Don't Make These Mistakes When Starting a Business

Taking the first steps in a project requires knowing not only what to do but also what** NOT to do**. And while some things may seem obvious or common sense, others are not so evident—at least in the beginning. But don’t worry, we’re here to tell you about them. Take note of the most common mistakes entrepreneurs make (and how to avoid them).

1. Not Being Aware of Your Limitations. Although knowledge and experience are important, you should also be aware of your limitations. Accepting them will help you make better decisions, such as seeking the help of someone who is in control of the issues you do not master.
2.  Being rushed. The excitement of bringing a project to life is one of the main reasons entrepreneurs fail. Even if you’re feeling fully confident in your abilities (perhaps after completing a master’s degree, for example)… we hate to break it to you, but you’ll soon realise there’s still a lot to learn. Don’t let this discourage you—keep going, but at a pace that allows you to adapt to unexpected challenges.
3. Not Understanding the Market. If you haven’t analysed the competition—or, more importantly, your potential customers—forget about building a sustainable business. The market will validate your idea, so start there: ask questions, conduct research, run surveys, and if there’s no real interest in your offering, pivot (or abandon) before it’s too late.
4. Believing That a Lack of Resources Prevents You from Having a Great Team. Not all the professionals you need come at a salary: in the early stages, you can exchange resources or expertise with people who have the skills you’re looking for—this bartering approach can also help when seeking expert advisors or mentors.
5. Misallocating Key Roles. Consider the professional profiles required for each position and assess your team members’ skills carefully. Ensure that everyone is in a role that aligns with their strengths.
6. Not being flexible. Planning is advisable, but trying to stick to it will lead to frustration when you can’t stick to it (and believe us, you won’t). Come up with a plan B, C and even D and be open to change: improvising creative solutions can lead to brilliant transformations!
7. Seeking Funding in the Wrong Places. Most entrepreneurs start with crowdfunding, self-financing, or financial support from family and friends (the famous Friends, Family, and Fools—or Fans, as Adriana Tortajada mentioned in her TalkX). This is usually the best approach. Going straight to banks or venture capital firms is a high-risk move, especially if external funding makes up 30-40% of your investment. Be mindful that debt can become overwhelming, even if you attract a large number of users, if you fail to properly balance revenue and loan repayments.
8. Falling in Love with Your Project. You must be willing to pivot, change strategy, or even abandon your idea if you realise there is no market for it. Pushing forward at all costs will only waste your time and resources.
9. Not Knowing How to Sell Your Product or Service. Storytelling is everything—not only when preparing your pitch for potential investors but also when creating a compelling narrative that introduces your product or service to customers. If what you’re offering is particularly innovative or complex, effective communication becomes even more critical.
10. Not defining objectives. Knowing your clients will help you see how far your idea can go: is it a project that solves a problem in your environment or is it scalable? Is it of global interest or is it restricted to a more immediate area? Think carefully about who you are addressing and how far you can go.
11. Setting the Wrong Price. We know pricing is one of the biggest headaches for entrepreneurs. There’s no exact formula for this: once again, research the market, explore different pricing strategies, and choose the one that best suits your business model.
12. Thinking You Can Do It All Alone. Even if you’re a solopreneur, leverage the power of your community. They will support you in tough times and remind you that self-care is just as important as your business when starting out.

And always, always remember: with Santander X Explorer, you can test whether your project is viable—without taking any risks. Sign up here, and we’ll let you know when the new call is open.

Sources Emprendedores - Common Entrepreneurial Mistakes Bitrix24 - 10 Deadly Startup Mistakes and How to Avoid Them

Photo by Vasilis Caravitis in Unsplash.