Investing in and leveraging the right technology is crucial for the success of a new business.
But since you are busy with the various processes involved in opening your first venture, having the time to study and become familiar with the most appropriate technology to use in your business may be out of the question.
Because of this, there is a greater chance of making the wrong choices and investments, which will impact various processes in your company and cause you to waste money.
As such, even at the start of planning your new business, you need to invest in technology that meets your venture’s specific requirements. If you don’t, your equipment and systems will end up becoming underutilized or not even used at all, which can be a costly hit to your bottom line.
Technology risk advisory consultants say that knowing the common mistakes you have to avoid when purchasing technology for your new venture enables you to make the right decision and get the most out of them.
Moreover, you ensure that you and your team will be able to use them to the advantage of your business both in the short and long run.
Common Pitfalls Involved in Tech Purchases
If you are buying your first pieces of technology for your new business, below are the six mistakes you have to avoid making:
1. Focusing your attention on leading-edge tech only.
The latest, most popular pieces of technology may be impressive and hard to ignore. However, don’t be easily enthralled by these gizmos.
As mentioned, getting the best technology that suits your business requirements is the most important tip you have to follow when purchasing one. You may think that you need the newest systems, but you might end up getting tech that you and your team won’t use.
Also, keep in mind that technology can become dated quickly. As such, purchasing the latest systems is usually not a smart move.
To ensure you get the right tech for your business, make a list of what you want the systems and devices to do for your company. Next, study all your options carefully and conduct sufficient comparison shopping.
Moreover, speak with a sales representative from the companies you are interested in to get more details and have your questions answered regarding their product.
2. Purchasing equipment and systems in a rush.
When setting up a new business, there may be instances wherein you need to make a technology-related purchase as fast as possible so that you and your team can start working and being productive.
As a result, you may end up buying the first laptops, tablets, and other devices and software that you see in online and brick-and-mortar shops.
However, even if there is an urgent need to buy a new device or program, take some time to compare products and prices before making a big purchase.
Taking at least a day to study your options can help you find the most affordable product with more, better features. Moreover, you will have time to look into the provider’s quality of customer service and ask about additional perks that you can get.
3. Investing in bargain equipment.
Saving as much money as you can as you open your business is not unusual. After all, you may be working within a strict budget, which means you need to keep your expenses as low as possible.
However, buying the cheapest equipment and software you can find is not a smart move.
When you buy a cheap laptop or smartphone, there is a chance it can malfunction or get broken quickly. It can also become obsolete within a year or two.
In such instances, you will need to replace them immediately, which means spending more money in the process.
If you want to save money both in the short and long term, avoid cutting corners when investing in business technology.
Keep in mind that as long as you do some comparison shopping, you will be able to find the best product within your budget.
4. Failing to educate and train your employees properly.
No matter how new and suitable your equipment and systems are for your business, you won’t be able to get the most out of them if you and your employees do not know how to use them correctly.
Studies show that offering adequate training provides various benefits, including improved performance and productivity in the workplace. This is something that you will definitely see as you start running your business — your employees will utilize the available tech to do their job properly and become more efficient.
This is a mistake you can avoid simply by making sure everyone in your team undergoes sufficient training regarding the use of the product.
Additionally, ensure you and your team can get support whenever you need help with the equipment or software.
Before purchasing a product, ask the vendor if they provide free training and continual customer support.
Also, find out if they provide periodic refreshers and update training so that you and your team will get tips that will allow you to maximize the product and know how to use new features. This is something you have to ensure if you invest in a POS system, which often undergoes several updates for a better user experience.
5. Committing to long-term contracts.
Generally, long-term contracts can offer added protection and cost-saving benefits. However, they can also keep you stuck with outdated technology and tools.
If you find yourself gravitating towards a long-term contract, remember that there is a possibility that it can limit your future options, and the promise of cost savings can result in obsolete tech.
As a first-time entrepreneur, you will do well to avoid signing long-term contracts. Also, always partner only with technology vendors that offer flexible subscription-based services.
Vendors that offer this kind of service are open to adapting to and meeting your company’s changing needs, thereby helping your business grow.
6. Failing to take security seriously.
Finally, cybercrime is one of the biggest threats to businesses around the world. Thousands of companies have already suffered security breaches and had their confidential consumer data exposed.
Even worse, many of the businesses that have fallen victim to cybercrime do not know how the breach occurred, making it hard for them to prevent the same misfortune in the future.
To avoid falling prey to cybercriminals, purchase software that has the best security features.
Moreover, make sure you implement strict practices for protecting your business against cyber threats, such as creating strong and unique passwords and changing them regularly, and keeping your anti-virus and anti-spyware programs up to date.
If you want to be sure you are investing in the right technology for your business, you can also get help from tech advisory consultants.
Aside from assisting you with purchasing suitable equipment and solutions, these consultants can also help you strengthen your digital platforms and your business to stay updated with the latest relevant tools.
