25 Business Managers Share Their Biggest Mistakes & Lessons Learned

25 Business Managers Share Their Biggest Mistakes & Lessons Learned

Every business manager makes mistakes, but the difference between failure and success often lies in the willingness to learn from them. This article features hard-won wisdom from 25 experienced business managers who share the missteps that shaped their careers and the practical lessons that followed. Their insights cover everything from hiring decisions and growth strategy to client relationships and operational efficiency.

  • Hire For Mindset Ditch Pure Skills
  • Prioritize Relationship Depth Versus Throughput
  • Protect Reputation Before Rapid Growth
  • Adopt Robust Booking Software Early
  • Document Systems To Save Hours
  • Codify Care Prior To Expansion
  • Say No To Misfit Work
  • Optimize For Revenue Skip Vanity Leads
  • Set Expectations Upfront When You Quote
  • Design Around Each Operation
  • Let Guests Tailor Experience Intensity
  • Treat Patience As A Strategy
  • Slow Bids Tell Hard Truths
  • Honor Promise With Direct Counsel
  • Curate Inventory And Perfect Process
  • Center Privacy And Empathy First
  • Build Backup Networks Ahead Of Commitments
  • Translate Vision Into Actionable Context
  • Own Quality With Clear Checkpoints
  • Create Guardrails Empower Your Team
  • Favor Talent Above Cheap Labor
  • Develop People Beyond Raw Numbers
  • Confirm Alignment Invite Candid Questions
  • Validate Demand With Real Data
  • Delegate Tasks To Gain Time

Hire For Mindset Ditch Pure Skills

Back in the early 2000s when CC&A was still primarily a web design shop, I hired aggressively for technical talent–Flash animators, HTML coders, the whole nine yards. Within eighteen months, Flash died and the entire skill set became obsolete overnight. I had a team built around technology instead of thinking, and when the market shifted, we couldn’t pivot fast enough.

That failure cost me about $180K in severance and lost contracts. More importantly, it taught me to hire for psychology and adaptability rather than technical proficiency alone. Now at CC&A, we recruit people who understand *why* customers behave certain ways, not just people who can execute tactics. When social media exploded or AI emerged, my team adapted because they understood human behavior–the technology was just the delivery mechanism.

The shift completely changed our positioning. Instead of competing as a “digital agency” doing websites and ads, we became the firm that uses marketing psychology to drive growth. That’s why we’ve survived every platform change, algorithm update, and trend cycle for 25 years. Technical skills are commodities that expire–understanding what makes people tick doesn’t.


Prioritize Relationship Depth Versus Throughput

When we first opened CMH-RI in 2021, I tried to run it exactly like the high-volume Boston clinic I came from–packed schedules, 20-minute appointments, maximum throughput. Within three months our no-show rate hit 28% and patient satisfaction scores were mediocre at best. Guys weren’t coming back for follow-ups, which is death for testosterone or ED treatment that requires monitoring.

The problem was treating men’s sexual health like urgent care. These patients need time to discuss sensitive issues without feeling rushed, and they need to trust you’re actually listening. I completely restructured our scheduling to 45-minute initial consults and built in same-day lab results when possible, even though it cut our daily patient capacity nearly in half.

Our retention rate jumped to 94% within six months, and referrals became our primary growth driver–we stopped paying for Google ads by month eight. Turns out men will drive from Connecticut for care when they don’t feel like a number, and they’ll tell their friends. The revenue per patient lifetime became 4x higher than the volume model would have generated.

The real lesson: in specialty healthcare, especially for stigmatized conditions, optimizing for relationship depth beats optimizing for appointment volume every single time. I still see physician assistants at conferences bragging about seeing 40 patients a day, and I just think about those empty follow-up slots I used to have.


Protect Reputation Before Rapid Growth

My biggest mistake in the early days of HomeBuild was hiring based on urgency rather than fit. I needed installers fast as we were growing, so I brought on a few guys who had some experience but didn’t share our obsession with quality and customer communication. Within three months, I had two callbacks where trim work wasn’t finished properly and one customer who felt blindsided because the crew never explained what they were doing.

