It seems that everyone wants to be a business owner these days. After all, the setup costs are low and the potential return on investment high. You don’t even need an office or a team of employees. Entrepreneurs, then, see it as a perfect opportunity to own a company and make it successful. The hard truth is that this only happens two out of ten times. Here are four more facts entrepreneurs should be aware of before they sign on the dotted line.
1. Success Isn’t Guaranteed
Yes, of course you know this because you aren’t an idiot! However, you are a human, and humans let their imagination get the better of them when they see an opportunity. Lots of businessmen and women have believed they can buck the trend only to end up as another statistic. Even people who opt for a franchise with a powerful brand name don’t always win. Indeed, there are plenty of reasons why selling your existing franchise might appeal. Whether you are aware of not, try and keep your feet on the ground.
2. The Audience Isn’t Everyone
To fill in the gaps, new business owners go overboard in an attempt to get off to a flying start. So, they create a plan which encompasses every area of the company. And, they try and circulate it to every single consumer in the local area. Finally, the firm works overtime in a bid to develop and raise awareness of the brand. Sadly, the effort is a waste as no matter how hard you try, it’s impossible to influence customers outside of the base. Instead, you should focus on the people who are the most likely to make a conversion for the best results.
3. Customers Aren’t Always Right
Some time way back when a “bright” man came up with this piece of profound logic. Businesses have used the motto for decades ever since in an attempt to appease the customer and sell more. However, it puts organisations in a sticky situation as everyone knows this to be the case. So, consumers use it to their advantage and businesses have to accept they were “wrong.” In fact, you don’t. The simple truth is that every complaint is unique. Sometimes, the person is right and deserves compensation. Other times, they are having a bad day and want to vent or just like to complain. It’s up to you to decide based on the context.
4. You Can’t Do Everything
It’s tempting to take complete control of the day to day processes, but it’s the wrong move. Firstly, there is too much responsibly for one person. Secondly, delegating power is an excellent way to build trust and keep employees happy. Thirdly, in-house processes are more expensive and aren’t up to the same standard. An agreement with a third party, or an outsourcer, is essential for the sake of the company. If there is one fact to keep in mind, it’s that outsourcing is a necessary part of running an enterprise.
So, are you ready to start a business? If you are, be sure to consider the above.