Business Dream or Nightmare?......... #102

Business doesn't have to be a nightmare

Starting a business is a dream for many. The reality is that within the first year, 40% of businesses fail, and within five years, that number is 80%.

What's the reason behind these failures? There are many. False narratives are a huge reasons why small business owners go down the wrong paths.

The Biggest Myth

Small businesses are not only started by risk-taking entrepreneurs aiming to turn a profit. This myth leads many individuals to experience what's termed as an "entrepreneurial seizure" – the sudden belief that they can quit their day job, become their own boss, and run a successful business.

However, this leap is often founded on a fatal assumption: the belief that expertise in a certain field automatically translates into a profitable business. Do you really understand how to run a business effectively?

Solution

Business owners must recognise the distinction between the technical work of a business and the business itself. While technical expertise is valuable, it's only one piece of the puzzle. Knowing how to set up and run an efficient and effective business involves learning a whole new skill set.

Take Deborah, a skilled graphic designer who decides to start her own design agency. Despite her proficiency in design, she struggles to manage the strategic aspects of running a business.

By acknowledging her weaknesses and seeking guidance, Sarah transforms her approach, leading to sustainable growth and success for her agency.

Wearing multiple hats

As an entrepreneur you have to balance many different roles. Especially in the early days when you have to keep costs low because of limited sales.

Successful business ownership hinges on embodying three distinct personas:

The Innovator

The Organiser

The Specialist

Each roles in vital in steering the business towards success. However, many small business owners find themselves only wanting to and fulfilling the role of the Specialist. Fair play. We have dedicated a huge part of our life to gain mastery in our field. We want to apply it each and every day

BUT, neglecting the other roles will hinder ability to innovate and strategize effectively. This will have very bad effect on your business.

Solution: 

Striving for balance among these 3 roles is crucial. By nurturing the visionary aspect of entrepreneurship, alongside effective managerial and technical skills, business owners can foster sustainable growth and resilience.

In the beginning

In the early days of a business, owners often find themselves immersed in day-to-day operations. It's important to have a strategy in place when starting out (read more here).While this hands-on approach is necessary in the early stages, it can quickly become unsustainable as the business expands.

Recognising the need to transition and prioritise strategic delegation and growth is essential. Seeking mentorship or investing in business coaching can provide invaluable guidance during this pivotal phase (read more).

As you Grow

As businesses mature beyond infancy, owners must embrace the idea of seeking external assistance to fuel growth. This often involves outsourcing or hiring employees to alleviate the burden of day-to-day tasks.

Effective selection and delegation is so important. Accountability is crucial during this stage of business growth. Business owners must resist the temptation to micromanage and instead focus on doing what they do best and empowering others to do the rest.

Smashing out of the comfort zone

Initial growth brings with it challenges that push business owners beyond their comfort zones. Whether it's relinquishing control or facing the uncertainties of rapid growth, navigating these obstacles requires resilience and adaptability.

Embracing discomfort and seeking opportunities for personal and professional growth are essential for overcoming all the inevitable hurdles. Business owners must be willing to evolve alongside their businesses, continuously challenging themselves to innovate and improve.

Ready for a new vision

The pinnacle of business growth lies in attaining maturity, where the business transcends its initial challenges and embraces a clear vision for the future.

Cultivating an entrepreneurial perspective involves envisioning the business as a dynamic entity capable of adaptation and innovation. By aligning with a clearly defined vision and strategic objectives, business owners can steer their ventures towards long-term success.

Conclusion:

Navigating the entrepreneurial journey is not easy. It requires more than just expertise in your chosen field. You need understanding of business dynamics and a willingness to embrace change. Ignore all the false rhetoric being pumped at you.

Take a strategic approach to business ownership. Choose sustainable growth and prosperity. Ready for take off?

Let Business 737 be your guide with invaluable insights and support to help you navigate the challenges of small business ownership. Contact us today to unlock your business's full potential and soar to new heights of success.