It is said that "there are thousands of reasons for success, but there is only one reason for failure". However, this truth is not true when it comes to starting a business on the Internet: many entrepreneurs can't fully realize the hardships and hardships at the beginning, and when some hidden dangers ferment, the failure of starting a business becomes a foregone conclusion.

This article shares some "pits" on the road of starting a business for all friends who want to start a business, so that everyone can avoid detours.

have you encountered these pits?

1. What do you do? What do you want to be in the future? Have you thought it all over?

When Degang Guo was talking about cross talk, he told a joke:

A man contracted a project. When he took a look at the drawings, he built a chimney. Then he hired a bunch of people to start building chimneys. As a result, he got up early and got greedy every day. It took a lot of effort to finally cover the chimneys. When he was ready to ask the developers for money, he not only didn't get a penny, but was also beaten up by others. Only after playing did he know that the drawings were read backwards. He was told to dig a well, but he built a chimney. With this IQ, if the law ignored it, it is estimated that it would have been killed.

this is a joke, of course, but from this joke, we can actually see a truth. If you are prepared to do something with the wrong starting point, no matter how hard you try, the final result will not be satisfactory. Because the starting point is wrong, the corresponding direction is also wrong, and the result is definitely not the result you want. This view is the same whether it is for starting a business or living and working.

If you want a good result, you should first learn to reverse the progress process to see if these processes are correct and whether other problems will occur. If you confirm that there are no problems, then you should work hard and move forward towards your own goals.

choose the road that suits you, and think clearly about where to go, different roads and different ways of playing. If you are running an IPO, don't think about making a little money to satisfy yourself; On the other hand, if you are only doing a profitable business, don't mess around and kill yourself.

figuring out the destination is the first thing you need to do at the beginning of your business.

2. If the track is not chosen properly, you should do whatever the product is hot.

This is a common problem of many entrepreneurs. Many people have never done business and don't know what to do. As a result, from short videos or other people's mouths, they hear and see some hot businesses, and their caution becomes ready to move. Especially when I see that others are doing something particularly hot, I can't help but feel my inner desire. I feel that this business is simply tailor-made for myself, so I excitedly set up a store or join a project myself, but the result often ends in failure.

have you figured out what kind of track you want to choose before starting your business?

The final outcome is related to the track, and the criteria for choosing a track are only the following three:

1, market size

2, market growth rate

3, and market competition

Undoubtedly, as an entrepreneur, you need to choose a track with large enough scale, high growth rate and high profit rate. But don't ignore the "reverse thinking"-when everyone feels good, do you still have a chance?

many hot businesses that we can see with the naked eye are not necessarily suitable for ourselves. What you see is not necessarily really hot, maybe it's just what the other party deliberately lets you see. Even if others do this project really well, it doesn't mean that they can do it well.

many entrepreneurial projects are initiated based on the needs or pain points of an industry, but the needs are not the product of a whim, let alone the simple pain points of entrepreneurs. The potential users of the projects are the core needs.

the essence of starting a business is to solve the problem that a group of consumers are willing to pay.

Before investing, you might as well do a survey to see if this project is really suitable for the local consumption habits you need to develop and whether there are target customers, and then make a decision. Don't look at what projects are hot, just do what projects, and the probability is to send people's heads or be cut with leeks.

3. Entrepreneurial partners are unreliable

For many entrepreneurs, it takes one person to create something valuable from zero to zero. At the same time, one needs to seize those fleeting opportunities. Relatively speaking, it is more difficult for a person to start a business, and the pressure he bears is also relatively large. Therefore, many entrepreneurs will choose to start a business with others and bear the pressure of starting a business together.

so how do entrepreneurs choose reliable partners? The criteria for choosing partners are mainly judged from the following points:

1, trust

2, same values and vision

3, complementary abilities

4, full-time

Generally speaking, partners can look for them from old friends, colleagues and classmates, because trust is the least management cost. Before deciding on a partner, you must visit his friends and colleagues, learn from all sides, and get rid of the false and seek truth. Enterprises are at different stages of development and need to choose different partners. The right partner can make you go further; The wrong partner will make you die faster.

However, Kuaichuangtong should also remind that when starting a business with partner * * *, we should also pay attention to the following points:

1. The interest structure should be clear, and the share of each person should be clear

2. The interest distribution structure must be dynamic

3. There should be a clear hierarchy

Only by solving these problems can we produce good results.

