Being an entrepreneur is never an easy task. With the amount of patience, hard work, and dedication needed, we can say that entrepreneurship is not for everyone. Statistics say that for every one hundred people who try business, only one makes it to the success finish line.
The reason for this may be the different responses, strategies, and ideas of starting entrepreneurs to the many challenges they will face on a daily basis. Now let’s take a look at four of these:
- Limited Funds
Unless you have a large sum of extra cash or contingency money, your limited funds (and the need to have a good return on investment within a given time) will always pose a financial challenge.
Steady cash flow is required if you want to be able to maintain your business even during those times when the results are unfavorable. Without it, no matter how good your business ideas are, the company will eventually die. This one is a no-brainer. Money is definitely a huge factor in sustenance.
- Limited Staff Or The Wrong People
In any business, proper and sufficient staffing is critical (most especially the first one). It’s not enough that you have a lot of people to do the job because the more important question is, are they really the ones fit for the tasks and responsibilities? Sometimes, new entrepreneurs get too excited with their business ventures and hire random people right away so that they can start with the operations, but please keep in mind that hiring the right staff is just as important as your business.
This is because each of your staff members will also serve as the ambassadors of your brand; they will represent you, your product, and your service. So the next time you start hiring people for your business, make sure they embody the qualities that you stand for.
- Business Location
Whether you’re an entrepreneur looking for a sweet spot where you can place your small snack stall, or a capable restaurant-owner looking for a commercial space where you can bring your business to real life, one thing is for sure: location matters. Let’s give some simple examples: you can’t build a liquor bar in front of a school, right? Or open a laundry shop near a zoo (that would be a very lame idea).
You want the best for your business, of course, and part of that includes finding the best location (a really good one) that suits you. Your store location and placement will undoubtedly affect your income, not to mention your expenses as well and the way people perceive your brand. Pick your space wisely.
- Time Management
If you’re doing this whole entrepreneurship thing on the side, serious time management skills are a must. Having a business on top of a day job is not easy or cool as it sounds, it requires work, motivation, and a burning desire to succeed. If you do not manage your time well, all your hard work will be put to waste.
I’m sure you’ve already heard this from a lot of motivational speeches or books, but it’s worth repeating: time is money. On the other hand, if you’re doing business full-time, you still need time management (of course), but you have to be smart with organizing your time.
Now that we’ve identified four of the many challenges that entrepreneurs face almost every day, we hope you’ve become informed so that you can be more careful should you have any plans to open a business in the future.