Starting an independent business comes with plenty of unexpected challenges and stresses, however, holds a huge number of benefits for those who embark and take this large leap of faith. For example, once your small business gets off the ground and the hard work has begun to pay off, the owner will see a steady stream of income, an expanding set of skills, alongside an extremely flexible work schedule.
Yet, as with anything, there are a number of challenges of starting a small business that can either push an entrepreneur to breaking point, or instead, motivate them towards success. Many startups fail to see that these challenges are only stumbling blocks, and view them as far bigger than they actually are.
If you are someone considering taking the large leap of faith and embarking on the exciting challenge of creating a small independent business, then continue reading to discover the 5 common challenges that you inevitably face. Along with helping you to progress further, by being prepared for these challenges, you can help stay motivated while working hard to develop your small business.
5 Common Challenges of Starting a Small Business:
Finding The Funding
Cash flow is an element of a business that is essential for its survival and finding out how to fund your new endeavour is one of the biggest challenges a new entrepreneur will face.
If you are planning to start up a small business, or perhaps a pop-up function, then it is unlikely you will need a large investment. That being said, a sizable amount needs to be raised to keep the company up and running for as long as possible.
The way in which this problem can be overcome is by seeking high-quality financial assistance. By obtaining cost control, funding in the form of a business loan or even a credit-based loan will allow the company to get up off of the ground and will allow revenue to be produced until the loan amount can begin to be paid back. This process helps a huge amount of small business owners turn their independent dreams into a reality at a far faster process than saving the money themselves would.
This, of course, is not just a small business issue. With companies all over the world facing the same worry of attracting and maintaining a reputable customer base. The problem with this is that many may expect that their business will turn into an overnight success, with people turning up asking for their services, when this is far from the case. Finding a large enough clientele base is extremely hard, especially for those who are not a household name and will have to work even harder to get out there.
The only way to change this issue would be to take an intense route into the marketing world. Using free tools such as social media can be a very successful way to produce leads and get people seeing the business, what it is about and the services that are offered. Social media should not be your only form of marketing. Using posters, leaflets and business cards are also sure ways to create a name for the business, as well as an optimised website to drive organic traffic and boost customers for the benefit of the business.
Having high-quality, time management skills are an essential skill set for a new business owner. This is something that can prove to be extremely difficult for someone who is running their own schedule. When having an independent business, the owner may find themselves working from the early hours of the morning to the late hours of the night. This is an issue many face, as they struggle to create a healthy work and life balance.
A common challenge when starting a small business, running your own business is not a reason to neglect other aspects of your life, as these can quickly become issues, taking their toll on your overall health. To avoid this issue, it is important to prepare and enforce a routine to follow from the moment you wake up. This way, like the everyday office job, the owner too will have a start and end time.
Sustaining a routine will allow the owner to have time to themselves, just like anyone else would in which they are able to complete personal tasks, while not neglecting the fact they are allowed a social life. Similarly, they will not burn themselves out from overworking, where they can ultimately get very ill, which could lead to further health issues in the future. https://www.pexels.com/photo/clear-glass-with-red-sand-grainer-39396/
The process of hiring a talented set of employees is one of the most time-consuming tasks a new business owner will have to face. From reviewing resumes to organising and sitting through interviews, it can be a hard job trying to find the best team possible for your new business. Being the owner, it is vital to ensure that your company looks appealing enough to attract candidates, while a set of exciting benefits can excite people to want to join a small startup.
To overcome this issue, it would be recommended to hire ‘exclusively’. This is a process in somewhat only targeting a set of people that already own the full amount of skills, live locally and can provide a quality service, as the business will quickly be up and running with everyone knowing exactly what to do from the get-go.
Not to mention, in doing this, it will eradicate the need to waste valuable time training and mentoring someone new to the business sector completely. This idea can wait until the business is afloat and the company sees a steady flow of income.
In the beginning of being an entrepreneur, the challenges facing a startup business can be extremely discouraging, in turn draining your confidence. When the excitement and buzz of starting your own business, fizzes and dies, it can become rapidly clear that doing this challenge will take a long time and a lot of hard work. Along with the high levels of dedication required, customers and clientele will need to be inspired and motivated, in turn leading to self-doubt when things begin to take a different direction to the one that was envisioned.
Having the power to overcome any feelings of self-doubt or worry is a very important skill to have when being a new business owner. A close net support system of both family, friends and loved ones is one of the best ways to continually be reassured, while being advised on goals and being helped throughout for the growth of the business.
Entrepreneurs face a number of challenges when starting a small business, and while these are only a few, these challenges are often faced and experienced at the beginning of your entrepreneurial journey. It is imperative to remember that there are many people who have been through this same problem before yourself, and some have gone on to become very successful.
Sure, there will be far more challenges faced then these given, maybe a problem with a customer one day, and an employee quitting the next. A key point to remember, is that none of these issues change the prospect and morals a company has and does not define it.
Every entrepreneur will know the immense amount of confidence it takes to delve into creating an independent business, and it is just the choice of whether or not you have the ability, but also the confidence to take this large leap.
Author bio: Sydney Tierney; just recently finished her studies; is working her way into the world of content writing as a digital marketing assistant. She writes for clients that specialise in workstations, energy procurement and seo specialists.