1. Not Defining Your Competitive Advantage
What makes your business unique?
How do you stand out among your competitors?
What are you doing differently than everyone else?
These are the questions that every small business should ask itself and know the answer to. Whether it be offering a unique product, utilizing competitive customer service, or working in a niche market, know what makes your company unique. If your business does not have a differentiating characteristic, adopt one, or else your company will likely fade among its competition.
2. Unclear Business Plan
Sometimes the best, most effective business plans are the simplest in context.
When Shark Tank’s Kevin O’ Leary was asked about the traits he sees in successful
entrepreneurs, he explained that people who can articulate their idea in 90 seconds or less, and explain why they are the best person/ group to execute the business plan, are the ones that end up being successful.
Ask yourself, if you were to pitch your business to a friend, colleague, or potential
investor, how long would it take you to communicate your current business plan?
3. Cash Flow Issues
In order to make money, you must spend money. Yet according a U.S. Bank Study, over 82% of small businesses fail due to cash flow management.
Cash flow issues that are often overlooked include:
- Overhead costs
- Disorganized record-keeping and books
- Bad debt
Keep these topics in mind when operating your business, and avoid these issues by keeping on top of your expenses, payments, and possible debt.
4. Overspending On Equipment
Purchasing a piece of new equipment can be a daunting idea for a small business operating on a tight budget. However, the decision to not purchase that asset can restrict your company’s capacity to expand, or limit the potential revenue it could be making.
To avoid the possibility of overspending, or owning an outdated or obsolete piece of equipment, consider other methods of payment, such as financing and leasing .
5. Lack of Confidence
Starting a business can be rewarding and satisfying when done right. However, the process can be very stressful, tiring, and have an unclear future.
Ultimately, you must have confidence that you have done your research, perfected your business plan, and are operating your company in the most efficient way. And above all, you must believe in yourself.
At American Capital Group, we can ensure you that you are getting the best monthly payment rates for your equipment needs with our Lowest Payment. Guaranteed.* Let us help you fulfill your equipment needs, so you can focus on growing your business.
Click Here to discover how ACG will provide your business with the best equipment financing in the market.