Avoid These 5 Common Entrepreneurial Pitfalls

If you’re seeking out entrepreneurship because it will give you the chance to be the boss, you may be in for quite the surprise. Jason Demers, in a recent article for Entrepreneur, suggests that while being in charge may seem appealing, actually managing people is far more challenging than many new entrepreneurs realize.

Unlike products, people tend to be unpredictable. Learning to avoid these five common management pitfalls can help you navigate the unsteady waters of management.

 

Creating a Culture of Imbalance

Stress-free environments don’t always mean “rule free.” Work culture needs to be a balance of modern autonomy and professional expectations. Give your people room to do what they do best, but make sure they know their roles.

Speedy Hiring

Unlike larger corporations who can absorb the issues caused by bad hiring decisions, entrepreneurs need to be more cautious when they’re building their team. Take the time to get to know potential employees skills, motivations, and personalities before bringing them on board.

Forgetting Feedback

Feedback is the fuel that keeps employees motivated and on track. More importantly, it helps reinforce beneficial work habits, and weed out the less than desirable ones in the process.

Ignoring Your People

Although it’s great to have a team and be part of a group working together, it would be a huge mistake to think the sum total is greater than the value of the individual. Each person on your team is unique, and brings their own personal skills and capabilities to the table, and therefore, should be managed individually.

Holding Them Back

Lastly, one of the biggest mistakes entrepreneurs make is not getting out of the way of their people. Once you’ve established the structure and set the direction, let your people do their own work their own way. Besides, if you’re micromanaging your team, you’re not going to have the time to do what you do best: run your company.

The modern mindset tends to suggest that you should completely throw out everything you learned from larger established companies when the time comes to start your own. However, eliminating the traits of a corporate culture that irritated you when you launch a startup might seem like a good idea at the outset, but more than likely will come back to bite you in the end. Therefore, it’s crucial to think through the people, budget, and productivity implications when designing your own model.

Read more from Entrepreneur

What’s the one change you’ve made to your business culture that a team member has favorably remarked on in the last 3 months? If none come to mind, what is at the top of your list of considerations?

About the Author Bill Ringle

Bill Ringle is a CEO, former Apple exec, published author, and angel investor. Through Grow Business Now, he offers strategies and tools to elevate growth for executives and entrepreneurs from more than 46 industries. Bill has conducted nearly 200 podcast interviews on My Quest for the Best, where industry and business leaders share their secrets to success.

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