When I started my first company I made more than 5 mistakes.These are the 5 biggest:
- Wrong staff.
Staff is very expensive for a starting company and it can be fatal if you adopt people who don’t fit you. We were very much in the eye. Only after some “mis-hires” we went to see that. Has cost a lot of time and money.
There are so many things that you assume are true, which you have to test. For example, we had the idea that China would be a huge growth market for us and therefore included in our business plan. However, we had no idea how we could conquer that market, which did not succeed. We had better first to test whether the assumptions we had done were beating.
Money is so easily spent. We bought a property from our liquidity while our company grew up within 2 years. Sin of the cash flow that we could have spent much better.
We did everything in the beginning. We tried to redeem all odds. Therefore we did a lot of things but not good enough to make them a success.
The parties I worked with in the beginning had made promises, but there was no formal arrangement if they did not. As a result, I was stuck to them, whether I liked it or not. Making clear agreements at the beginning (this really doesn’t have to be very complicated) had a lot of fun. I started a single case in Pest Control.More known as ‘ pest control ‘ although my focus was on prevention and hygiene audits. My clients mainly large food companies, hospitals,..
I started as a single business at the same time as a partner.The intention was to cooperate with larger assignments and given some of my customers in case of an emergency a continuous service expected to assist each other in case of illness or vacation.
5 Mistakes I can’t think of.Main reason: I had thoroughly prepared myself for months and thought that I had not overlooked anything. And indeed, things turned out to be better than my best prognosis beforehand. Nevertheless, a few things went wrong.
- Accountant: I took a me by a trustworthy person recommended to the accountant.
Afterwards, that self-employed ‘ accountant ‘ turned out to be someone who exercised it as an appeal and had no experience at all with the self-employed or companies. That has cost me quite a lot of money the first year. So take an experienced accountant, even if it costs a little more.
Until I once received a complaint from the parent company, himself on inspection and discovered that he had not been there in months and therefore invoiced me for years for work that was not or barely performed. It turned out that he had not visited any of my clients in my holiday period. The difficult lesson for me then was that trust in a partner is beautiful and even necessary but that your best appointments clearly put on paper.