Undertaking is fashionable in Spain. The Entrepreneurial Activity Rate, which takes into account business initiatives with less than three and a half years since its launch, has risen by one point compared to the previous year, according to the latest report from the GEM Spain Network.
In addition, four out of five Spaniards have thought at some point about founding their own company, according to a study carried out by Spaces. However, 40% of them have thrown in the towel before even starting, considering that it is too complicated a process.
The Spaces study, carried out among more than 1,000 people from all over Spain, highlights that only 11.4% of those surveyed have been able to make their dream come true and have created a company.
“The entrepreneur who achieves success on the first try is rare,” they say from Spaces in a statement. For this reason, the company wanted to point out which are the most common mistakes that a person who embarks on the adventure of starting a business usually makes:
1. Lack of self-criticism
One of the first steps that a person who wants to launch a new business idea must take is to think about its internal characteristics. For this, one of the most widespread tools is the SWOT analysis, in which the weaknesses of your business, the threats, its strengths and the opportunities that are presented are studied in depth. Thanks to this analysis, the future entrepreneur will be able to be clear about his strong points and what are the aspects that he will have to improve or to which he should pay more attention.
2. Not investigating
An entrepreneur needs to do market research to see what the sector they want to enter is like, see what other companies may be fighting for the same piece of market and study what audience they want to target. It is also important that the entrepreneur tries to find out about all the aspects that will affect the business, with special emphasis on the legal aspect, since starting a business requires many specific bureaucratic procedures. In addition, it is essential to learn from the mistakes of others, first-person testimonials from other entrepreneurs who have already been successful will help them not to repeat the same mistakes.
3. Inadequate equipment
To achieve success, you have to surround yourself with professionals who believe in the business idea and with the necessary characteristics to take care of your mission. It is a very common mistake for the entrepreneur to try to monopolize the responsibility in all areas of the business, since it would be difficult to cover everything. It is important to know how to delegate and have a capable team to trust.
4. Expenses
Fixed costs should be avoided as much as possible. In addition, it is necessary to avoid basing the subsistence of the new company on subsidies, seeking financing alternatives from the outset.
5. Lack of flexibility
Many times the original idea of the entrepreneur’s business model is not the most accurate and it is not until the company is already underway when other ways are discovered through which this idea can be more successful and obtain more success. That is why the entrepreneur must be able to adapt his idea to the opportunities that may arise, be flexible and have the capacity to adapt.
6. Fear of failure
Perhaps the most widespread mistake is not daring to take the step for fear of failure. Most of the successful entrepreneurs have tried to start several times before hitting the right key. Failure is learning, that an idea does not succeed is nothing more than an experience that the entrepreneur can apply to his next adventure. It is important to take risks.
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