Top 8 Rookie Mistakes That New Business Owners Make
When running your own business there is plenty of opportunity for success!
There’s also plenty of opportunities to make mistakes.
Mistakes are what help us to learn and grow in our business. I am going to share the top 8 rookie mistakes I made in hopes to help you avoid them.
In no particular order:
#1 Having NO Service Plans OR Have Too Many Service Plans.
Personally, I only offer one service plan and that’s my sweet spot, but some companies may have three different offerings and that’s fine! You just don’t want to get bogged down in every customer having a different plan because that can become absolute chaos to keep track of.
#2 Don’t Let Your Customers Control YOUR Schedule.
I like to schedule solid routes for Monday, Tuesday, and Wednesday. I leave Thursday, and Friday as buffer days in case of rain or breakdowns. I also ensure to tell the customer that we mow every 6 to 8 days because routes can shift days depending on rain or breakdowns. I do not guarantee that I will mow on the same exact day of the week for the entire season. Your schedule should be at your discretion. Isn’t that why you started your own business in the first place, to be in control? Some customers may tell you they like their lawn cut on Fridays, so that it’s fresh for the weekend, but if you catered to that request, odds are everyone’s going to want that same luxury. Working around customers’ desired mowing days will make it impossible for you to plan your routes. Remember you have to do what’s best for you and your business, so sell them on why mowing on a Monday would be better. It’s up to you to convince the customer.
#3 Don’t Offer TOO MANY Payment Options.
Allowing one to three methods of payment should be sufficient. Personally, I use a CRM, send out invoices, and charge credit cards on file. I don’t encourage people to accept cash especially if you have multiple employees because there’s no way to ensure that that cash will make it to where it belongs.
#4 Don’t Be Too Lenient With Clients.
What do I mean by that? Don’t allow pet waste without a pet waste fee and make sure to implement late fees. Let’s start with the pet waste, you should not have to deal with pet waste gunking up your mowers and trimmers. Don’t put up with that and charge a pet waste fee.
For late fees, you don’t want to be chasing money after 45 days, so give them an incentive to pay on time. If they pay on time, they won’t have to deal with a late fee. Also, you don’t want to get yourself in a tight spot when several of your customers haven’t paid their outstanding bills and you are now low on funds.
#5 Not Canceling Clients Quick Enough.
We all have those clients that we have kept for far too long in fear of not securing other customers or because we didn’t have the heart to let them go. If they don’t fit in your routes, or are simply tough to work with, then move on. Don’t waste you time and energy on a client that is causing you more problems and stress. Don’t be afraid to say no! You might be thinking you are not in a place to be able to say no, but trust me, if you keep your routes tight, your prices where they should be, and the customers and properties you like, you will be just fine.
#6 Don’t Be Desperate.
We all want to grow our business, but don’t sell yourself short! Don’t underbid a property just because you want to gain a client. That will end up hurting you much more than losing the client in the first place. You want to support your business so that it can grow and you can’t grow if you aren’t making money. You want to play hard to get and gain the clients that want you, not the clients that go after the lowest bidder. Better Clients = Better Pricing = Happier Business Owner.
#7 Don’t Over Explain.
If you’re anything like me, you like to talk. In the beginning, I had the bad habit of trying to sell, sell, sell! I would talk the clients ear off and not let them get a word in. Now, I have a concise description of who I am and what I have to offer. It should be as simple as that.
#8 Don’t Ask For The Sale.
This goes hand in hand with #7, once you have talked to the customer and given them the brief description of who you are and what you have to offer, it's time to close the sale. No need to carry on selling them more if they have expressed interest in you. Ask them for their info and bring them on. No need to keep selling them when they already want to sign up with you.
Over time I’m sure you will make more mistakes just like I have, but I hope by reading this you can at least avoid these eight. If you’re reading this saying "hey I’ve done that," well, I am in it with ya! We have all been there and that’s okay. Let’s look forward to where we are headed and continue to learn and grow!
