When we started out, we registered our company, opened a business account, got our tax clearance certificate and placed few ads. Some on very expensive useless platforms and others on cheap useless platforms. Then we sat back and waited for the clients to appear and the money to roll in. We got three clients, followed by a big fat nothing.
There we were with our registered company, business account and tax clearance certificate but not many jobs, and no income. It took a while to figure out where we went wrong. And here are some of the mistakes we've made along the way:
Mistake #1
Expecting clients will magically appear after placing a few ads - the reality is you still need to market your company yourself, don't sit back and wait for responses from potential clients
Mistake #2
Opening a business account before having any clients - business accounts cost money and the bank charges will accumulate over time and you can easily have arrears running into thousands of rands. Rather use your personal bank account until you have a constant income.
Mistake #3
Not keeping abreast of the latest development in the industry - we had our first business in 2006 and we thought we could just walk in and pick up where we left off almost ten years ago at the time. The electrical industry has changed so much since we've left it and we were totally unaware of those changes. It took a while to figure out that electricians now come as a package on big projects and no longer as an individual service. Fortunately, we did catch on in time.
Mistake #4
Refusing help when it was offered to us - a successful businessman offered to mentor us for free but we never took him on the offer. That would've saved us a lot of heartache and stress because he could’ve shared very valuable information on what pitfalls to avoid.
Mistake #5
Inability to say no to expensive advertisers - Everybody will tell you that their platform gives the best exposure and the best value. Don't believe them. Say no if you can't afford it. And say no even if you can afford it. Don’t agree to anything unless you are absolutely sure it will work for your company.
Mistake #6
Not taking social media seriously - we left it until very late before we started using Facebook, LinkedIn and other social media platforms. We're not experts and we can't afford yet to pay someone to do it, but the networking and exposure for our company have been incredible.
Mistake #7
Not keeping track of our expenses by not investing in decent bookkeeping software - this is a big one for me. There's no way you can grow your company if you don't know where the money is going. If you can't afford a bookkeeper, invest in decent software so you can keep track of every cent and every transaction.
Mistake #8
Not investing in our personal development - Spend the money on how to learn to become better in business. If you don't have the money sign up for the newsletters of motivational speakers or business / personal coaches. It's free with the option of paying for training later on. The information and tips they share can be invaluable to you and your business.
Mistake #9
Thinking success will happen overnight - Fat chance of that!
These are some of the mistakes that we've made. Some will be common, others won't mean anything to you, while others will be painful reminders. One thing is certain, you will make them and you will learn from them.