Budding entrepreneurs are often given advice from peers, associates, and mentors, as well as from online resources. While much of this information could be useful, some of it may be unintentionally misleading. Consider the points below, so you might avoid potential pitfalls resulting from following bad advice.

1. Luck Doesn’t Exist

Many people may tell you that luck has nothing to do with success. It’s generally true that you can miss out on opportunities if you haven’t put in the footwork to prepare for them. However, entrepreneurs sometimes thrive or fail due to good or bad timing. Luck stands for, “Living Under Correct Knowledge.” ~ James Arthur Ray

2. Exhaustive Research is Essential

Although market research can be helpful in determining the direction you might take, exhaustive exploration isn’t always necessary. One of the best ways to gain a sense of your audience and their preferences is to make your products or services available to them. Once you begin making transactions and getting feedback, you can implement what you have learned. Sometimes, the best research is actually performance analysis.

3. Live Your Dream

Ideally, you will build a business based on something that sparks your passion. However, you will also need to be realistic about what the market will tolerate. If your dream does not fill a need or want, it might not ever get a chance to meet your intended audience. This doesn’t mean you should stop dreaming, but you may need to integrate your dreams with consumer demand.

4. If You Build It…

It may be comforting to believe that no matter how outlandish an idea might be, customers will respond well as long as you market it diligently. This concept is similar to the “follow your dream” misconception. Entrepreneurs must also pay attention to the needs and wants of their target demographics. If your goods or services match consumer demand, then you might build a marketing campaign that will yield positive results.

5. Data is Everything

While there is certainly value in analyzing data, don’t let it rule all of your decisions. In fact, many business owners review analytics simply to confirm what they want to believe. When you do examine customer feedback and analyze your statistics, be willing to try new strategies based on that data. On the other hand, you must also be able to rely on your gut instincts – even when they don’t reflect the data you’ve culled.

Aspiring entrepreneurs are generally faced with much advice, and some of this advice should be ignored. Ultimately, you will need to determine which concepts will complement your business. If you need financing assistance to get started, contact Aspen Commercial Lending to explore the possibilities.

A great book that will help you discover if you can turn your dream into reality can be found here.