According to Investopedia, one of the many reasons companies fail is a lack of capital. Aside from this, there is a slew of other financial blunders that new companies often make. If such mistakes are prevented, a small business's chances of success will skyrocket. Being financially literate will prevent you from making costly mistakes if you are a new entrepreneur (or are in the process of becoming one). Take note of some of the most common financial errors that new companies make, and you'll be able to prevent them.