Is entrepreneurship right for you: 5 things to consider before starting your own business

  • by

Starting your own business has a lot of advantages associated with it – but it is not for everyone. This article explores some important considerations before you launch your own business. 

Consideration 1: Passion for your firm

Being passionate about what you are working on can also have some material impact on the success of your business. Truly believing in your idea and being excited about pursuing it can help drive its success. Some of the ways in which passion may increase your likelihood of success include:

  • Your passion may help identify new opportunities: If you are constantly thinking about the opportunity, living and breathing your idea, you may be able to spot opportunities that others have missed. 
  • You will likely put in additional effort: Your passion will drive you to get up and work on your business. You may put in extra effort than you otherwise would about an area that you don’t so directly care about. 
  • Your passion will help gain the support of others: Passion can be contagious, helping gain the interest of customers, employees, and even potential investors. Your enthusiasm can be a key component of getting others to share your vision. 
  • Helps get you through difficult times: There are a lot of challenges involved in starting a business. Being passionate about the area that you are working on can help you get through the challenges – helping you remain committed despite the inevitable setbacks. 

Consideration 2: Your tolerance for risk and uncertainty

Another factor to be aware of is your personal tolerance of risk and uncertainty. Although there are no certainties with a traditional job, you may for example face unemployment, by starting on a business you take on a different set of issues. You need to be comfortable with the possibility of failurenot all startups are successful, and it is important to have an awareness from the outset of the possibility that you won’t be able to succeed.

Consideration 3: Desire to learn new skills

It is also important when starting a business (particularly if you are starting a business alone), that you are willing to upskill yourself in areas that you don’t have experience. Some of the reasons why you may need to upskill yourself include:

  • It may be critically important for your business
  • Hiring outside talent is costly and time-consuming
  • Once you have a foundation you can grow on the job

Consideration 4: A willingness to make decisions

It is also critically important that you have a willingness to make decisions. Being your own boss means that ultimately all decisions fall to you. While you don’t necessarily want to rush decision-making, if you perpetually put off large actions, then nothing will get done. The non-decision of perpetually waiting is rarely a good approach and may mean you get left behind by companies that are able to act on opportunities (or neutralize threats) quicker than you are able to. 

Consideration 5: Determination to succeed

A final important consideration is your determination to succeed. It is inevitable that some things will not go as expected. There will be difficult periods. There will be times where you wish you had made a different decision. Success requires you to push through these moments.