The wake-up call was when I lost a $40K referral because the original client said, “The work was fine, but the crew didn’t treat my home with respect.” That one hurt–I built this company on word-of-mouth. I realized I was sacrificing the foundation of my business (quality and professionalism) for short-term capacity.

I completely changed my hiring approach. Now every installer works with our crew for at least 30 days before going solo, and I personally visit every job at start and finish to ensure standards are met. We also do quarterly training on both installation techniques and customer service–because in home improvement, how you treat someone’s space matters as much as the window you install.

The result? Our callback rate dropped to under 3%, and about 60% of our business now comes from referrals or repeat customers. I could probably grow faster if I hired aggressively again, but I learned that protecting your reputation is more valuable than chasing every opportunity.


Adopt Robust Booking Software Early

Early on, I tried managing appointments through text and phone calls instead of investing in proper scheduling software. Seemed like an easy way to save money and keep things “personal.” Within six months we had double-bookings, missed prep windows, and one Porsche owner who showed up to find another car still in the bay. That cost us the job and probably three referrals.

I learned that systems aren’t the opposite of personal service–they’re what make personal service possible at scale. We implemented proper booking software with automated reminders and bay scheduling. Our no-show rate dropped from around 12% to under 3%, and we could actually plan paint correction prep times without scrambling.

The bigger lesson was that “scrappy” stops being a virtue when it starts costing customers their time. Now when I see a process breaking down even slightly, I fix the system first rather than just working harder. We’ve done over 3,000 installs since then with way fewer scheduling conflicts, and clients actually tell us our process feels more professional than other shops.


Document Systems To Save Hours

I launched Webyansh’s first major project (Hopstack) without properly documenting our design system decisions. We built this beautiful minimal interface with custom warehouse UI abstractions, but I kept everything in my head instead of creating a proper handoff doc. Three months later, when they needed updates, I spent 12 hours rebuilding context that should’ve taken 30 minutes.

That one mistake cost me actual billable hours and taught me that client work isn’t done when you hit publish–it’s done when someone else can maintain it without you. Now I build comprehensive design systems for every project, even documenting the *why* behind abstract design choices. For the Asia Deal Hub dashboard, I created a full design system library covering everything from color logic to component usage rules.

The shift was immediate. My Sliceinn client integrated their booking API with zero confusion because the CMS documentation was bulletproof. I went from spending 40% of my time on support calls to under 10%, which meant I could take on more projects. Generated $7k in the first two weeks of one launch because I wasn’t stuck explaining old decisions.

The real lesson: your future self (and your client’s developer) will curse you for taking shortcuts on documentation. Systems thinking beats hero coding every single time, especially when you’re a one-person agency competing against teams.

Divyansh Agarwal

Divyansh Agarwal, Founder, Webyansh

Codify Care Prior To Expansion

Early on at ProMD Health, I made the mistake of opening multiple locations too quickly without standardizing our clinical protocols first. Each location started developing its own approach to patient consultations and treatment planning, which seemed fine until we realized outcomes and patient satisfaction scores were wildly inconsistent across sites.

The breaking point came when a patient who’d had great results at one location visited another and had a completely different experience–she posted about it publicly. We had to pause expansion and spend six months building comprehensive clinical guidelines and training systems. It cost us about three delayed openings and probably $200K in lost revenue that year.

What changed everything was implementing what we call our “clinical playbook”–detailed protocols that every provider follows while still allowing for personalized care. Patient satisfaction scores jumped 34% within the first year, and our BBB Torch Award in 2017 came partly because we could finally deliver consistent excellence everywhere.

Now I never scale anything until the system is bulletproof. My EMT days taught me that protocols save lives in chaos–turns out they save businesses too. Document everything that works, train until it’s muscle memory, then grow.

Scott Melamed

Scott Melamed, President & CEO, ProMD Health

Say No To Misfit Work

Early in my career at America Roofing, I kept saying yes to every job because I thought volume meant success. We’d take projects we weren’t perfectly suited for–residential jobs that needed commercial-grade foam work, or rush repairs when crews were already maxed out during monsoon season. Quality started slipping, callbacks doubled, and suddenly our legendary customer service reputation was taking hits on Google reviews.

