5 Common Small Photo Booth Business Mistakes You Should Avoid
TL;DR:
Launching a photo booth business? Avoid these pitfalls:
- Lack of business plan: It’s your roadmap.
- Not setting SMART goals: Be specific, measurable, achievable, relevant, and time-based.
- Ignoring market research: Understand your niche.
- Weak financial planning: Detailed budgeting is crucial.
- Ineffective marketing: Get creative and budget wisely.
You have passion and dedication. Surely that’s all you need to launch a successful photo booth rental business, right?
Not quite. We’re sure you’ve heard the statistic that 65% of new small businesses fail within the first decade. Clearly, even enthusiastic new entrepreneurs can fall for the most common small business mistakes.
While idealism is a great trait for a business owner, you’ll also need to plan for the future. That requires a significant time investment. In fact, a failure to think about the future is one of the biggest business blunders new photo booth business owners make.
In this blog, we’ll share the 5 most common mistakes small business owners make and how to get ahead of them. Keep reading to learn where others have gone wrong and how to avoid the same fate.
1. You Don’t Have a Business Plan
If you do nothing else, make a business plan.
According to the Small Business Administration, a business plan is “a roadmap for how to structure, run, and grow your new business.” Without a plan, you won’t have a basis for any of the decisions you make regarding your business. More importantly, without a baseline, you won’t be able to track your process. That means you won’t know if your choices are effective.
For example, in the photo booth rental business, market research is critical. If you attempt to market to everyone, you will waste spending and miss opportunities.
2. You Didn’t Set SMART Goals
In addition to a business plan, you should consider setting SMART goals for your small business. The career experts at Indeed tell us that SMART stands for specific, measurable, achievable, relevant, and time-based.
In other words, you should know exactly what you want to do. More importantly, you need specific, quantitative criteria that lets you know when you’ve done it.
For example, you might have an overarching goal to grow your business. Figure out how much growth seems achievable, and how many rentals you’d have to book to achieve it in a given period. For example, to grow by 20%, you may plan to book ten more rentals per month for a calendar year.
3. You Don’t Understand Your Market
As we mentioned above, market research is essential in the photo booth industry. You need to understand what other rental businesses are in your region, and what types of niches they fill.
Is there already a big local player in weddings and parties? You might want to target schools, fundraisers, or corporate events. Failing to tailor your prices, packages, and outreach is one of the most common and preventable startup mistakes.
4. You Don’t Have a Strong Enough Financial Plan
Does your financial plan include a detailed budget, cash flow projection, and break-even analysis? If not, you’ll have no way to understand whether or not you’re profitable. Plus, if you find yourself in need of funding, these documents will demonstrate that you understand your needs. It’s a great way to inspire confidence in potential investors and meet your goals.
5. You’re Not Marketing Your Business Correctly
Your business plan should also include a marketing plan. While word-of-mouth might book you a few gigs out of the gate, that well will quickly dry up.
Are you exploring paid media avenues? Do you have a social media presence? Getting the word out there requires creativity and, in some cases, making a tweak to your budget.
It’s worth it, however. If nobody knows about your business, it won’t become profitable.
Are you ready to start your own photo booth rental business? You can learn about more common small business mistakes when you attend our free Photo Booth Boss webinar. We’ll equip you with the tools you need to start and sustain a successful business. We can’t wait to welcome you to the Photo Booth International family.
