Starting A Business

Building the next “big thing”. Being your own boss. Getting the full rewards for your work. There are a lot of reasons to start a business, but taking the plunge is a step entrepreneurs have to face if they plan on striking out on their own.

Why Do People Start Their Own Business?

Every business starts with someone who wanted to do something and then took the steps to make it happen. People usually start a business for one of the following reasons.

  1. Be your own boss. If you start your own business, you get to make all the decisions – What will your work environment include? How many hours a day do you have to work?  Will you work on holidays?  What product changes do you want to make?  Do you need to hire employees?  Being your own boss is a huge motivation for some people to succeed.
  2. Getting the full reward for your work. When you own your own business, you get to keep all the profits. Entrepreneurs often see that the number of hours they work is closely tied to the success of the business.  Many people with a strong work ethic are drawn to starting their own businesses.
  3. Exploiting a “hole in the market.” People who start their own businesses see something missing in their local economy – something of value that they believe they can provide and have others pay for.
startup meeting

There is no magic formula for helping a business become successful.  You may have a great product that fills a need in the market, but if you aren’t organized and have a poor work ethic, you might not be able to get the product out the door.  Conversely, you might be extremely organized and highly motivated, but if your product isn’t selling, your business could fail.  According to the Bureau of Labor Statistics, about 20% of small businesses fail in their first year, and about 50% fail in their fifth. Why?  Because business is uncertain and risky.  However, if you take the time to create a solid business plan, your chances of success increase.

Tips To Get Rich Slowly
If you start your own business, here are some skills to help you succeed: ambition, a willingness to learn, the ability to listen, creativity, confidence, courage, risk taking, and perseverance

Your Business Plan

You can read more about the wider-range impacts of starting a business in our economics article about entrepreneurship.

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