7 Obstacles That Prevent People From Starting Businesses (And How To Overcome Them)

Millions of people dream of becoming entrepreneurs, but they never take that all-important first step. Too many things get in the way of their pursuit of business ownership, or they keep convincing themselves that their dream isn’t realistic. 

If you ever want to move past this phase and found your own business, you need to acknowledge the specific obstacles that are holding you back and work to resolve them. Here are seven of the most common challenges that may be standing between you and your entrepreneurial dreams—and ways you can kick them to the curb. 

1. Financial limitations

Launching a business takes money, and most people don’t have ample cash to throw at a startup. There are several options here. First off, you could begin saving now for the funds to establish your business. If you shop for a better mortgage and reduce your house payments by refinancing, you can sock the savings away in your startup fund. You can trim costs in other areas to put away a few hundred dollars each month or save even more by picking up a side gig.

Barring that, you can secure funding in a variety of ways, such as borrowing from friends and family, crowdfunding, seeking loans and grants or even working with angel investors and venture capitalists. There’s always a way forward. 

2. Inexperience

Becoming a successful entrepreneur typically demands experience; you need to understand your industry and business management in general if you want to earn a living from your venture. When you have limited experience, you may be reluctant to move forward, and understandably so.

You can make up for this, however, by actively seeking the experience you lack. Take an online course to gain a grasp of business management basics. Strive for a leadership position with your current employer so you’ll acquire strategic planning and people management skills. Work with a mentor or shadow an entrepreneur you admire. 

3. No standout idea

You can’t build a business if you don’t have a promising idea for a product or service you can sell. Without a solid business plan, you won’t be able to convince investors or partners to join you—and you won’t even know where to begin. Unfortunately, this is one of the least “fudgeable” obstacles on this list. Without a good idea, you can’t start a business, period.

Luckily, there are ways to stimulate better idea generation, such as talking to a broad range of people, reading entrepreneurial content and taking a more robust approach to brainstorming. Techniques like mind mapping and word banking can get your creative juices flowing. 

4. Current responsibilities

Some people avoid starting a business because of existing responsibilities or constraints on their time. Their current full-time job, their status as a parent or other personal responsibilities hold them back from their entrepreneurial ambitions.

Here the best approach is to determine how much of an impact these responsibilities have and consider ways to delegate or remove them. Could you realistically quit your day job, for example, or hire someone to help with household duties or childcare?  

5. Fear of failure

Lack of confidence is an entrepreneurship killer. It’s true that the failure rate for new businesses is relatively high, with half of new companies failing within five years. To buck those odds, you’ll need a healthy dose of confidence in yourself and your idea. 

The only solution to a fear of failure is to change your mindset. You have to see failure as an opportunity for learning and growth and stop seeing it as the end of the road, an indictment of your abilities or a stain on your character. Reading accounts by successful entrepreneurs will inspire you to see the possibilities rather than focusing only on the risks.  

6. Aversion to stress or hard work

Starting and running a business demands a lot of effort. You’ll likely be putting in long hours and dealing with stressful issues. On top of that, your first few years are apt to be highly inconsistent, with your business only making a profit some of the time. This can wreak havoc on your finances and peace of mind. If you’re not feeling up to this kind of pressure, or if you’re loath to work more than 40 hours a week, entrepreneurship may not be for you.

Again, the only way around this obstacle is to change your attitude. Remember that all this hard work will be in service to yourself, not an employer. While the risks are on you, so are the rewards.

7. Poor timing

One of the most common excuses you’ll hear (or hear yourself saying) is that it’s “just not the right time” to start a business. The truth is, there’s never a truly “right” time—you can always find some reason that today, or this month or this year isn’t ideal for launching your venture. 

But like beginning a diet on a Wednesday or joining a gym in February, the trick is to make your own right time. Microsoft was born during the oil crisis of the 1970s, while Airbnb and Uber were founded in the depths of the Great Recession. Remind yourself that the success of your business will depend not on “the times” but on you.

The Realities of Entrepreneurship

It’s true that anyone can become an entrepreneur with enough grit and persistence. Most entrepreneurs with solid ideas have a good chance of becoming successful if they remain adaptable. But it’s also important to realize that not everyone is cut out for entrepreneurship

If you’re intimidated by the stress, inconsistency and long hours associated with startup life, or if you truly love your day job and you’re afraid to leave, maybe business ownership isn’t right for you. That said, if you feel the pull of entrepreneurship but keep making excuses to avoid getting started, you owe it to yourself to challenge those excuses and try to move past them.

This article was written by Serenity Gibbons and published on Forbes.com.

Start Your Retirement Business Now

What do Netflix, GE, Trader Joe’s, Microsoft, Disney, and FedEx have in common?

They all started during economic downturns.

Your vision for your own retirement business might not be on the same scale as those giants. But history shows that it’s not only possible to start a great new company during retirement, it might be ideal. That’s especially true if you have an idea and some capital that you’ve earmarked for starting a new company once you’ve retired.

So why wait? Here are 4 reasons why you should consider starting your retirement business now, even if you’re not ready to retire.

