While the idea of owning a business is a dream for many people, there are times when entrepreneurs fail to think things through. Funding the business, having an in-demand product or service to sell, and hiring employees are some of the common challenges that entrepreneurs face:
- Hiring employees too quickly can financially drain your business. If you pay people to do nothing, and no sales are generated from their work, then employing a staff is a financial loss.
- Borrowing money from lenders can be of great service to you, but don’t make the mistake of borrowing more than you really need. You will likely spend that money and have to pay interest back on money you didn’t really need to borrow.
- Assuming your business will make money in the early years is one of the most common mistakes entrepreneurs make. If your business shows a profit early on, that’s great — but don’t assume it will, and be prepared for all of the expenses.
- Marketing your business is necessary and takes time. You must market to both win and retain customers who may not know anything about you or your business.
- Leasing Space You Don’t Need. If you don’t really need a retail or office space, then don’t rent it. You can save money working from home — and receive a few tax incentives for doing so.
Many successful entrepreneurs did not succeed at first and experienced their fair share of trial and error to find out what works for them. Check out these business leaders who failed before they succeeded:
- Akio Morita is the founder of Sony products. The first product was a rice burner that burned the rice. But Morita kept pushing forward with new ideas.
- Bill Gates started a company called Traf-O-Data that failed, and he dropped out of Harvard. Gates didn’t give up, though, as he is the billionaire behind Microsoft.
- Colonel Sanders was 65 years old when he founded Kentucky Fried Chicken. Did you know his famous secret recipe was rejected more than 1,000 times before a restaurant agreed to use it?
- Henry Ford’s first two automobile companies failed and left him broke. He refused to give up, though, and founded Ford Motor Company with assembly line production. The result: He was once known as one of the three richest men in the world.
- Walt Disney was fired by an editor for lack of imagination and having no original ideas. His first animation company went bankrupt, and he was turned down hundreds of times for loans to build Disney World. Today, the Disney Company averages $30 billion in revenue annually.
Many people have failed at first only to ultimately succeed. Learn from them and gain inspiration from them on your journey as an entrepreneur.
If you are ready to make your dream of owning a business come true, National Property Inspections in the United States and Global Property Inspections in Canada have franchise opportunities available in your area. Contact Julie Erickson at 1.800.333.9807, Ext. 24, for information about our property inspection franchise opportunities.