WHOOPS!

5 most common startup mistakes
Magazine Contributor
1 min read

This story appears in the February 2003 issue of . Subscribe »

Starting your own business is tough. In fact, only 39.5 percent of new businesses remain open after six years, according to the SBA's Office of Advocacy. Gene Fairbrother, lead small-business consultant for the National Association for the Self Employed and president of MBA Consulting Inc., reveals the five most common start-up mistakes:

1. Failing to set up strong and established financial routines. Entrepreneurs often don't know where their money is coming from or where it's going.

2. Not conducting the proper market research. Even worse is when start-up entrepreneurs don't respect feedback from customers or potential clients.

3. Charging less than the market will bear. This leads to smaller profit margins and ultimately too little revenue to stay open.

4. Getting caught up in day-to-day tasks without future planning. For example, some entrepreneurs market only when they need new business, not realizing it could take months to reap the efforts of their campaign.

5. Not seeking proper support. Remember, business consultants, accountants, lawyers and industry organizations are all a startup entrepreneur's best friends.

More from Entrepreneur

Are paying too much for business insurance? Do you have critical gaps in your coverage? Trust Entrepreneur to help you find out.
Get Your Quote Now

One-on-one online sessions with our experts can help you start a business, grow your business, build your brand, fundraise and more.
Book Your Session

Whether you are launching or growing a business, we have all the business tools you need to take your business to the next level, in one place.
Enroll Now

Latest on Entrepreneur

My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.