The real wake-up was a Scottsdale tile job where we pushed a crew through 110deg heat to meet an unrealistic deadline I’d agreed to. Improper ventilation staging, rushed flashing details, and one guy ended up in the ER with heat exhaustion. That $12,000 job cost us $28,000 in rework, medical coverage, and lost referrals when the homeowner rightfully told everyone about the experience.

Now I turn down work that doesn’t fit our strengths or timeline. We specialize in what we do best–tile, foam, and flat systems engineered for Arizona–and we schedule around heat safety protocols, not customer impatience. Our close rate dropped 15% but our profit per job jumped 34%; callbacks fell to nearly zero, and our crews actually want to show up. Saying no to the wrong work is how you say yes to building something that lasts.

Turns out “we do everything” is a warning sign, not a selling point. Frugality isn’t about taking every dollar offered–it’s about doing fewer things exceptionally well so you’re not bleeding money fixing mistakes.


Optimize For Revenue Skip Vanity Leads

I managed $50M+ in ad spend for a fintech client and built what I thought was a perfect acquisition system–paid search, paid social, retargeting, everything optimized to the decimal. Performance looked incredible on dashboards. Three months in, the CEO told me they were bleeding cash because our “high-quality leads” weren’t converting to funded accounts. I had optimized for MQLs, not revenue.

Turns out I never sat in on a single sales call. I didn’t know that leads from Facebook needed 9 touchpoints to fund while Google Search leads funded in 3. I was feeding the sales team volume they couldn’t handle instead of quality they could close. We were spending $180K/month to generate leads that died in the pipeline.

I completely rebuilt our tracking to follow every lead to revenue, not just to form submission. Cut Facebook spend by 60%, tripled down on branded search and SEO, and built a WhatsApp nurture sequence that pre-qualified intent before humans touched it. CAC dropped 43% and funded account volume went up 31%. Now I don’t launch a campaign without mapping it to closed revenue and sitting through real customer conversations first.

The lesson: proximity to the problem beats dashboard optimization every time. I wasted six figures because I was managing pixels instead of understanding how money actually moved through their business.

Renzo Proano

Renzo Proano, Team Principal | Enterprise Growth Partner, Berelvant AI

Set Expectations Upfront When You Quote

Early in my time at Cash Auto Salvage, I got burned on revised offers. We’d quote someone $800 for their vehicle sight-unseen, then our tow driver would show up and find missing catalytic converters or undisclosed frame damage. We’d have to revise down to $400 on the spot, and customers felt baited-and-switched even though *they* hadn’t been upfront with us.

Lost probably 40+ deals in six months because people would just cancel when the driver called to confirm condition. Even worse, some of those angry sellers left 1-star reviews saying we were scammers–the exact reputation we were trying to avoid in an industry already full of shady operators.

I completely overhauled our quote process after that. Now we ask hyper-specific questions upfront (flood damage? missing cats? frame issues?) and even incentivize people to send photos or their VIN before we finalize the number. If something’s unclear, we lowball the quote intentionally and surprise them higher at pickup instead of the reverse.

Our pickup completion rate went from around 60% to 91%, and those surprise upward revisions turned into word-of-mouth marketing. Taught me that in salvage, you either control expectations perfectly on the front end or you lose the deal *and* your reputation.

Marc Skirvin


Design Around Each Operation

Growing up in the business, I thought I knew everything about every role because I’d done them all. My biggest mistake was assuming that gave me all the answers when we started scaling our Vendor Managed Inventory program beyond 20 customer locations.

I pushed a standardized VMI approach across all 60+ locations we eventually reached, ignoring feedback from our field teams about site-specific needs. We had customers dropping out because our “one-size-fits-all” system didn’t match their actual workflow. One mechanical contractor in particular lost three days of productivity because our standard bin setup blocked their forklift paths–something their warehouse manager had flagged before rollout that I dismissed.

The lesson hit hard: experience working every job doesn’t mean you know every customer’s operation better than they do. I learned to build flexibility into our systems and actually listen when people closer to the problem offer solutions. Now our VMI implementations start with a full week of on-site observation before we design anything, and our retention rate jumped to 94% because customers feel ownership over their setup.

