July 2021

Top reasons why entrepreneurs fail

It’s no surprise that in the past decade, entrepreneurship has become a more popular career choice. The number of entrepreneurs per 1,000 people is on the rise and according to Forbes, there are now 27 million small businesses in America alone. One of the most common misconceptions about entrepreneurship is that it’s easy—or something anyone can do with little training or experience. But this couldn’t be further from the truth. In fact, for every successful entrepreneur, there are many more who have failed miserably because they didn’t know what they were doing or lacked an understanding of business fundamentals such as market research and sales projections.

 

In order to succeed as an entrepreneur, you need to understand how to identify your strengths so that you can use them appropriately. It’s important to have a clear vision, defined goals, and other aspects of your business planned out; like financials, marketing & client acquisition, growth plan, S.W.O.T Analysis, the hiring processes, and protection of your assets, just to name a few. Without a clear vision of how your business functions and what experience your business is providing your customers, you’re aiming for failure.
You may find yourself with a clear vision and plan, but without a focused mindset or without having proper organization methods in place. You may find yourself struggling or failing when it’s not necessary. It’s important to have a calendar, physical or virtual to keep track of important dates, a CRM or a document/notebook to keep track of your leads and clients, accounting software or book keeping a spreadsheet to track income, expenses, and ROI, or an outlined plan that you intend to execute for growth. Your finances can without a doubt, make or break your business. With your growth, it’s important to accrue capital, to prepare for growth, mistakes, or additional expenses. In addition, your growing business may have a lot of cash flow, incoming and outgoing transactions that make the books hard to keep track of. It’s important to know your expenses and profits, as it may seem great at first, invoices are getting paid, but after reviewing your expenses, you may come to find out you’re actually losing money each month!

 

Without a clear marketing strategy, understanding your clients’ journey, and efficient marketing execution, you may never be able to grow your business. With a very organized business that has a clear vision, you can produce a great product or service. But if no one can find you or your business, none of that matters. It’s important to include marketing in your budget, and connect with the appropriate people or businesses to aid you in your marketing efforts. It’s important to delegate some of the work to other team members or businesses. You can’t and don’t have to do everything yourself. In addition, you have to make sure you utilize the right people or companies for the task at hand. You may burn out your employees, or waste money by hiring an employee or a company that isn’t qualified to assist you and your business.

 

Most new business owners and entrepreneurs underestimate the time it takes to start seeing results in their business. Too often business owners expect to be set for life after their first few clients. Growing a business can take a lot of capital, and it’s important to plan financially to not only see a return but invest your profits back into your business.

 

For a successful business, it is imperative to focus on your company’s vision. The clearer you are about what you want and the more time you dedicate to staying organized and delegating tasks appropriately, the better off your business will be in terms of productivity and efficiency. If there are other areas where you feel like things have slipped through the cracks or could use some improvement, don’t wait around! No one has all of this figured out perfectly–don’t let perfectionism prevent growth from happening. Take action today by making sure these changes are reflected in your marketing plan so that customers know who they’re buying from.

 

It’s important to stay focused on your goals and work with a business coach or consultant who can help you create an action plan. Your life will be easier if you delegate tasks that other people are qualified for – this way they’re not overworking themselves while you sit back in the driver seat. Finally, don’t expect overnight success when it comes to starting your own business venture; most entrepreneurs take years before seeing any kind of return on their investment. If none of these points resonate with you- then fear not! We have plenty more free marketing advice waiting just around the corner. Give us a shout anytime we want to chat about how we can help make sure your company is set up for success from day one!

Things to consider when transitioning from employee to entrepreneur

Becoming an entrepreneur is a huge leap for anyone and it’s important to understand the risks and rewards before making the transition. Entrepreneurs need to think about things such as how they will generate revenue, their expenses, their cash flow forecast, how much money they’ll need in order to get started, and more. One of the most common mistakes that entrepreneurs make when transitioning from employee to entrepreneur is not thinking about all of these variables beforehand which can lead to financial issues later on down the line. When you are transitioning from employee to entrepreneur, it’s important to consider all aspects of the transition. This post will help you do just that with a list of things to think about before making your final decision. Starting a business can be hard and there is so much uncertainty that comes with it, but if this is something you want then these tips should give you an idea of what lies ahead.

In recent years, many people have turned their hobbies into profitable businesses. Turning your talent or passion into a business can be a great way to ensure you do lose interest! Start by identifying what type of product would be best suited for your style of work. If you love designing clothes to spruce up friends’ wardrobes perhaps clothing would be a good choice. Whatever it is, it’s important you are passionate about it. Once chosen, find out where there are outlets that sell products like yours; this will give insight into how much competition exists. Success at turning a hobby into a passionate project could lead to financial freedom. opens doors towards entrepreneurship paths previously unimaginable before starting down this journey.

Once you’ve found something you’re passionate about, you then should evaluate your skills, interest, and goals. It’s important to have the skill set necessary to build your business and manage a thriving team when the time comes. On top of that, your business is an essence for you; if you lose interest, so will your clients, employees, and partners. After going over the necessary goals, you should create short and long-term goals, and continue your learning process to help you achieve these goals. Your goals don’t have to be anything crazy, but also shouldn’t be limited by any preconceived notions. It is important to set the goals you seek to reach and use data, logic, and support from your network to navigate your path to reach your goals.

Once your goals are in place, it’s important to consider what your needs are, and things that may hold you back, or make it difficult to start your business. Do you work full time, do have enough extra time to run your business? Financially what do you need to survive? Are there other aspects of your life that impact your ability to run a business? Are your goals set, and do you have a plan in place to achieve them?

All of these questions and more may come up when starting your business. It’s important to logically evaluate all of your questions, and create a plan that you can follow and that is achievable. It also may help to talk with others who started their own business, and seek guidance when it comes to best practices and techniques.
You should now evaluate the pros and cons of your industry and what infrastructure you need in place to start serving customers. You don’t need everything in place at first and should understand that pivoting is an essential part of running a successful business. After evaluating the industry standards, understanding what your consumers expect, and what competitors are doing, it may be the right time to start your business. Everyone’s situation is different, but it’s important that each step you take is logical and calculated when it comes to running and growing your business.

When making the jump from employee to entrepreneur, it’s important you have an exit strategy in place. Running a business is stressful, and it can be devastating if you don’t account for the “what if’s”. Create an exit strategy if things don’t work out, or if you’re unable to continue running your business. Have an action plan in place in case you need someone else to temporarily step in and run your business for you as well. With a calculated exit strategy, some of your stress will be relieved, and you can dedicate your focus to your business.

It’s also important to note how much time it will take to start earning money from a new venture. Owning a business can be very profitable, but starting out, and maintaining one can be expensive, and your return might take longer than expected. It’s important to identify these types of things early so you can be prepared.

The rewards of entrepreneurship are worth the risk. If you’re still not sure if starting a small business is right for you, here are some things to consider before making your decision. Have you considered what would happen if this venture didn’t work out? What about how much time it will take your new business to start earning money? These questions can help determine whether or not now might be the best time for you to explore your entrepreneurial side and launch that idea that’s been burning inside of you since day one. You never know when inspiration may strike! For more information on becoming an entrepreneur in today’s world, check out our blog post “Top reasons why entrepreneurs fail and how to overcome them”.

No matter how you slice it, starting a business is a monumental endeavor. It will require time and effort to get off the ground but if done right, your investment could be worth tenfold in just a few months. So take some time to figure out what’s holding you back from taking that leap of faith into entrepreneurship or whether now may actually be the perfect opportunity for you to make something happen! We’re here to help answer any questions or concerns, so don’t hesitate to reach out when ready.