When venturing into a new business, there is much to be considered. Below are a few key topics to explore prior to committing your time and/or financial resources.
1. Why do you want to work for yourself? If your desire to start a new business comes from how much you dislike your current job, you may want to reconsider a decision to become an entrepreneur. To be successful, you should be pursuing a new venture because you have a passion for it, not because you are running away from something else.
2. Are you self-motivated? When you are just beginning, one of the most important traits that will get you through the first year is self-motivation. You need to be motivated to put in the long hours and hard work before there is any payout.
3. Can you multitask? A solo entrepreneur is just another way of saying “wearer of all hats”, so if you don’t welcome variety in your work life, then entrepreneurship is not right for you.
4. Can you sell yourself? Successful entrepreneurs succeed first at selling themselves – to investors, employees and customers. If you’re not comfortable doing this, you’ll have to find a way to get comfortable quickly.
5. Can you support yourself during the ramp-up phase? You need to be realistic about your financing and have the ability to support yourself for the first six months to a year that your new business is in operation…sometimes even more.
6. Can you handle uncertainty? If you are uncomfortable foregoing a steady paycheck, your annual 3 weeks of vacation and the other perks of working for someone else, then starting a new business is probably not a good plan for you. Successful entrepreneurs learn to embrace uncertainty for bigger rewards down the line.
7. Do you have a passion for what you do? A real passion for your new business will carry you through a lot of tough times, but you need to also remember that the people who buy your products or services don’t really care if you are finally fulfilling your dream. So your passion needs to be partnered with choosing a business that fills a need or desire.
Entrepreneurship is not for everyone, especially those with no stomach for risk. Of course, to mitigate these risks, it is imperative to have the advice and guidance of a qualified business attorney who can help you avoid unnecessary risk that can plague many small businesses.
If you are interested in learning more about legal protection strategies for your business and how we work with you as a partner in protecting your company, call us today to schedule your comprehensive LIFT™ (legal, insurance, financial and tax) Foundation Audit.