That shift from “I know because I’ve done it” to “I need to learn your specific situation” changed how I approach every expansion decision. Turns out humility scales better than assumptions.

Jacob Reese

Jacob Reese, Vice President, Standard Plumbing Supply

Let Guests Tailor Experience Intensity

My biggest mistake was treating all customers the same at Castle of Chaos instead of recognizing different thresholds for fear and intensity. In our first few years, we’d push everyone through the same experience, and we lost tons of potential repeat customers who felt either underwhelmed or genuinely traumatized.

That’s what led me to create the touch levels system in 2007–especially the Level 5 experience. We started letting guests customize their scare intensity, and our return rate shot up by about 40% within the first season. People who wanted mild scares could enjoy the story without actors grabbing them, while thrill-seekers got the full contact experience they craved.

The lesson completely changed how I approach both Castle of Chaos and Alcatraz Escape Games. Now we offer multiple difficulty levels for every room and experience, letting customers choose their challenge. A family with kids gets a totally different experience than a corporate team looking to push their limits, but both leave happy and tell their friends.

Bottom line: Stop assuming you know what your customer wants. Give them control over their experience intensity, and they’ll become your best marketing tool.

James Bernard

James Bernard, Principal Owner, Alcatraz Escape Games

Treat Patience As A Strategy

Early on at Latitude Park, I kept tweaking campaigns obsessively because I thought constant optimization showed clients I was on top of things. One franchise client lost 30% of their lead volume in two weeks because I kept making changes before campaigns could exit Meta’s learning phase–basically resetting the algorithm every few days instead of letting it learn.

I learned that sometimes doing *less* is actually doing more. Now I force myself (and my team) to let campaigns run for at least 50 conversions before making major changes. We build the structure right from the start, then we wait and let the data mature before touching anything.

The big shift? I started treating patience like a strategy, not a weakness. We now set clear “no-touch windows” in our project management system and educate clients upfront that the learning phase exists for a reason. One recent franchise client saw their cost-per-lead drop 40% simply because we stopped messing with what was already starting to work.

Rusty Rich

Rusty Rich, President, Latitude Park

Slow Bids Tell Hard Truths

Early on at Heritage Roofing, I lost a $47,000 commercial job because I quoted it too fast trying to beat competitors. Missed critical flashing details and drainage requirements on the flat roof section. When I realized the actual scope, I had two choices: eat the loss or tell the client I screwed up the bid.

I went back to them, explained exactly what I missed, and showed them the real numbers. Expected them to walk. Instead, they appreciated the honesty, paid the revised estimate, and that property manager has sent us eight more buildings over the years. That one conversation has generated over $340K in referrals.

The lesson wasn’t about better estimating–it was about slowing down when it matters most. Now we never quote commercial work without a physical roof inspection, even if it costs us the speed advantage. I’d rather lose a bid than win a job that’ll lose money or force us to cut corners.

We built our reputation on 50+ years of quality work, and I almost traded that for one rushed sale. In roofing, your name is everything in a small community. Rush the process, and you’ll spend years repairing more than just roofs.


Honor Promise With Direct Counsel

Early in my career running Cullotta Bravo Law Group, I made the mistake of trying to scale too quickly by bringing on associates and immediately delegating cases. I thought efficiency meant getting my name off every file. Within six months, I noticed our client satisfaction dropped and we had three complaints about feeling “shuffled around”–something that had never happened when I handled cases directly.

The wake-up call came when a workers’ comp client told me at a settlement conference that they hadn’t actually spoken to me since our initial meeting, despite asking for me multiple times. They still won their case, but I realized we were becoming exactly what I hated about big firms. Our whole value proposition was that clients work directly with an experienced attorney, not paralegals or junior associates.

I completely restructured how we operate. Now I personally handle or co-counsel every significant case, and we cap our caseload rather than just taking every client who walks through the door. It cut our annual intake by about 40%, but our referral rate more than doubled because clients actually got what we promised them.

The lesson was brutal but clear: growth means nothing if it destroys what made you successful in the first place. I’d rather turn away cases than become another mill where injured people are just file numbers.

