Risk to accept when starting a business
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Of us, everyone wants to be a successful businessman, become a successful person, right? But some of us and almost no one has difficulty in starting a business.
For most people, the feeling of self-control and self-determination of one's destiny deserves that risk. However, if you want to become a successful entrepreneur, you need to prepare for any possible risks.
Here are 7 types of risks that every entrepreneur must accept, from the stage of conceptual development to business development:
1. No fixed salary
Before you start a risky game in the business world, you will have to say goodbye to your current job, and in some cases your growing career. Some individuals may have a backup plan - return to their employment in the event of a failed business.
However, for starters, this choice always has high risks. Because when you start your business, nothing can guarantee your personal income, especially in the first few months or even the first few years of establishing your company, and will be stable and stable. In the meantime, you will also have a lot of work to deal with so you don't have time to do another job.
2. Sacrificing personal financial fund
Before calling for financial support from venture capital funds, government concessional loans or community fundraising campaigns, most entrepreneurs at the start of their businesses must use their own money. mine.
And the risk you have to accept is to lose all that accumulated money.
3. Loss of cash flow control
In the first year, even if you have stable financial resources, controlling cash flow is very difficult and stressful.
In addition to finance for business, you still have to pay for daily needs. The amount spent will be more than the money collected. Therefore, you need to be very strict in controlling weekly spending.
4. Enlightenment needs market
No matter how much research and testing you do, you cannot accurately estimate the market's demand for the product/service you offer. Market demand is constantly changing, so there is always a risk bubble in your business plan.
Non-experienced startups often overestimate the level of market interest in products / services they offer. Therefore, you need to be very careful and alert, otherwise the whole business plan will fail badly.
5. Depends on partners
When you first start your business, you don't have a perfect staff to support your business. Instead, you will have a small group, tied together in an effort to work tirelessly to bring the business up.
This situation forces you to put your trust in the capabilities of your partners. Risks will come when these individuals give up or work on time.
6. Pressure of time
Investors are always eager to know the process of product development. Therefore, most young entrepreneurs focus their efforts on work with the desire to achieve multiple goals at the same time.
Time pressure will weigh on your shoulders. This makes it easier for you to make decisions in a stressful, exhausting state.
7. There is no time for individuals
When starting a business, you will spend almost all of your time working. The rest of your free time, you continue to worry about what has not been done, about to do or did not do well. You will lose sleep, cut down on the time of your own pleasures.
The work experience will now be more stressful than usual.
Business achievement is certainly worthy of these risks. However, you need to be mentally prepared to adjust your lifestyle in a completely different way.
These risks are listed not to threaten you to give up business. Once you start your business, you must accept risk. However, if you know in advance, you will be better prepared to respond.
Source: (Clbdayconlamgiau)
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