4. Underestimate the importance of cash flow

Many entrepreneurs who just started a business think that the most important thing in starting a business is passion and struggle, and everything else is secondary, which is a completely wrong idea. Remember, the most important thing in starting a business must be cash flow, which is the blood of the company and the lifeline of the enterprise. If you have no blood on you, do you think you can survive?

As an entrepreneur, if you want your company to survive and succeed, you must understand the importance of cash flow.

many first-time entrepreneurs don't understand what dynamic cash flow is, and they don't know how to manage cash flow reasonably. They take it for granted that they must "burn money" at the beginning of a project, but they don't know when their money will burn, and they don't know when their money can burn. As a result, they really wait until a financial crisis occurs to find that the finish line can't be reached, even if victory is in sight.

As an entrepreneur, you must have a clear analysis and forecast of your cash flow, and plan when and how much you should spend. If you need financing, you should know clearly when to start financing, where to finance, and even the financing channels have been found, so as to ensure the steady progress and sustainable development of your business.

5. Selling iron by smashing pots, selling houses, selling cars and gambling-style entrepreneurship

This is also one of the pits that many entrepreneurs are easy to step on. The above point mentioned the importance of cash flow, so it is easy for many entrepreneurs to take it for granted that starting a business should be selling iron by smashing pots, and they should stick to their careers.

there is nothing wrong with this idea of "sticking to the end", but for an ordinary person and a start-up entrepreneur, it is debatable if you have to sell iron to start a business. Now is the era of mobile Internet. There are so many entrepreneurial projects in China, many of which can be operated with light assets and can be started with little money. Therefore, if you want to sell a house and a car at the beginning of your business, it is very likely that the final result will be that the garage is empty.

In the early stage of starting a business, you must make money to keep yourself alive while you have spare capacity, instead of blindly investing and doing unprofitable things all the time. This is unhealthy starting a business.

6. Use price war to occupy the market

Many entrepreneurs who have just started their business are prone to get stuck in the bottleneck period: "Why don't my products sell" and "Why don't you come to my store to buy things?" Forget it, let's discount it, let's lower the price. If it's cheaper than others, customers should come to my store or buy my things ...

Remember, never. When there is a problem, we should seriously study the essence of the problem and then find a way to solve it, instead of blindly opening up the market by reducing prices.

adopting a low-price price war is undoubtedly "grabbing others' orders and cutting your own path". If we only look at the immediate interests and get customers and orders through low prices or discounts, it is actually hurting the whole industry. It is very likely that the final result will be that everyone will have no food, but this is second to none.

what's more dangerous is, what should I do if my peers lower their prices even more?

others have been in business for many years, and they have enough capital to fight the price war, but as newcomers, they don't have enough funds and ammunition. How can they fight each other? If someone else is injured, it may be that it hurts the bones for a hundred days; But the first time the entrepreneur was injured, maybe the ICU couldn't afford to live there. Therefore, we must be cautious about the price war.

8. Ignoring intellectual property rights

Since the company was named, trademarks in intellectual property rights began to show their importance quietly. Many entrepreneurs think that their brand name is "xxx", which is catchy and easy to promote, but unfortunately, the trademark has been registered and belongs to others. At this time, the method adopted is nothing more than changing the name or buying the trademark.

if we don't solve the problem of intellectual property rights in the early stage, we may have to spend a lot of money later. If you think it's important, buy it boldly, especially something unique like domain name and trademark.

For example, Xicha, formerly known as Imperial Tea, didn't pay attention to the role of trademarks at the beginning of its business. It didn't register its trademarks until Imperial Tea became bigger. However, due to the failure of registration, Imperial Tea had to be renamed. At this time, a large number of counterfeiters appeared, and a large number of fake Imperial Tea had occupied the whole market.

Before we liked tea, our company was called Huangcha, but it was forced to change its name because of the trademark. I gave the name Huangcha, but I don't know why the trademark just can't be registered. When we rejected it for the first time, we had already opened many stores, dragging and dragging, repeating and repeating. Finally, three years passed, and our stores were all opened in Guangzhou and Shenzhen, only to make sure that this trademark was completely invisible. Finally, I had to change my name.

—— Nie Yunchen, the founder of Xicha

Starting a business is never easy; On the road to making money, there has never been a corner overtaking. It is the most important thing for entrepreneurs to focus on the details and continue to deepen their progress. I hope that the sharing of Kuaichuangtong today will bring some inspiration and thinking to friends on the road to entrepreneurship.