6 Mistakes that Every Company Founder Must Avoid
A mistake is an opportunity to learn and grow. A small mistake can be seen as an opportunity for learning and growing, so one mustn’t be wary of taking up challenges — especially if you’re a business owner or someone looking to carry out new business setup in Dubai. Once you know what not to do, you become one step closer in knowing what exactly it is you must do to carry out a Dubai business setup and succeed in it.
With that being said, one mustn’t go out of their way in committing business setup mistakes; not when they can learn from the mistakes of the other entrepreneurs before them.
Below are 6 mistakes that every entrepreneur must give a wide berth to:
Forgetting the Competition
Even if you think you have found that rare niche nobody has yet ventured into, you’re most probably wrong. You will always have a competitor. There will always be a competitor in your domain that will pull away your clients if you’re not too careful. Never let down your guard and remember that you are not alone. Study the market diligently, and understand who is up against you and plan accordingly before setting up a business in Dubai.
Not Spending Enough (or Spending Too Much)
As someone who just got into setting up their business in the UAE, money is going to be a major concern. Most entrepreneurs that start off have little to no money to spend, and those that do, spend money prematurely without adequate knowledge. One must align themselves in the middle. Whenever you spend on a company asset, take into careful consideration your financial fund limits.
Hiring People Based on Cost
When you’re tight on funds, hiring cheap resources can seem to be an easy solution. However, more often than not, you’d pay the price in the end. Cheap resources come off as cheap because they would probably be unskilled, unreliable, or inexperienced. You do not necessarily have to overpay someone, but you will have to reward those employees who know what they’re doing. Employees are the backbone to every organization. Ensure that you hire accordingly.
Thinking It’s All on You
In the beginning, it is common to get ahead of yourself and get under the impression that no one with your business idea can execute the plan as good as you. That’s a mistake. Overextending yourself isn’t a good long-term idea.
Also, because you find your niche and have a great business idea to setup new business in Dubai, it’s not to mean that there aren’t any other skills you lack. If possible, take the assistance from a mentor or a consultant, and outsource the areas you’re weak in. You won’t know everything and they won’t know everything, but together, you can achieve the goal.
Putting Your Product First
This is not really a mistake, but can become one if it comes at the expense of your client. Your clientele is what make you money, not the actual product itself. When creating your product and crafting your business plan, always have a customer-first mentality. You won’t have to worry about money if you prioritize your customers.
The key to a sustainable business is having a customer base that’s loyal and satisfied. If you want your business to succeed long term, then you will have to maintain a healthy clientele base.
Making your Margins too Small
A healthy profit margin is invaluable to your business. Setting it too low will introduce unforeseen difficulties and will unnecessarily hinder your business’s growth. This is because, eventually, you will have to raise your prices and you will, gradually, lose customers. It’s better to set a realistic profit margin right from the beginning.
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