Not knowing your product
Learn what you are about to sell before you actually start selling it. The success of your entire endeavor relies upon your confidence (and thus confidence of your employees) in the product offered. Who needs it? What is its main purpose? How does it differ from other products in its niche? These seem to be plainly reasonable questions, but way too many so-called entrepreneurs get too excited about the process itself to focus on the assortment. Know what you are selling and be sure that people want it.
Not knowing your target audience
It is only logical that to sell a product, you have to know who will be willing to buy it. The most common mistake here is defining your audience AFTER you launch a startup while you have to define it BEFORE. Information is the most valuable asset nowadays. Never forget it. Thorough market research has to come first. Otherwise, why start at all? There is no guarantee that ANYONE will want your product.
Now knowing when to procure funds
In the course of your business, there will be moments when you will have to make financial injections, and your investors should be well aware of it. Make a financial plan in advance. You don’t want to end up in a situation when there is a need for a major financial injection with no one to take care of it.
Not having a team
Yes, your staff will be tried out in battle, but before you start this battle, you have to know whom you are relying upon. Teamwork is the most important thing for a successful company, no matter how many employees it has. Are you confident in your people? Will they survive the unavoidable difficulties? If not, is it smart to ride with them?
There are other risks, no doubt. But if you haven’t taken care of those, you will most likely fail. Consider this a checklist of what should be done before you can call yourself a functioning entrepreneur with the full right.