Peter Cullotta

Peter Cullotta, Managing Partner, Cullotta Bravo Law Group

Curate Inventory And Perfect Process

My biggest mistake was trying to scale inventory too fast without the infrastructure to support it. When I first expanded Sienna Motors, I got excited about acquiring vehicles and ended up with 15+ premium cars sitting on our lot for months because we didn’t have the marketing systems or sales processes dialed in yet. Watching those carrying costs pile up–insurance, lot fees, depreciation–was brutal.

What changed everything was shifting from quantity to curation. Instead of flooding the lot, we started handpicking 8-10 exceptional vehicles at a time and investing heavily in professional photography (40+ images per car), detailed listings, and targeted digital advertising across Google and Bing. Our turn rate jumped dramatically, and cash flow became predictable instead of a constant stress point.

The real lesson was that “white-glove service” isn’t just a tagline–it has to be backed by operational discipline. Now we only acquire inventory we can properly showcase and sell within 60 days. We also added consignment services so clients bring us premium vehicles without us tying up capital, which lets us maintain that curated feel while expanding our reach across South Florida.

In the used luxury market, especially with exotics, every vehicle sitting is money bleeding. Focus on perfecting your process with fewer units before you scale–your cash flow and sanity will thank you.


Center Privacy And Empathy First

Early on, I underestimated how much stigma around sexual health would affect our marketing approach. I thought great treatments and good results would naturally bring patients in, so we kept our messaging clinical and straightforward. Our first six months were painfully slow despite having a 97.2% efficacy rate for ED reversal.

The mistake was treating sexual wellness like any other medical service. I learned that people needed to feel understood and safe *before* they’d even consider booking a consultation. We completely rebuilt our patient intake around confidentiality and comfort–starting with a simple online quiz that lets men explore their symptoms privately without pressure.

That shift tripled our consultation bookings within two months. Now every part of our process, from numbing cream application to follow-up calls, is designed around reducing anxiety first and treating second. Turns out addressing the emotional barrier was more important than advertising our technology.

If you’re in any business where your customers feel vulnerable or embarrassed, make privacy and comfort your loudest message. The actual product becomes relevant only after they trust you enough to walk through the door.


Build Backup Networks Ahead Of Commitments

My biggest mistake was saying yes to every job that came through the door without having proper backup systems in place. Early on, I took pride in never turning down work, but I hadn’t built the network to support that promise when things went sideways–like when two drivers called in sick on the same day we had three major bookings.

I ended up driving one job myself while frantically calling in favors, barely making it work. The stress was brutal and I realized I was one breakdown away from letting customers down completely.

That’s when I started partnering with other small transport operators in Brisbane who shared our values. We created a mutual support system where we’d cover each other’s overflows and emergencies. This network has been the reason we’ve genuinely never cancelled a booking–even during COVID when we had drivers isolating left and right.

The lesson? Your reputation isn’t just about working hard–it’s about building the infrastructure to keep your promises even when everything goes wrong. Now I focus on relationships with other operators first, then take on new work, not the other way around.

Cam Storey

Cam Storey, Owner, Brisbane 360

Translate Vision Into Actionable Context

I’ll admit early on, I made the mistake of assuming that clarity in my mind meant clarity in the team’s mind. We were building Dos and Don’ts fast, with a clear mission, and I assumed everyone instinctively understood the ‘why’ behind each feature. But over time, I noticed micro-misalignments: designers solving the wrong problem, writers leaning too generic, devs prioritizing the urgent over the meaningful. The root issue? I was communicating tasks, not translating vision.

That experience taught me a leadership truth I now live by: direction isn’t delegation. So I changed my approach. Today, before we ship anything, even a line of content, we start with context: Who’s this for? What’s the emotional friction? What behavior are we guiding? When people see the purpose, they work with more ownership and creativity.

It’s not just about building the product; it’s about building shared conviction. That’s what keeps a mission like ours, helping people navigate the world better, truly alive in the details.


Own Quality With Clear Checkpoints

One of the biggest mistakes I made as a business manager was not putting strong quality control systems in place for work I delegated. Early on, I wanted to avoid being a micromanager, so I placed a lot of blind trust in our SEO team and assumed the work was being executed correctly at scale.

