5 Costly Business Mistakes That Every Entrepreneur Should Avoid

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One of the worst feelings in the world is when you realize you wasted money. Sometimes, we can’t see it coming. That summer blockbuster you’ve been waiting months to see turns out to be a real dud. The $1,000 you spent on the movie ticket and a small popcorn may haunt you forever. Everybody commits mistakes, and it’s the same for business visionaries propelling another business.

business mistakes

Others you may be kicking yourself because a little voice inside your head told you not to get that second appetizer.

Both of these are small examples and in a year, you probably won’t remember losing a few dollars over a bad movie or food choice.

But what happens in businesses when you realize you’ve been spending too much money? No one ever likes to see expenses rise and the fact is, there are plenty of things that companies could be doing today to cut down on operation costs.

(1) Not Going Green

Even though the science is pretty straightforward on what is causing global warming, it can still be a touchy subject for some. “Going green” may seem like just another fad that doesn’t have any real bearing to it.

Political points aside, going green is an excellent way to save you money in your office and resolve business mistakes overall. Investing in a smart thermostat is a way to make sure you’re not wasting precious energy trying to heat or cool up your building.

Make sure to turn off the lights before you leave and unplug everything over the weekend. Taking the 30 seconds to plug the surge protector back in is worth the energy savings. Not doing so is one of the most common business mistakes.

In addition, many offices are wisely choosing to go paperless. Not only is this a great way to cut down on waste, but it will save you money as well.

(2) Not Negotiating

For those of you that saw Tim Burton’s Charlie and the Chocolate Factory, you may remember this exchange between Willy Wonka and Charlie Bucket.

“You can eat the grass?”

“Of course you can! Everything in this room is eatable, even I am eatable! But that is called cannibalism and is in fact frowned upon in most societies.”

How does that apply to the business world? Everything is negotiable! People often overlook their office supplier or landlord for areas where they can negotiate and save money here and there.

Just taking things at face value is no way to run a business, and you should be willing to negotiate even if it makes you uncomfortable. There’s no shame in it, but just don’t treat it like a Moroccan street market.

(3) Not Embracing Technology

Technology has definitely made our lives easier. Can you believe that we sent a man to the moon with a computer as powerful as a modern-day calculator?

While no doubt everyone is using the internet as well as email and other great innovations, there are other ways the internet could be saving you money.

Cloud storage is a cheaper and more viable option than typical physical storage. Social media marketing is cheaper than traditional routes. Outsourcing jobs is a great way to grow your business without spending a fortune. Use AI to help you respond to customers doubts and inquiries. Instead of buying equipment, vehicles,  or items, look to long-term rentals.

There are countless ways technology can help you save money and grow your business.

(4) Not Combing Over the Budget

You’d be surprised what you can find once you pull out a magnifying glass. Everyone knows that budget meetings are horribly boring, but they are also incredibly important.

It’s a time for you and whomever else to review each and every expense, no matter how small they are. Looking where you can save money here means a better bottom line at the end of the year.

Even though it may be small potatoes to start out, think of the compound savings month over month and year over year. It helps to always think of the big picture instead of the immediate.

(5) Not Being Flexible

Remote working is on the rise. It’s a way for you to allow your employees to work from the comfort of their own home or their local coffee shop.

It might be difficult in allowing them to work away from direct supervision but it has great benefits for your business. Not only will workers be more appreciative of their schedule, but it’s also going to save your business money.

Not paying operational costs on your building or transportation costs, you’ll start to see expenses go down and down over time. Even though going fully remote may not be the answer, there are plenty of benefits for implementing a hybrid schedule.

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