One of the biggest factors that delays people from starting up a business is risk. What if things go wrong? What if I lose money? And what happens if the business fails?
If you’ve had these worries, it’s important to know that there are things you can do to reduce the risk.
Several useful tips if you decide to start a business:
Don’t expect overnight success: Although some people do achieve great success within a relatively short time, they are usually the exception to the rule. Understand that starting up a business takes time to grow.
Take it seriously: You should treat your business as you would any other job and give it 110% effort. Too many people start up a business and fall because they fail to follow through on this point.
Keep your day job: In the early stages of your business venture it is wise to keep your day job. That way you’re not putting yourself under pressure to pay your personal expenses from your business upfront.
Choose a business that interests you: It’s amazing how many people launch a business that doesn’t interest or inspire them on any level, apart from its money making potential. It’s much easier to motivate yourself if you’re doing something you love.
Don’t bet the farm: Keep your start up expenses as low as possible. Don’t spend money on things that won’t help you to produce your product or service, or sell more of it.
Reduce your debts: It’s a smart idea to reduce your personal debts as much as possible before starting up a business. This approach allows you have fewer expenses to cover while you establish and grow the business. Ideally elimination of your debts is the best approach prior to business kickoff.
Most Important! Do your homework: Outline your business objectives. Who is your market? Is the market growing? Who will the business compete against for customers? What is the business’ competitive advantage? How will the business price its goods/services and how does the pricing compare to the competition? What problem are you solving for your customer? This is a starting point for your homework.
Only you can determine if starting a business is worth the risk and level of dedication required. It’s a personal choice.