4 Common Business Mistakes and What Successful Entrepreneurs Do Instead

I presented a version of this blog post to the West Duluth Business Club in February. Just as I was leaving for the event, my tire went flat. Desperately trying to inflate the tire while keeping the valve shut to prevent air from escaping, I used a pen to fix the issue.  

Then, as if the flat tire wasn’t enough of an inconvenience, the pen exploded in my pocket, covering my hands and shirt in ink.

So, what did I do? I started my presentation by sharing these mishaps, acknowledging the stress I was carrying into the room. Naming the issue helped me refocus and move forward —ink-covered hands and all.

What does this story have to do with entrepreneurship? It's an everyday example of staying nimble in the pursuit of business growth and success —something every entrepreneur faces. It also connects to my talk that day: name what isn’t working in your business and find better solutions.

What Not to Do: Downplay Business Planning and Cash Flow Projections

What to Do Instead: Take the Time to Understand Your Business Model

Many small business owners feel overwhelmed by writing a business plan or creating cash flow projections for their business. They see the process as rigid and question the relevance, wondering, “If I’m just guessing on revenue and expenses, do the numbers even matter?” or “Why should I analyze competitors who are already established?”

The answer: because these exercises help you better understand yourself, your business, your industry, and the market.

• Does your business have seasonal highs and lows? If so, how will you cover expenses in the off-season?

• If sales dip, do you have a marketing strategy to boost revenue?

• Have you accounted for unexpected costs?

Taking the time to answer these questions upfront helps prevent costly mistakes later. A well-thought-out plan isn't rigid—it's a tool that allows you to pivot when needed. It's better to lose time than to lose both time and money.

What Not to Do: Use Generic or Uninspiring Signage

What to Do Instead: Show Your Creativity with Inviting and Memorable Messaging

Have you ever been drawn into a store by a sign that simply reads “Under New Management” or “New Ownership?” I haven’t either. Effective small business marketing starts with messaging.

Signage is often your first impression—make it count. Instead of generic notices, use creative, quirky, engaging messages that invite curiosity.  Customers appreciate personality and effort. Think beyond the basics – Now Open, Sale, Grand Opening - and make your business stand out from its surroundings.

What Not to Do: Keep Inaccurate or Outdated Financial Statements

What to Do Instead: Stay on Top of Your Records and Learn What They Mean

Too often, business owners either don’t track their financials properly or don’t understand them. If you can’t produce an up-to-date profit & loss statement, balance sheet, or cash flow statement, you’re essentially running your business in the dark. Understanding these financial tools is key to long-term business success.

These documents tell the full story of your entire company—past, present, and future. By analyzing them, you can:

• Identify seasonal trends and plan accordingly.

• Ensure you have enough cash flow to cover expenses.

• Adjust pricing or expenses to maintain profitability.

If your financials are not accurate and getting them there feels overwhelming, consider a course like Profit Mastery, which teaches essential financial management skills in a practical way.

What Not to Do: Post Poor-Quality Social Media Content

What to Do Instead: Leverage AI for Better Engagement

Bad social media posts happen to good businesses. Have you seen this article about how a marketing campaign for an employee mental wellness program went wrong? Don’t be that company. Whether it’s unclear messaging, lack of engagement, or missing calls to action, ineffective content won’t help your business grow.

AI tools like ChatGPT can help generate ideas, but they require refinement. For example, I once worked with a client to draft a social post using AI. The first attempt was bland and lacked a compelling hook. By tweaking the prompt and refining the content, we produced a version that included product details and a strong call to action.

The key is iteration—always ask, “Can we improve this?” before hitting publish.

What Did We Learn?

Entrepreneurship isn’t about avoiding problems—it’s about recognizing them early, learning from them, and making the necessary adjustments to succeed. By consistently evaluating what’s working and what isn’t, you set yourself up for sustainable growth and resilience in business.

If you’re looking for guidance on business planning, financial management, or marketing strategies, our team is here to help. Reach out to your primary advisor today to schedule a consultation or get started with our advising services by completing this form.  

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