A few decades ago, it was considered a rare achievement to start and run a successful business of your own. A lot has changed since then, and an increasing amount of people are inclined to start a venture and ‘work for themselves’. However, it’s not that simple.
One of the biggest misconceptions about starting a business is that because you’ll be your own boss, you’ll be able to do whatever you like. Not necessarily. You’ll still have stakeholders depending on you and people leaving you customer testimonials. Starting a business means taking charge of other’s priorities alongside your own.
This guide will bust five additional misconceptions you might have about starting a business.
Table of Contents
Myth 1: Entrepreneurs have Endless Freedom
It’s a common misunderstanding that just because you’re going to be running your own business, you’ll have plenty of free time to do as you like. Yes, you can set your own work timings and get things done anytime and anywhere you like, but it is more likely you’ll need to stick to the schedules of others.
You will be dependent on suppliers, vendors, customers and partners and it will take a lot of your time and effort to get your business up and running – especially in the initial stages. The freedom of being your own boss is unparalleled, but in most cases, you will be held answerable for the decisions you make.
Myth 2: You Need to Constantly look for Funding
Money will make your business a success, but that doesn’t mean you need a whole lot of it to begin with. It takes plenty of patience to attract good investors. Considering the high competition rate for funding, you should focus on building the best possible product first, so you have a proficient and well-thought-out plan to pitch to investors.
Not every business is able to secure millions of pounds in funding. A major reason for startup failure is poor money management. Instead of waiting around for funding to arrive, keep all costs to a minimum. You need to be savvy about your finances and find ways to bootstrap your business at all times.
Myth 3: Entrepreneurs Need to know how to do Every Function in their Business
Yes, you might need to know the basics of all roles, but just enough so you know how to hire the best team to help you out. It is unproductive to be an expert in every function, and you need to especially stay away from micromanaging every task. Trying to do everything alone never ends well.
Partner with reliable co-founders who share the same amount of passion as you do and who bring in a completely different set of skills to the running of the business. Delegate work to employees and freelancers who believe in your business idea for the long term. Seek out mentors for guidance and advice. The lessons that experienced entrepreneurs can give you are unparalleled, and many are happy to speak to you for free if you just ask.
Myth 4: You Need to have a Background in Business
This one is a big no, and not many people realise this. You can always partner with someone who knows the ins and outs of the business industry to help you out with that. It is more important that you are an expert in the field you want to start a business in.
You don’t even need an entrepreneurial mindset or have a history of family business, although this can be advantageous. Small businesses make up more than 99% of the business population in the UK, so clearly this is an industry almost anyone can be a part of.
Myth 5: Entrepreneurship is a Huge Risk
Yes, entrepreneurship is risky, but what step in your life isn’t? This is why it is important to partner with and work with the right people who can share and minimise your risk. In business, you can’t expect rewards if you don’t take any risks. That doesn’t mean you should sacrifice everything to achieve success either.
There are plenty of ways to run a successful business without having to end all personal relationships or sell your home. With careful planning and prudent running, your path to business can be lucrative and optimistic.
Make your Business Dreams come True
Entrepreneurship might seem like a pipedream for some, but if you keep the above points in mind, you should be able to make that dream a reality with ease. To be successful, you need to be fully prepared for what’s in store. Keep track of new developments in your industry and stay on top of digital trends and news so you know when to adopt the right strategy for your company.
Each new venture comes with its own risk. The more you are prepared, the easier it will be to avoid failure.
