joel.francis.7351
Par 100 posts (V.I.P)
What are few of the mistakes that entrepreneurs make?
Here are a few:
Running from accounting: Entrepreneur was so busy in executing his dream idea, that he actually didn’t bother to document his cash inflows and outflows. When the business grew and it was time for the tax payments, return filing and audits, it was an accounting nightmare for him.
Hiring before its necessary: Entrepreneur was afraid that he would lose the best talent to the competitor. He hired a resource, only to realize that he needed the expertise of this person only after a year. Result? The resource quit after 5 months. Not to mention, Entrepreneur’s wallet was less by 5 months of equivalent salary.
Hiring full time employees: Apparently, next time Entrepreneur hired only when it was necessary. But he didn’t estimate his manpower needs correctly. He didn’t realize that he could hire freelancers or outsource some tasks rather than hiring all full time employees. He was paying more salaries, compulsory benefits and perks than it was necessary.
Paying through own pocket: Entrepreneur didn’t mind spending money out of his pocket for his baby – his startup. However, he forgot that his individual legal entity is different from the corporate legal entity. This entity mix-up cost him several thousands of personal money loss.
Can you think of any more mistakes that entrepreneurs make? Have you made any of these mistakes yourself?
Here are a few:
Running from accounting: Entrepreneur was so busy in executing his dream idea, that he actually didn’t bother to document his cash inflows and outflows. When the business grew and it was time for the tax payments, return filing and audits, it was an accounting nightmare for him.
Hiring before its necessary: Entrepreneur was afraid that he would lose the best talent to the competitor. He hired a resource, only to realize that he needed the expertise of this person only after a year. Result? The resource quit after 5 months. Not to mention, Entrepreneur’s wallet was less by 5 months of equivalent salary.
Hiring full time employees: Apparently, next time Entrepreneur hired only when it was necessary. But he didn’t estimate his manpower needs correctly. He didn’t realize that he could hire freelancers or outsource some tasks rather than hiring all full time employees. He was paying more salaries, compulsory benefits and perks than it was necessary.
Paying through own pocket: Entrepreneur didn’t mind spending money out of his pocket for his baby – his startup. However, he forgot that his individual legal entity is different from the corporate legal entity. This entity mix-up cost him several thousands of personal money loss.
Can you think of any more mistakes that entrepreneurs make? Have you made any of these mistakes yourself?