The problem was that I didn’t regularly review or audit the output. About a year later, the impact showed up clearly—lower search rankings, fewer organic leads, and the realization that parts of the project needed to be rebuilt from scratch. That experience was costly in both time and momentum.

What I learned is that delegation doesn’t remove responsibility. As a leader, I don’t need to do the work myself, but I do need to own the quality standards and review checkpoints. Today, every delegated initiative has clear benchmarks, periodic audits, and measurable KPIs. That shift has made our systems stronger, our results more predictable, and our team more aligned with what “done right” actually means.

Ty Fischer

Founder & Team Leader

TotalSoCalHomes.com

Matiah Fischer

Matiah Fischer, Founder/Team Leader, Total So Cal Homes

Create Guardrails Empower Your Team

My first real job was working for Hair Club as a Managing Director. I thought, naively, that good managers fixed everything themselves. If a number was off or if something wasn’t done right, I jumped in to fix it. I thought I was being productive, but I was actually failing as a leader. The lesson I learned is that when you continue to save people, you create hyper dependence. After opening Infinite Medical Group (my own Med Spa), I stopped asking how I could fix this and started asking “why does this keep happening and how can we fix the process?” Average managers put out fires; leaders fireproof the building.


Favor Talent Above Cheap Labor

One mistake I made early on as a business manager was prioritizing lower-cost hires, thinking it would help control expenses while we scaled. The intention was practical, but the outcome taught me an important lesson.

What I learned is that when people are placed in roles that don’t fully match their skill level or experience, the business often pays for it in other ways. The quality of work can become inconsistent, projects take longer, and leadership ends up spending more time guiding, correcting, or stepping in to fill gaps. Over time, that affects efficiency, team morale, and even how the brand is perceived by clients.

That experience changed how I approach hiring and management. I now focus on finding people who are genuinely aligned with the role, have the right skills, and take pride in their work. Even if the upfront cost is higher, the long-term return is better through smoother operations, stronger results, and a healthier team dynamic. It also allows me, as a manager, to focus more on leadership and growth rather than constant supervision or rework.


Develop People Beyond Raw Numbers

Learning from Leadership Missteps

As both a lead auditor and CEO, my most consequential mistake was prioritizing short-term results over team development. When facing aggressive quarterly targets, I micromanaged key projects and sidelined collaborative decision-making to speed up outcomes.

The strategy backfired extraordinarily. Team innovation dropped, two star performers resigned, and our subsequent quarter showed declining performance despite meeting the immediate goals.

This taught me that sustainable success requires balanced leadership—combining clear direction with trust in your team’s capabilities. I now implement structured mentoring programs and create space for mixed perspectives, recognizing that developing people ultimately drives better business results than controlling every outcome.

Saurabh Singh

Saurabh Singh, Lead Auditor and CEO, JS certification

Confirm Alignment Invite Candid Questions

A mistake that taught me a lasting lesson was assuming silence meant alignment. I moved quickly on decisions without checking whether everyone truly understood the direction or felt comfortable raising concerns. The work got done, but small misunderstandings piled up and eventually slowed progress.

That experience changed how I manage by making communication explicit and two-way. Now I pause to confirm understanding, invite questions early, and treat feedback as part of execution rather than a disruption. Clarity upfront saves far more time than it costs and creates a healthier, more effective team dynamic.


Validate Demand With Real Data

One mistake I made was moving too fast on a product feature because a few loud customers asked for it. We built it, shipped it, and then realized it didn’t serve the broader base. The lesson was to validate demand with data, not volume of opinion. Since then, I slow decisions just enough to test impact before committing resources.

Hillel Zafir

Hillel Zafir, CEO and Co-founder, incentX

Delegate Tasks To Gain Time

The belief that I’m the best person for everything because I know my business inside and out. That may be true for some things, but over time, you realize that you have the same amount of time but with more things to do, and you have to prioritize. In the very beginning stages of TailoredPay, I had so much work that it wasn’t unusual to stay logged on for 10 hours a day. I then realized that certain things like admin and customer support took hours from me every day, and I made my first hires. Haven’t looked back since. I have more time, earn more, and there’s a team I can rely on.


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