5 worst tips for a budding entrepreneur
5 worst tips for a budding entrepreneur
Anonim

You've probably heard these recommendations from business consultants and other “knowledgeable” people, but they don't really work. Moreover, such advice is harmful to the cause. So says Clate Mask, founder and CEO of Infusionsoft, worth about $ 100 million. Perhaps, his opinion is worth listening to.

5 worst tips for a budding entrepreneur
5 worst tips for a budding entrepreneur

Kleit says the best way to get a lot of unsolicited advice is to start your own business. On the one hand, without prompting, it would be difficult for him to make Infusionsoft a successful company. But the problem is that most of the huge amount of these tips were not useful to Kleit, and some turned out to be even harmful. We present to you five of such harmful tips. Next - a word to Kleyt himself.

1. Don't get attached emotionally to employees

It's not about office romances. I was advised not to enter into friendly relations with employees and colleagues, to maintain a distance between them and myself. It makes some sense, but in my case it didn't work. By launching and promoting your business, you get the opportunity to contact many amazing people. Work becomes much more enjoyable when you spend work time with people you like and are friends with. Believing that your relationship does not go beyond the business, you impoverish yourself.

2. Go beyond your target market

Infusionsoft serves small businesses, but a few years ago there was a great temptation to expand its reach to large enterprises. I was advised to go beyond the target market and get more clients. But I thought that I could not change the essence of the company. All of our employees are dedicated to working with small businesses, and I do not want to dissipate my strength. I refused, trusting in my gut, and in the end I won more than others.

3. Automate customer service

In the high-tech industry, the prevailing trend is to keep the need for human contact with the customer to a minimum. This saves money on service departments. Maybe this is good advice for companies serving large firms, but our clients need our help and are willing to pay for it. Be careful. It's easy to overstep the bar when automating your service, and the result will be customer dissatisfaction.

4. Don't involve family and friends in your business

I started Infusionsoft with my brothers. When people found out about this, they expressed extreme skepticism. Everyone seems to be convinced that a business started with a family will never grow beyond the boundaries of a "small family business." But I think working with friends and family is a good idea (I don't mean crazy Uncle Bill with his time machine project). The trust that exists between friends and family members will help you through the most difficult times. And this is very important. When you start a business, you need any support you can get.

5. Do not take loans

I do not like personal debt, but in business there are reasons to raise money from outside in order to develop. Borrowed funds can accelerate the growth of a company, and this can be very beneficial. If the use of credit money will benefit your customers, employees, partners and shareholders, then it is worth thinking about it seriously. I constantly see entrepreneurs with an annual income of $ 500K to $ 3M who consistently avoid any loans. I think that in most cases this is a mistake because it reduces the possibilities. If the business is firmly on its feet and is developing steadily, then taking loans for further growth is not at all scary.

Kleit concludes by saying that sorting advice into good and bad is a tricky business, no one can be right all the time. The bad tips listed above may turn out to be great ideas for some. Do not take anyone's word for the ultimate truth. Every business is unique, and you should trust your own opinion and instinct the most.

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