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the biggest mistakes new ndis business owners make (and how to avoid them)

Starting an NDIS business is often driven by heart.
You want to help people.
You’ve worked in the sector.
You’ve seen gaps in services.
And you believe you can do it better.
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Insight Description

But here’s the truth many new providers don’t hear early enough:

Good intentions alone won’t build a compliant, sustainable NDIS business.

Over the years, I’ve worked with many new and growing NDIS providers, and I see the same mistakes repeated over and over, not because people don’t care, but because they simply were not shown what really matters when starting.

If you’re thinking about starting an NDIS business, or you’re already operating and feeling overwhelmed, this blog is for you.

Mistake #1: Starting Without Understanding the Responsibility

Many new business owners enter the NDIS believing it’s similar to other service businesses.

IT'S NOT!!!!

The NDIS comes with legal, ethical, and compliance responsibilities that sit with you as the provider. You’re responsible for:

  • Participant safety
  • Staff capability
  • Service quality
  • Governance
  • Documentation
  • Risk management

How to avoid it:
Before registering or taking on clients, invest time in understanding:

  • The NDIS Practice Standards
  • Your obligations as a provider
  • What “duty of care” really looks like in practice

If you don’t fully understand what you’re responsible for, you’re already at risk.

Mistake #2: Thinking Compliance Is Just Paperwork

This is one of the most dangerous assumptions.

Many providers believe compliance is about:

  • Having policies
  • Passing an audit
  • Ticking boxes

In reality, compliance is about how your business actually operates.

Auditors don’t just want documents; they want to see:

  • Policies being followed
  • Systems working in real time
  • Staff trained and supported
  • Risks identified and managed

How to avoid it:
Build systems first, then write policies that reflect what you actually do not the other way around.

If your paperwork doesn’t match your practice, audits will expose that quickly.

Mistake #3: Offering Too Many Services Too Soon

Many new providers try to offer everything:

  • Support work
  • SIL
  • Community access
  • Support coordination
  • Plan management

This usually leads to:

  • Burnout
  • Poor quality service
  • Staff confusion
  • Compliance gaps

How to avoid it:
Start with one or two services, build them well, and grow from there.

Strong foundations outperform rushed expansion every time.

Mistake #4: No Systems for Staff or Clients

If your business feels chaotic, it’s usually not because you are bad at business, it’s because you lack systems.

Without systems, you’ll experience:

  • High staff turnover
  • Missed shifts
  • Poor communication
  • Inconsistent service delivery

How to avoid it:
You need clear systems for:

  • Recruitment and onboarding
  • Rostering
  • Incident management
  • Client intake
  • Communication

Systems protect you, your staff, and your participants.

Mistake #5: Expecting Referrals to “Just Happen”

Many new providers believe that once they are registered, referrals will flow.

They don’t.

Referrals in the NDIS are built on:

  • Trust
  • Reputation
  • Relationships
  • Consistency

How to avoid it:
You must intentionally build referral pathways with:

  • Support coordinators
  • Allied health professionals
  • Community networks

Referrals are earned, not automatic.

Mistake #6: Underestimating the Leadership Shift

Going from worker to business owner is a massive shift.

You are no longer just supporting participants you’re:

  • Leading staff
  • Making risk-based decisions
  • Holding boundaries
  • Carrying responsibility

Many new providers struggle here and feel isolated, overwhelmed, or burnt out.

How to avoid it:
Develop yourself as a leader, not just a service provider.

Strong leadership creates stable teams and sustainable businesses.

Mistake #7: Trying to Do It All Alone

This is one of the biggest and most costly mistakes.

The NDIS is complex, and learning everything through trial and error often leads to:

  • Compliance breaches
  • Financial loss
  • Stress
  • Burnout

How to avoid it:
Get guidance early.

Support from someone who understands the NDIS, compliance, systems, and business growth can save you years of struggle.

Final Thoughts

Starting an NDIS business can be incredibly rewarding, if it’s done right.

Ethical growth, strong systems, and clear leadership don’t just protect your business, they protect the people you serve.

If you’re feeling unsure, overwhelmed, or want to make sure you’re building a compliant and sustainable NDIS business, this is exactly the work I do.

You don’t have to figure this out alone.

If you need NDIS advice and need assistance with your business.  Give me a call at Cherryl Joseph Consulting.  

Insight Info

Category
Community
Published Date
8th January 2026

Written by

MySolas
MySolas is Australia's first digital ecosystem for the NDIS. Use this profile to contact us if you need assistance navigating the ecosystem, provide feedback for function improvements, and more. MySolas was founded in 2020, the year of a change in times that has affected many people worldwide. So, we wanted to make a difference and help those in need. This drive and passion led us to give those who may not have a voice in these unprecedented times a platform to feel secure and meet their needs.
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Cherryl Joseph
MySolas
Posted: 8th January 2026