10 Avoidable Mistakes First-Time Entrepreneurs Make Repeatedly

Over 600,000 companies go out of business every year in the US alone. Infant Entrepreneur Mortality is a massive problem. Here are 10 avoidable mistakes first-time entrepreneurs make repeatedly:

1. They define success = funding

2. They do not know the essential techniques of bootstrapping

3. They don't understand positioning

4. They spend money on unimportant things and run out of cash

5. They hire too many people too soon without validating

6. They start building a product without validating

7. They chase investors instead of customers

8. They network randomly, without focus

9. They talk to investors too soon, and blow important cartridges

10. They don't focus on the business model and path to monetization

Avoid them at all costs.

You cannot succeed without first surviving.

I've never met an entrepreneur who has built a billion dollar business without first building a million dollar one!

Do your homework. Here's a self-assessment tool to calibrate your business the way investors would. Whether or not you are raising money, think of yourself as an investor in your own business, and test yourself against these issues.

Do not waste money getting fancy office-space and furniture.

Entrepreneurship = (Customers + Revenues + Profits).

Financing is optional.

Exit is optional.

Success is a sustainable, profitable business that meets customer needs.

Good luck!

Looking to Get More Hands-On Advice?

I receive many emails from entrepreneurs who want to discuss their specific businesses. I’m very happy to discuss your situation during my free online 1M/1M Roundtables, held almost every Thursday. During each roundtable, up to five entrepreneurs can pitch their businesses and receive my immediate and straightforward feedback.

To give entrepreneurs all over the world access to Silicon Valley’s knowledge, methodology, and network, I founded the One Million by One Million (1M/1M) global virtual incubator. 1M/1M aims to nurture a million entrepreneurs to reach a million dollars each in annual revenue and beyond, thereby creating a trillion dollars in global GDP and ten million jobs.

For those still testing the waters of entrepreneurship, I’ve written my Entrepreneur Journeys book series to inform and inspire.

If you are interested in entrepreneurship topics and my writings, you can follow me here. I hope to publish two articles on LinkedIn every week.

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