Team up
Nothing’s worth anything unless you have a good distribution system. A friend of mine sells roses delivered to the door. Another friend sells luxury hams from Italy and exotic mushrooms from Japan. Those that buy the roses might very well be interested in a basket of exotic foodstuffs, whereas those buying the food might be interested in the flowers. One night the penny dropped. Today they share a distribution network cross promoting on another as they go.

Let others pay for your business
Let’s go back to the t-shirt business and the biggest mistake most entrepreneurs make. They imagine an avalanche of sales and, in their youthful optimism, invest heavily in stock. This results in a pile of stuff no one wants — and a credit card debt that will take months to clear.

Don’t purchase products in advance. Wait until you get the orders, even if it may cause a slight delay. Spend time working on a sorry-I’m-late letter. It’s far more important that you don’t end up with a product that no one wants. Let your customers finance your production.

(Source: Fast Company)