Clip and save: Put these on your ?not to do? list

Q. I would like it if you would tell me what not to do in running a business. For me, I find it easier to stay clear of something if I know what I should avoid.
A. I keep a list of top ways to destroy a business next to my desk, which I add to once in a while. I often refer to this list as a reminder.
Companies that shoot first and aim second will almost always find themselves in some of the following situations that will lead them to troubles:
? Going after the big established competitors head-to-head by offering much lower prices with better personal service.
n Blindly trusting one’s partners to have yours and the business’ best interests in mind.
? Focusing on the readily available customers.
? Doing more of what one’s social acquaintances seem to admire.
? Focusing on building market share and letting profits catch up on the sheer volume of activity.
? Worrying about other people stealing your idea, or knowing your financial position or marketing strategy.
? Believing that your accountant really understands your business and analyzes your information.
? Forgetting where you came from.
? Expanding into other businesses when you have some cash flow because you are obviously a “biz whiz”.
? Perceiving salespeople as a waste of time.
? Focusing on getting by rather than developing a long-term strategy.
? Counting on the continued courage, foresight, and employment of your bank loan officer.
? Building your business around the exceptional performance of a couple of key employees whom you underpay and overwork.
? Decide to rewrite a program from scratch.
? Considering quality a luxury that customers will not pay for.
? Avoiding sinking money into modernizing the operations until the prices drop.
? Learning by trial and error, bitter experiences and anecdotes shared at the local watering hole.
? Pretending the employees are your family members that will put up with poor management and bad attitudes.
? Continuing to sell the same old way regardless of what the market is doing.
? Avoiding opportunities to learn and observe others because you’re too busy with your own work.
? Doing it all yourself because no one else understands your business.
? Hiring people with less experience than you have.
? Avoiding changing old systems or processes because they are not broken.

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