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Seven Costly Mistakes People Make While Operating a Home Based Business
My Story (Short Version)
My name is Ray Matthews, I am married with 6 children and 4 grandchildren and I love the life I have chosen to be a work at home dad. I could be with my wife and children and do the important things that life is made of. Sure I’ve had my ups and downs, successes and failures, but longevity in a home business is a process that you learn as you go. I want to give you some secrets that I have learned over the years that will apply to any home business. Here are some mistakes that will cause certain failure in a home business. Don’t just read this article, absorb it, consume the information here and increase your chances of astronomical success!
Costly Mistake #1 – You’re in the wrong business
When considering a home business you should consider your strengths and weaknesses. I am convinced that a large percentage of home businesses that fail in the first five years are a direct result of poor choices when choosing what type of business to start. I have been personally involved in successful and unsuccessful ventures. I found that when I failed in one that it was because of a bad choice I made. Let me explain what I mean:
Your business should match your experience, expertise, and passion. Just because some opportunities seem good and there are others who are making a fortune from it, does not necessarily mean that you will be successful. For example, if you are not an outgoing person and you choose a business that requires a lot of personal contact for sales or perhaps recruiting, you may not do well in that business.
Before choosing a home business to start, take some time and assess your strengths and weaknesses. Take a long hard look at yourself, what you have experience in, what you are an expert in (or at least above average), and what you are very passionate about. If you choose a business that fits all three, your chances of success just went through the roof.
Costly mistake #2 – you don’t know what you’re doing
Most people fall in love with the idea of owning a business and working from home but never take into consideration the learning curve involved. Whether it’s an internet business or a repair shop in your garage, there’s a learning curve that can destroy your chances of long-term survival. You may think that you know your trade well, you may very well be an expert in what you do and you may have great passion for your chosen career, but if you have never depended on it for an income outside of your company experience, you may be in for a rude awakening when you try to make a living at it.
I’m not trying to be negative here, what I want to do is give you the information you need to be successful. So before you take the plunge and risk your future on what you may think is a no-brainer business, factor in some time for training and the possibility of repeated failures before you finally find your groove. Set aside some time each day to get some training!
Costly mistake # 3 – you have a great product or service, but poor marketing
One area every business owner needs help with is marketing their product or service. You may have a breakthrough product that everyone needs and would probably end up owning, but if it doesn’t work correctly, no one will buy! Marketing is not 10% of your success, it’s not even 50% of your success, it’s 80%. In other words, you can have a great business plan, a revolutionary product, incredible passion, and a great work ethic, but if the marketing is not there and it is not good, chances are you will be forced to close shop.
The answer to great marketing is two to three hours a day (to start) learning how to present your business or brand to the right people in the right way in order to generate sales. Buy some books on marketing, search the internet for marketing training and learn to present yourself to the world in a way that will bring customers to your website or place of business.
Costly Mistake #4 – You are working too much
Yes, you heard me right, too much work can cause your business to fail. When I started in business in 1986, my idea of making it a home business was working every waking hour. Even if I just outperformed the competition, I would become more successful. I don’t want you to misunderstand me here, any successful venture requires hard work and long hours but where we sometimes fail is too much work without clear goals and proper planning.
You can spend 90% of your time doing things that make no difference to your success. A mindset of just working hard without proper focus can lead to stress and failure in a home business. Take time each day to evaluate your activities from the previous day and continue to focus your efforts on the things that really matter. Keep a planner and record your daily activities, then look back each month and identify what’s working and what’s not and start cutting out the activities that aren’t producing results. You will be surprised at how much time you spend doing things that are not productive and occasionally counter productive (those activities that actually cause you to lose money).
Costly Mistake #5 – Stressing over small things
Over the past twenty-two years, I’ve stayed up many nights stressing over things that I had no control over and in the long run never had an impact on my success. Stress and anxiety steal your focus! Things that seem overwhelming (especially financial difficulties) can be overcome by keeping your mind on the outcome and not your current circumstances. Things will only get better if you keep your ritual and keep pressing forward. Stress, fear, and anxiety will keep you from getting the answers you need, when you need them to take your next step. You will find yourself thinking more about the obstacles you face than the strategies you need to overcome those obstacles.
Here is the answer to your stress dilemma; Become convinced that there is an answer to your problem. Look for the answer instead of worrying about the problem. If you trust, the answer will come!
Costly Mistake #6 – You’re Allowing Your Dream Killers To Get You Out
When I started my first home business in 1986, there were people around me who doubted my ability to run a successful home business. If I had listened to those voices, I would never have gotten out and would most likely still be working for a company, competing with the younger talent fresh out of college, or I might have to take a cut in pay or even change. career and accept a lower standard of living.
Nobody knows you like you do! Sometimes the condemning voice may even be someone close to you. If you have a desire and passion to make it in your own business, sometimes you have to tune out the world around you and move forward with confidence regardless of what others may think or say about you.
Costly Mistake #7 – You’re out too soon
I am convinced that there is a very high percentage of new home business owners who jump ship just before the tools. Things always seem to get difficult just before you break through and become successful. I’m sure you’ve heard the old saying “It’s always darkest just before dawn.” This is true in business. You can do the work necessary to get to the point of success but you don’t have the vision to see past the current circumstances. What a tragedy it would come to a point where your financial success was just around the corner and then leave thinking that you will never make it.
The key here is clear vision. Before you throw in the towel take the time to assess where you are and where you may be in a month or two. You must be clear in your decision to either stay there or become a failure statistic. Consider the possibility of what real success could do for you and your family and weigh it against what it could cost you to stay in and see your business. I think you will see that the benefits far outweigh the costs if you have a passion, product, and correct marketing plan.
I hope this article was informative and will help you become one of the top 5% who remain in business after five years and prosper.
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