12 Common Mistakes Startups Make In Their First Year

When you write and read about startups all day long, you see founders make a lot of mistakes.

As an observer of and dabbler in startups, I've kept track of all the things I'd try to avoid as an entrepreneur.

Here are the most common mistakes early stage startups and new founders make.

Getting press too early or just because.

If you're a startup looking for press, the first question you need to ask yourself is "Why?"

Why do you need press? Are you really ready for press? What will an article help you achieve?

If you want press to make yourself look cooler to friends or employees, you probably shouldn't be seeking it. If you're doing it to gain users, the bump will likely be temporary. Just look at Turntable.fm, Airtime or Brewster.

In some cases, press can be good. It can attract investors if you're seeking financing. An article in Ad Age could attract advertising dollars.

But if you haven't nailed your business model or product (and chances are in the first year you haven't done either of those things), do you really want your name out there only to fail a year later? That'd be more embarrassing than never having press in the first place.

Raising too much money too early.

Bootstrapping a startup is scary. No one likes seeing their savings dwindle away. But when you rely on outside investors to take all the risk, it can make founders frivolous with their spending. It also can dilute them so a future exit becomes much less rewarding.

If you pursue a startup on your own first, you can work on proving the business model and gaining traction without the pressure of board meetings or investors looming over your head. Once you are self sustaining, you can secure better terms from investors. And, if no one outside is controlling your company, you can exit whenever you want and never worry that someone else with a vested interest in your startup will fire you.

If you don't have at least $50,000 saved up and you're not at a stage in life where you're able to take a risk, you shouldn't be doing a startup.

Trying to do a startup alone.

Startups are stressful and no one is good at everything. To avoid burn out, you need a co-founder and/or advisors to split the work load and confide in. You'll also be more productive with other people helping you, plus there will be more money to bootstrap with.

Startups take up a lot of time, so it's normal to feel chained to your desk. But you need to interact with people and take productive meetings to move your business forward. No one can do a startup alone.