Decisions: Risks & Rewards (Part 2 of 2) [Issue IV]

“Thousands succeeded, but millions failed!” More often than not, people simply get an idea, think they will be great, and learn later that it was not right for them nor did they have realistic expectations about all that was involved. This is the reason why so many businesses have failed year in and year out. Don’t be high on motivation but low on knowledge and skill, thinking big is no substitution for the work involved. Starting and running a business IS hard work and nothing is going to change that.

Don’t go to work yelling, “I Quit!” This decision is often irrational. I recommend a book entitled, “Rich Dad’s Before You Quit Your Job” by Robert Kiyosaki before you make that leap of faith. Every successful entrepreneur knows that starting a new business means taking risks – financial, personal and professional. Remember, you don’t have the gift that Nicholas Cage’s character had in the 2007 release of the movie, “Next.” Therefore, you must ask yourself if you and your family can withstand the risks of entrepreneurship. Ask question like:

· Can I live with an unstable income for the first year, two, or more of my business?

· Do I have enough money saved to sustain my personal like and my family while my business becomes established and starts to generate profits?

· Can I manage the stress and volatility associated with entre-preneurship?

· Will my family be supportive, even if things are difficult financially?

· Will my family understand that I will have very long workdays and an erratic work schedule?

· Am I willing to stake my professional reputation and career on my new venture?

If you can comfortably answer yes to these questions then you are ready to embark upon entrepreneurship. If not, you may want to reconsider timing, structure and sensibility of taking on entrepreneurship. It is evident that risks exist, if not prepared for them they can take a toll on the emotions, personal life, professional life, even actual livelihood of you and your loved ones.

Let’s take a look at the national statistics:

· There are over 20 million small businesses in the U.S.

· Small business owners disproportionately earn more than $100,000 a year.

· Approximately one in 14 workers attempt to start a business each year.

· Nearly 700,000 businesses are started each year.

There is also a downside to those “growth” numbers:

· 540,000 businesses close each year.

· 50% of new businesses fail within the first three years.

Now the ball is in your court. You have a decision to make, just realize that you don’t have the “gift” to look in the future. Keep in mind both the Risks & Rewards of entrepreneurship before taking the leap. Now, don’t be discouraged by the statistics when it comes to starting a business. Researching these same statistics prove that the numbers are not accurate; we have customers that incorporate their businesses and never do anything with them. Those are taken into accountability as “failed” business.

The point I am trying to make is obvious. Learn from others mistakes! What’s most important are your attitudes, motivators, and skills for entrepreneurial success. You’re your decision to pursue entrepreneurship should be based on YOU! Be honest with yourself, know your limitations as well as your capabilities.