The goal of every business person is to succeed and become as profitable as possible. You may have started your business a few years ago and may have failed to reach that place you wanted. Or maybe you are employed somewhere and your progress is coming along slower than you would wish. Could there be something holding you back?

Maybe you are being held back by commonly held beliefs. These business money myths are taught to us from a young age. But are they true?

Many people have been held back from realizing their true potential by myths about money – myths that they have been forced to believe ever since they were kids. Are you one of those people? What myths have you heard about or even believe that you feel have been a barrier to your success?

Common business money myths

You have to spend money to make money

This is one of the most common business myths. People will always try to tell you that the best way to make more money is by spending what you already have. This is not true at all.  There’s just no evidence to support such an argument. It is true that you will always need to spend some money on important things – but more money spent doesn’t mean more money made.

This kind of myth can easily mislead you into spending a lot of money thinking that you are going to make more out of it. Spend your money wisely and avoid believing in myths that will only run down your business.

You have to look successful to be successful

This is another common money myth among many people. You will hear things such as “money attracts money”, “success follows success” and so on and so forth. However, the truth is that you don’t need to look successful in order to be successful. There are a lot of people who are very successful but look very simple from the outside appearance.

In fact, many people who try to look successful from the outside are not as successful as they want people to believe. One of the secrets to success is simplicity. Always try to live below your means and make more plough back profit (expand your business using your profit).

Giving credit will run you out of business

This is another common myth people love to tell. Although giving products or services on credit carelessly can badly affect your business, it doesn’t always work that way. The most important thing is to understand your customers. Don’t be afraid to give credit but be sure you have done your homework on who you are extending credit to and you have solid agreements in place.

As a business owner, your income is unstable and inconsistent

You have probably heard this more than one time. People will tell you how your business income is unstable and inconsistent. Although most entrepreneurs or business people face challenges that sometimes make their income a bit unstable and inconsistent, it’s not true always and for everyone. And there are ways to protect yourself from the inconsistent cash flow.

As a business owner, you will probably face challenges, especially in the first few months or years. Such challenges can make your business unstable and inconsistent but it doesn’t mean that will be the order of the day. It will reach a point where your business will stabilize and remain consistent.

In a nutshell, there are a lot of business money myths people believe in. These are the kind of myths that keep you from realizing your full potential as a business person.

If you are concerned about the stability of your business income, contact us for a Profit First consultation.