Owning your own business is a noble dream. Everywhere you turn, you’ll read some success story of an entrepreneur who pulled themselves up by their bootstraps and is now living the dream of being their own boss.
And while that is a great ideal to strive for, that doesn’t change the fact that starting a business is hard. And we mean REALLY hard.
So while everyone loves a success story, it’s unwise to go into your endeavor thinking that you’re just going to jump right into the black. So prepare yourself from a little tough love from the school of reality.
Because the truth is…
Most Small Businesses Fail
It is a fact that over 80 percent of small businesses do not last longer than five years. There are many reasons behind this statistic, including poor management, insufficient capital, and lack of planning.
A new business must have a strong plan that sets realistic goals. It acts like a map that navigates the road through twists and turns. Without a way to overcome problems and manage success, a business is doomed.
Also, many individuals underestimate the amount of money necessary to gain success. As a company grows, so do the costs needed to keep it running smoothly. Not having enough capital means failure is imminent.
Poor management is the top reason behind business failure. Business owners must possess knowledge in a vast number of areas. For instance, finance, production, and human resources are just a few crucial topics.
A solid manager is a good leader and creates a productive work environment. He or she must have strategic training skills, know how to deal with change, and envision better possibilities for the future.
Your Time is Not Your Own
Although office work is tedious, it usually involves an eight hour day. However, when you run your own business, you often work late into the night without breaks.
Even though you are your own boss, you must work twice as hard to gain success.
When you do get time away, you will likely still think about work. In many cases, this causes heightened stress and battles with insomnia.
Money Will Be Tight
Most people with regular jobs live on tight budgets, but money gets even more sparse when starting a business. Unless you have invested an inheritance or have a wealthy partner, your finances are going to be tight until your business takes off. .
Although it may be tough, you will be forced to examine the best places to use your money and make calculated decisions.
Since you have limited funds, you may not be able to take your normal vacation or dine out as often. However, this discipline will make you a savvier business person.
Expect the Unexpected
When it comes to starting a new business, things are never written in stone. It is key to expect the unexpected.
Along the way, you will experience some ups and downs. Mistakes will be made, but these will be the best lessons.
If you are afraid of change, a business startup may not be a wise idea.
There will be many times when you feel clueless. However, surrounding yourself with good people will make things more bearable.
It Gets Lonely at the Top
An office setting is filled with coworkers who form a team.
When you start a business, you are virtually alone. There is little time for chit-chat, few opportunities for after work gatherings, and no exchange of gossip at the coffee machine.
Since socializing is important, it is possible to attend networking events. This will cut your sense of loneliness and help advertise your new endeavor.
Starting a business can bring definite benefits. However, the road to entrepreneurship is not always simple.
Learning some of the difficulties braces you for the challenges and helps you decide whether or not it is a practical decision. Being prepared is the first step toward overcoming the obstacles.