10 Pieces Of Advice That Lead To Bad Business Among Entrepreneurs

By Virginia Mwangi / June 16, 2020 | 9:12 am




In these hard economic times of layoff and slow business, everyone is coming up with business ideas that will help raise the needed cash to meet their expenses.

The rise of car -boot grocery stall in estate and major roads is just but one-way Kenyans are adjusting to the economy in the COVID 19 times. Today we look at the bad ideas floating around for entrepreneurs.

Never outsource funds

This is one of the bad ideas for funding thrust on entrepreneurs. While it is not bad ideas to have some of your cash in the business but it will not hurt to have external funding such as angel investors, venture capital, and crowdfunding.

After all, if you can get external funding it only means someone else believes in the business just like you. The added responsibility means that you will be more prudent in handling external funding.

Such funding will only come with a great business plan that investors buy.

Everyone is doing this

Do you remember the quail egg business in Kenya a few years ago? Well, Kenyans jumped into it afterword went round of the enormous riches attached to the rearing of quails.

Some quit their jobs only to regret. Just because you know of someone doing well with a shop, grocery or salon is no reason to jump into it

Go all the way in the beginning

Start-ups end up failing as many tests the depth of the river with both feet.  As a precaution, one should not go full force into new business despite the perceived outcome.

Taking it slow to learning to dot the i’s and cross the t’s is key. The initial hurdle of going full force may force one to sink deeper into debt or trouble thus giving up eventually

Be worried about what might go wrong

The world is full of skeptics who will tell you all that could go wrong in business. They will discourage you from flying stating statistics of flight crashes; discourage you from driving or even cycling. You may never go anywhere if you listen to them. Being confident in yourself and belief in your business ideas is most important before you tag others along to your dream idea.

Ignore your intuition

The worst advice is to ignore one intuition in business.  This is information collected and processed at the subconscious level. The decision is mostly based on hard data but ignoring intuition outright is wrong

One needs to do research to validate the feeling or write them off.

 

Spend less than you make

This sounds like good advice but in-depth it is outright wrong. The approach to spending less than you make encourages one to approach finance with a survival mindset.  Just like one who pays expenses first then saves. By saving first, you push yourself to meet your expenses thus growing your revenue streams. By changing the business goal to make more than you spend will one be able to grow business.

Passion over money

Having a passion for the business is not enough as running it takes a toll on one’s energy due to the long hours and dealing with lots of people. Passion will only get you to a certain point after which one has to persevere. Hope going to business is genuine enough to take you to enable you to persevere the hard times.

Watch your staff

Having staff under tight control is the worst advice one can receive. While it is good to manage, micromanaging makes the staff feel under no freedom apart from tiring oneself.  Know what is going on but let people do their job and grow their talents to the best of their ability.

READ: Top 5 Personal Budgeting Techniques To Give You Financial Independence







More Articles From This Author







Trending Stories










Other Related Articles










SOKO DIRECTORY & FINANCIAL GUIDE



ARCHIVES

2020
  • January 2020 (272)
  • February 2020 (310)
  • March 2020 (390)
  • April 2020 (321)
  • May 2020 (335)
  • June 2020 (327)
  • July 2020 (334)
  • August 2020 (276)
  • September 2020 (180)
  • 2019
  • January 2019 (253)
  • February 2019 (216)
  • March 2019 (285)
  • April 2019 (254)
  • May 2019 (272)
  • June 2019 (251)
  • July 2019 (338)
  • August 2019 (293)
  • September 2019 (306)
  • October 2019 (313)
  • November 2019 (362)
  • December 2019 (319)
  • 2018
  • January 2018 (291)
  • February 2018 (213)
  • March 2018 (278)
  • April 2018 (225)
  • May 2018 (238)
  • June 2018 (178)
  • July 2018 (256)
  • August 2018 (249)
  • September 2018 (256)
  • October 2018 (287)
  • November 2018 (284)
  • December 2018 (185)
  • 2017
  • January 2017 (183)
  • February 2017 (194)
  • March 2017 (207)
  • April 2017 (104)
  • May 2017 (169)
  • June 2017 (205)
  • July 2017 (190)
  • August 2017 (195)
  • September 2017 (186)
  • October 2017 (235)
  • November 2017 (253)
  • December 2017 (266)
  • 2016
  • January 2016 (165)
  • February 2016 (165)
  • March 2016 (190)
  • April 2016 (143)
  • May 2016 (245)
  • June 2016 (182)
  • July 2016 (271)
  • August 2016 (248)
  • September 2016 (234)
  • October 2016 (191)
  • November 2016 (243)
  • December 2016 (153)
  • 2015
  • January 2015 (1)
  • February 2015 (4)
  • March 2015 (166)
  • April 2015 (108)
  • May 2015 (116)
  • June 2015 (120)
  • July 2015 (148)
  • August 2015 (157)
  • September 2015 (188)
  • October 2015 (169)
  • November 2015 (173)
  • December 2015 (207)
  • 2014
  • March 2014 (2)
  • 2013
  • March 2013 (10)
  • June 2013 (1)
  • 2012
  • March 2012 (7)
  • April 2012 (15)
  • May 2012 (1)
  • July 2012 (1)
  • August 2012 (4)
  • October 2012 (2)
  • November 2012 (2)
  • December 2012 (1)
  • 2011
    2010
    2009
    2008
    2007
    2006
    2005
    2004
    2003
    2002
    2001
    2000
    1999
    1998
    1997
    1996
    1995
    1994
    1993
    1992
    1991
    1990
    1989
    1988
    1987
    1986
    1985
    1984
    1983
    1982
    1981
    1980
    1979
    1978
    1977
    1976
    1975
    1974
    1973
    1972
    1971
    1970
    1969
    1968
    1967
    1966
    1965
    1964
    1963
    1962
    1961
    1960
    1959
    1958
    1957
    1956
    1955
    1954
    1953
    1952
    1951
    1950