Why Not All Advice Is Good Advice: Who to Trust When Growing Your Business

Running a business comes with a constant stream of advice from every direction. Friends, family, colleagues, industry experts, online forums, everyone seems to have an opinion on what you should do to grow your business. And while some of this advice may be valuable, not all advice is good advice. In fact, some advice can lead you down the wrong path entirely if it’s not coming from the right source.

So, how do you sort through the noise and figure out whose advice to trust? In this article, we’ll explore why not all advice is created equal, how to evaluate the guidance you receive, and who you should turn to when looking for advice that will actually help your business grow.

The Problem with Taking Every Piece of Advice

As a business owner, you’ve probably experienced information overload at some point. You read a blog post that tells you to focus on digital marketing, a friend advises you to invest in brick-and-mortar, and an industry expert insists that you need to scale as quickly as possible. It’s easy to feel overwhelmed, confused, and pulled in a million different directions.

Here’s the problem: if you try to implement every piece of advice you get, you’ll end up spreading yourself too thin, pursuing strategies that don’t align with your goals, or worse, making decisions that could harm your business in the long run.

Not all advice is relevant to your situation, and not all advice comes from people who truly understand the complexities of your business. Learning to filter advice effectively is a crucial skill for any business owner.

Why Not All Advice Is Good Advice

There are a few reasons why not all advice is worth following:

1. Lack of Context: Even well-meaning advice can fall short if the person giving it doesn’t fully understand your business, industry, or market. What worked for one business may not work for another, especially if the context is different. For example, advice on scaling a tech startup may not be relevant if you’re running a service-based business.

2. Outdated Information: The business world evolves quickly, and what worked five or ten years ago may no longer be effective today. Some advice you receive may be based on outdated strategies or practices that are no longer relevant in the current market.

3. Personal Biases: People often give advice based on their own experiences, preferences, or what worked for them. While their intentions may be good, their advice could be coloured by personal biases that don’t apply to your situation. For example, a family member might advise you to “play it safe” because they’re risk-averse, but that might not align with your more ambitious growth plans.

4. Generalised Advice: Much of the advice you’ll encounter is generalised, designed to appeal to a broad audience. While it might offer some useful insights, it’s not tailored to your specific needs or circumstances. Business success often depends on nuance, and what works for the masses may not work for your unique situation.

How to Evaluate the Advice You Receive

Now that we’ve established that not all advice is good advice, the question is: how do you know which advice to trust? Here are some key factors to consider when evaluating the advice you receive:

1. Consider the Source

One of the most important factors in determining the value of advice is the credibility of the person giving it. Ask yourself:

o Does this person have experience in my industry?

o Have they successfully grown a business similar to mine?

o Are they a recognised expert or authority in this area?

If the person giving you advice lacks experience in your field, or if their success came in an entirely different industry or context, seek clarification on how this relates to you.

2. Look for Evidence

Good advice is often backed by evidence, whether that’s data, case studies, or proven success stories. When someone gives you advice, ask for examples of how it’s worked in the past. If you can’t find any concrete evidence to support their claims, it may not be the best advice to follow.

For instance, if someone tells you to invest heavily in a particular marketing strategy, ask for examples of businesses that have used it successfully and what kind of ROI they achieved.

3. Assess the Fit for Your Business

Even good advice can be irrelevant if it doesn’t fit your business model, stage of growth, or long-term goals. Before acting on any piece of advice, ask yourself whether it aligns with your unique situation. Is it realistic given your resources, market position, and customer base? Does it fit with your long-term vision for your business?

For example, advice on rapid scaling might be great for a fast-growing startup, but if your business is more focused on sustainability and steady growth, it may not be the right fit.

4. Trust Your Gut

As a business owner, you know your business better than anyone else. While it’s important to seek out advice and listen to others, don’t ignore your intuition. If a piece of advice doesn’t sit right with you, or if it feels out of alignment with your values or vision, trust your gut. You don’t have to take every piece of advice, even if it’s coming from a well-meaning source.

5. Consider the Risks

Every business decision comes with risks, and the advice you receive will likely have risks associated with it. Before implementing any new strategy or approach, weigh the potential risks against the potential rewards. Is the risk worth it for your business at this stage? Can you mitigate the risks?

For example, if someone advises you to take out a large loan to fund growth, consider whether the potential benefits outweigh the risks of increased debt.

Who to Trust When Seeking Business Advice

Now that you know how to evaluate advice, let’s talk about who you should turn to when seeking guidance for your business. Here are a few trusted sources of advice that can help you grow your business strategically:

1. Mentors

A mentor is someone who has been where you are and can offer guidance based on their own experiences. A good mentor understands the challenges of running a business and can provide valuable insights based on real-world experience. They can help you navigate difficult decisions, avoid common pitfalls, and stay focused on your goals.

2. Industry Experts

Industry experts are individuals who have deep knowledge of your specific sector or market. They can offer insights into industry trends, customer behaviour, and best practices that are relevant to your business. Whether through books, speaking engagements, or direct consultations, industry experts can provide data-driven advice that helps you make informed decisions.

3. Business Coaches

A business coach can provide personalised guidance to help you grow your business. Unlike mentors or industry experts, who may focus on sharing their own experiences, coaches work with you to develop your own strategies and solutions. They ask the right questions, challenge your thinking, and help you set actionable goals. Business coaches are particularly valuable for entrepreneurs who are feeling stuck or need help refining their vision and strategy.

4. Trusted Peers

Fellow business owners, especially those in similar industries or at similar stages of growth, can be an excellent source of advice. They understand the unique challenges of running a business and can offer practical insights based on their own experiences. Peer networking groups, industry associations, and mastermind groups are great places to connect with other entrepreneurs and exchange advice.

5. Customer Feedback

Your customers are one of the most valuable sources of advice you can tap into. They know better than anyone what they need and want from your business. Regularly soliciting customer feedback can help you make informed decisions about product development, customer service, and marketing strategies. Pay attention to their suggestions and use their feedback to improve your offerings.

In Conclusion

When it comes to growing your business, not all advice is good advice. It’s essential to filter the advice you receive, evaluate it based on your unique situation, and trust your own instincts. Seek out guidance from mentors, industry experts, and trusted peers who understand your challenges and can offer relevant, evidence-based insights.

At the end of the day, you’re the one steering the ship, so take advice with an open mind but always make decisions that align with your vision and goals.