  1. Stay busy.

No matter what stage of your life and career you’re at, it’s likely that Covid-19 and quarantining have given you a little extra time at home. If you’re struggling to fill those hours, ask yourself, “What am I going to do when I’m retired, and I have EIGHT extra hours to fill every day?”

One reason that many seniors put off retirement is that working gives them something to do and a sense of purpose. When retirement rolls around, many of them struggle to create a new schedule that provides that same sense of structure. The foundation you lay today for your new business while killing time in quarantine could grow into a structure that will make your retirement more fulfilling.

  1. Put your experience to use.

Many retirees look back on their careers and think, “If only I knew then what I know now, I would have …”

What?

What would you do differently? What pitfalls would you avoid? What risks would you take? Which ideas would you chase, and which would you leave by the wayside? What strengths would you focus on? What weaknesses would you improve, or offset by creating a key partnership?

There’s so much more to your career than the skillset you’ve developed. You also have the benefit of all your experiences, the good and the bad. Use that lifetime of learning to build a better business.

  1. New realities and new opportunities.

It’s very likely that the home office will soon just be “the office” for many people. That’s one example of how Covid-19 has changed how, where, when, and why we work.

But the best entrepreneurs find opportunity in disruption. Your new retirement company might not be a brick-and-mortar operation. Instead, you might be able to invest the money you’ll save on things like rent and utilities by upgrading your technology infrastructure or building a remote support team.

Of course, the global marketplace has been disrupted too. But many professional services can survive or even thrive during disruption. Accounting, virtual administration, and expert consulting are always in demand. Other services, such as home or auto repair, landscaping, or graphic design can be provided without breaching social distancing recommendations. Your dream restaurant concept could be adapted into a cost-efficient food truck. Children who are struggling with learning at home could benefit from virtual tutoring.

Somewhere there’s a new niche that you are uniquely qualified to fill. Find it and be the first to set up shop.

  1. It’s not work if you love doing it.

Retirement is when many people finally focus on the passions and interests they didn’t have time to pursue when they were working full time. Aspiring entrepreneurs have that same opportunity. Hiring yourself as CEO of your new company will allow you to focus on the parts of your work that truly inspire you.

You could also develop your talents and hobbies into an entirely different career. Open an online store and start selling the pies your friends and family go wild over. Post pictures of your latest woodworking project and see if there’s a potential customer base.

The Covid-19 pandemic has made each of us reflect on what our lives were like before and what we want them to be like going forward. If you think that dedicating some of your time and financial resources to starting your own retirement business could improve your Return on Life, schedule a meeting or virtual call with us.

7 Simple Tips to Fight The Urge to Splurge

broken piggy bank being held together by a bandaid

7 Simple Tips to Curb Your Spending

 By Mike Desepoli, Heritage

 

Create a 30-day list

Make a new rule: you can’t buy anything (except necessities) until a 30-day waiting period has passed. Put a 30-day list on your refrigerator, and when you have the urge to buy something, put it on the list with today’s date. After a month has passed, you can buy the item. Many times the urge will have passed and you can just cross the item off the list. This works if you stick to your rule. The only exceptions would be groceries and other similar necessities.

Don’t go to the mall

You only get the urge to buy on impulse if you’re in a shopping area (or if you’re watching TV). So, prevent the urge from happening in the first place by not going shopping. Don’t go to the mall or Walmart or other shopping areas. Only go to a store if you have a specific necessity to purchase, and go with a list. Don’t buy anything not on that list. Now get out as soon as possible. Don’t just walk around window shopping for entertainment, or you will be sorely tempted. Find other ways to have fun.

Don’t go to online retail sites

Just as the mall will create the urge to buy, so will online sites such as Amazon. They make it too easy to buy something. Instead, stay away from these sites.

Monitor your urges

Make it a point to monitor your urges, if it’s a big problem. Keep a little piece of paper, and put a tally mark on it every time you get the urge. This helps you to become more conscious of the urge, which is usually something we don’t even notice. Different symptoms can appear, such as faster breathing or a faster heart rate, when we have the urge. By becoming more aware of the changes in our body, we can begin to get the urges under control

Plan your purchases

Making a list before you go shopping is important. If you can make it a habit to stick to that list, you’ll eliminate a lot of little impulse buys. For other purchases, make it a habit to plan them, save for them, shop around, and even see if you can get it for free. Going through this process ensures that your purchases are more deliberate, and less on impulse. Plan ahead for birthday and Christmas gifts, and other large purchases that you know are coming up in the month ahead.

Ask questions

Before you buy anything, ask yourself a series of questions. Is the purchase going to improve your life in some important way? Is the purchase supposed to make you feel better? Does it help you meet one of your life goals? Will it simplify your life? These are useful questions to help you evaluate the value of a purchase, and why you’re making it. Be honest with yourself — don’t try to sell yourself!

Keep the end in mind

It’s useful to have clear goals in mind at all times. What do you want to do with your life? Do you have financial goals that you’re trying to accomplish, in the long-term and medium-term? Keep your savings goals in mind, and know when you’re about to make a purchase how the purchase will affect your goals.

Fore more information on this topic, check out our weekly Video Show by visiting the link below:

#AskTheAdvisor 59: 1 Simple Tip to Curb Your Spending Habits