Franchisee1-

Important questions to ask before buying a franchise

The time is right to plunge into the world of business with favourable government policies supporting endless business opportunities. 

Start-ups are exceeding all expectations but building a brand is a bold route with risks involved. Franchising on the other hand, is a fresh take for first-time business owners to hit a home run with an effective business model.

Franchising is undoubtedly a lucrative model with guarded risk that is hitting a great momentum in the Indian market. However, while choosing from the bouquet of thousand options available, it is important to pick that one right option that fits your aspirations perfectly. And for making the right decision, you must ask the right questions.

So, if you are pondering on the idea of buying a franchise then here is all you need to ask before taking the big leap.

Will I be able to take on the responsibilities for managing my own business? 

All the glamour of “being your own boss” comes with its own set of risks and hardships. The franchise system offers training and ongoing support, but it is on the franchisee to manage the business.

Will I enjoy the work? 

While choosing a franchise it is very important to understand your interest and expertise. Without the basic knowledge and interest in the industry, it becomes very difficult to sustain the competition.

Will I fit into the box? 

In a franchise model, the consistency of the product or service is the key. So, everyone must adhere to one particular model of operation and there is not much scope for individualistic creativity. 

Will I be able to fund the franchise? 

Financial stability is the most crucial question one must ponder upon. Having adequate capital not just to buy the franchise but to operate it successfully until it turns profitable is the biggest challenge.

Have I checked all the legal documents? 

Before signing any documents and sealing your opinions it is very important to read all the documents. Franchisors are required to mention all their terms and conditions in the agreement documents and reading them thoroughly and understanding each point helps you in making better decision.

Does the franchise have a successful track record? 

The success of a franchise depends on multiple aspects apart from the product or service. The model at the core and the support from the franchisor offered to the franchisee also impacts the success rate of the business.

Think about how long did it take to see a return on investment? 

Getting the sense of when to expect a return on investment helps in planning and securing your financials.

Does the franchisor provide training and support? 

This is a very important aspect often neglected. Getting updated knowledge and hands-on-expertise on the business helps you thrive like no other.

How is the competition in the market? 

Though franchisors ensure a single franchise within a locality, it is important to know and identify other potential brands that might be a tough competition.

Are there any unexpected costs? 

Hidden costs are the worst thing that can happen to a budding business. Putting all the dimes to start a new business hardly leaves you with spare funds to incur the hidden costs.

These are few of the must-ask questions before starting your own franchise business. Do let us know if you have any other questions in the comment sections.