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Starting a Business

Does Money Equal Success?

You bet it does. It's frequently a lack of capital that dooms a business before it can even get on its feet.
1 min read
Opinions expressed by Entrepreneur contributors are their own.

And according to a recent survey, the biggest potential trouble spot for entrepreneurial businesses is when they're experiencing rapid growth.

Larry Dondon, managing director of Entrepreneur's Re$ource Group, warns entrepreneurs to avoid these common financial mistakes:

  • Failing to borrow funds
  • Overlooking available financial resources
  • Underestimating financial risks
  • Ignoring the downside of investors
  • Overestimating your borrowing potential
  • Neglecting to manage lender relationships
  • Preparing a loan application under pressure
  • Failing to forecast cash needs

By paying attention before you hit the danger zone, you're more likely to avoid trouble altogether.

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