While I was getting prepared to go to work this morning I was saying to myself that I really cannot help but wait for that time when I will be able to share some of my business mistakes with young entrepreneurs so they will not make the same mistake, by that time of course I will already be some type of really big boss (Lol), but for the little points we make, I can also talk about those business mistakes here and I am thankful to project.hope community for that amazing privilege to share the gained knowledge from my physical business.
In the search to win over customers and beat existing competition, I almost lost my values and the very sacred principles on which my business stands for, although on some occasions I have had to run little businesses while I was growing up but for the first time I had to face building my own business completely from scratch and as expected, I had a lot of advice and suggestions coming in from different people.
I had very high hopes and expectations when I started the business, but when the business began its full operation I did not get the type of result I wanted, some of the products I had were not getting sold as fast as I wanted them to go so I sought out to giving out some of those products on credit, it was the only option I thought I had, so I began to sell to the people who promised to bring in the money at a specific time but unfortunately they did not deliver on the promised date and that made my business suffer a great deal. For some of the people I gave out goods to on credit, I never saw them again and they never gave me my money, after some time I could not keep up with meeting the demands of re-stocking as I had no money to pay my suppliers.
My shop was as good as being empty and I had no cash at hand neither did I have money at the bank to show as an evidence for the missing items and it was a very serious case. I had to learn in a very hard way not to give out sold items to customers anymore, I figured out there is a better way to develop good customer relationship and make more sales than giving out sold items on credit.
I hope this shared experience of mine has also taught you some lessons as well that you can benefit from and with this lessons we can have a better and smoother entrepreneurial journey. Please have a wonderful week friends and remember to stay loved, blessed and beautiful.
Giving goods on credit is one sure way of ruining your business. Some people in a bid to keep clients make this mistake, customers that will stay will stay and so giving credit is a total waste. You could give credit if they have paid halfway for items or services but other than that you shouldn't risk it. Thanks for sharing experience
Thanks for the reply @valchiz
Thanks for sharing, the idea of giving out credit in any type of business only stagnate the growth of such business i'm glad you figure out things fast for yourself.