The 8.5 Horrible Mistakes That Newbies Make

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Watch for these horrible mistakes when you are excited. You just joined a new health company, internet affiliate company, online business, lotions, potions, and magic notions company. Nothing can stop you now because you have discovered your gold mine. Here comes the fame, fortune, and freedom you always dreamed about.

But wait 30 days into your business you notice that all that glitter is not gold. The riches you were hoping for are not coming in. You made 1 sale and that auto shipment is due. Worst you just found out that you have to actually work the business.

The guru said all you had to do was push a button, hand out the link, hold a home meeting, get people to the hangout, or buy traffic. Now you are out for blood. Time to wake up out of that pipe dream. No one ever told you that you have to show up and work your business.

Well, reality check you have to work. There will be mistakes, setbacks, and disappointments. To help you ease the pain here are the 8.5 horrible mistakes that newbies make and how you can avoid them.

8.5 Horrible Mistakes That Newbies Make

1. Failure to Realize You are an Entrepreneur

Whether you invested $25 or $6000 for your start-up, it is a business. You just became an entrepreneur. The dictionary defines an entrepreneur, as a person who organizes and manages any enterprise, especially a business, usually with considerable initiative and risk. Wikipedia says, the entrepreneur chooses/develops a business model, acquires the human and other required resources, and is fully responsible for its success or failure.

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You are responsible for the success or failure of your business. You risk capital and resources. Plus you are contributing to the economy. Buying supplies, products, and professional services brings money into your community.

2. There is Always a Learning Curve

Just like a new job, there will be a learning curve. The learning curve will be steep if you don’t have a proven success model to follow. But you can find success models everywhere. Small Business Administration, mentors, and company marketing plans are a great place to start. Invest at least 1 hour per day learning your business and industry.

Get rid of excuses now. Commit to self-mastery. Taking the path of least resistance will lead to frustration. Shortcuts don’t work. You will never read a story of a successful business person taking shortcuts. Get rid of these notions now.

3. Choosing the Wrong Business

This is the main cause of failure in the home business industry. You went to the meeting, got excited, and signed up for the super weight loss pill. Then you realize you hate doing home meetings and you don’t like the health and fitness industry. You chose the wrong business and committed to an Epic Fail!

Follow your passion, talent, and strengths. Do not follow the money, popular products, or fads. Due diligence is a cure for picking the wrong business. This prevents jumping ship every couple of months. I follow my talents of writing and speaking. My business revolves around my strengths. Don’t know your strengths? Ask a friend.

4. Poor Cash Flow Planning

You need a business budget. New business owners are shocked to find out that there are monthly recurring expenses. Those auto-shipments, affiliate fees, and credit card payments come around every month. You have to name every dollar. Separate your personal and business expenses. Do not commingle funds.

Read Related Story: Don’t Be The Hare

I teach my team to come up with a 90-day budget. Then we do a monthly cash flow plan and make sure every dollar is assigned and spent. You should have 0$ left over every month. I am not advocating being broke. I am saying account for every dollar. Be fiscally responsible.

5. Understand the Law Seedtime and Harvest

There is a law of sowing and reaping. It works in every aspect of your life. You must plant seeds in your business and give them time to grow. Plant, cultivate, and then harvest. Simple formula like wash, rinse, and repeat.

Repetition is the mother of skill. Put the reps in your business. The reps are the seeds you planting. Master the skills needed to be in the top 20% of your industry. Work on those skills every day. Put in the reps like a basketball player who practices free throws.

6. Failure to Invest in Marketing

Do not outsource your marketing. I repeat Do Not Outsource Your Marketing until you learn 1-3 marketing techniques. I see real estate agents, online entrepreneurs, and affiliate marketers all try to pay for the expert before they have any money to invest.

Learn 1-3 marketing techniques before you outsource. Pick marketing that relates to your personality. Do not go doorknocking if you hate door-knocking. Don’t make cold calls if you hate being on the phone. I blog, speak, and email because I love doing it. It fits me. Pick something that fits you.

Watch out for the Shiny Object Syndrome. There is a new push button that solves all your problems product every week. Save your money. Invest in yourself and learn. Not the miracle product. Shiny objects will leave you broke and frustrated.

7. Jumping Ship

This is where picking the wrong business gets you in trouble. The new prelaunch gets you excited. You focus on that for a couple of weeks and forget about your core business while losing more money chasing every new fad. Furthermore, you never finish if you keep starting over. Hold your ground and stop jumping ship.

8. Puny Goals and Lack of Vision

Newbies have puny goals and lack the vision to dream bigger. People have been beaten up in this industry and are afraid to dream big. Businesses are designed to make profits and cash flow. If you can’t see past your monthly bills. You will fail. If all you want to do is pay your bills go get a second job.

I tell everyone on my team to have a goal of making $5000 per month or more. Why? Because that is more than the average home-based business makes and who wants to be average? I raise their expectations and have them think long-term. I give them a vision and it’s up to them to make it their own. Winning is important.

8.5 Failure to Build a Team

No one succeeds without a team. You do not see one person win a championship. It’s a team. The same with business. First, find a mentor. Then start to build your team with like-minded people. It took me 2 years to find a team. It skyrocketed my income. Take your time to build your mastermind. People will come and go.

This is how you can avoid horrible mistakes that newbies make. I have made all of those mistakes, lost thousands of dollars, lacked vision, and didn’t have a proper budget. Take these steps and use them today to avoid these horrible mistakes.

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