According to Forbes, 90% of all startups fail. The dramatic statistics scares off many potential entrepreneurs. Even if you make mistakes, there is still a chance to survive. At least, 10% of entrepreneurs who start their business know how to overcome their fears.
Below, you will find five most common challenges every young entrepreneur can face, and some suggestions that will help to make it through.
Most people prefer living their routine lives in one place, doing the same things every day, meeting the same people, and so on. However, if you wish to do business, you must be ready for changes.
The change is what is going to hang out with each entrepreneur long before he or she goes all in the new venture. It is often difficult to evaluate how green the grass is on the other side. While one person feels fine making $50,000 per month, another business guru would prefer finding new ways to expand. It is hard to predict whether it would be safer to stay in your own shoes or discover another goldmine through taking risks.
The changes are mostly associated with penetrating new markets and starting another product or service. From one side, they have a high-quality product beloved by the population. On the other side, it’s our nature to think that no matter how good the current situation is, it still could be better.
In many cases, the entrepreneur can leave the existing business and try a new one thanks to the revenues he has already earned. However, a new business may require all attention and efforts, so people often sell their current businesses to try something new. That is when they face the fear of change.
Until you take the leap and try to adapt, you will be worrying every second. You can A/B test a new product or service, but you cannot do the same with your life. Thus, just give it a try!
Spending money is a reasonable fear, but sometimes it turns into a phobia. Okay, the person has been saving money for ages to launch the business of his dream. How come he should risk losing the game now? In case the person borrows large amounts of cash to launch the startup, it gets even worse.
Staff, office space, advertising… Those are things you cannot realize without investing into them. Often, entrepreneurs act as the tightwads when solving the problem with personnel. They would rather do several tasks at a time than hire as many people as required. Such enthusiasts often end up living in a hedgerow. No person is equally good in marketing, SEO, SMM, and development, for instance.
Some people decide to launch coaching services, but such type of activity requires buying a certificate. They usually cost $5,000 or more. The entrepreneur may ignore this claim. Later on, the fine he will have to pay may result in much more than $5,000! I am not calling to waste your money – instead, I urge you to plan your budget wisely!
Okay, you might say that every person fears being criticized, and that is so true! The young entrepreneurs all make one common mistake: they think about what others will say about their first steps to success instead of focusing on implementing their ideas. When the person loses their confidence, he becomes annoyed and bewildered. You don’t want these two moods following your business.
Do not take the words or even critical reviews to heart. Remember that most of your haters are either your rivals (and it does not mean you cannot beat them in a fair game) or people living next door who do not have enough will and bravery to open their business. Such people may only criticize. On the other hand, if you receive an objective feedback from experts, you should not ignore it! Just fix something about your business.
While you might be an expert in one field (e.g., computer software & web development), you may have no idea how to promote the product using effective marketing channels. Experience is something you can always gain. Unless you want to hire many different specialists and divide the assignments equally among them, you should attend professional courses and gain a minimal knowledge of every field.
It is important to know at least the basics of other fields like SEO, Content, Customer Support, HR, and Marketing if you plan to launch a web development company.
The best way to overcome the fear of lack of experience is to outsource your services.
Ukraine is hard to ignore when it comes to outsourcing. Seven years ago, it crowded the top of the list of the best outsourcing countries for software development.
In fact, the fast growth of this industry is one of the major achievements of the country for the past few years. In spite of economic difficulties, the rapidly-growing outsourcing market keeps looking for the new ways of international cooperation. Currently, Ukraine has established the position of the most popular outsourcing country for American and European businesses. And it looks like this segment is going to increase a potential for development in the years to come.
According to DOU, one of the most popular online tech journals in Ukraine, the biggest IT companies in the country specialize in outsourcing. There are the companies like Luxoft, Ciklum, GlobalLogic, SoftServe, and EPAM.
Statistics prepared by Ukranian Digital News shows that the leading importer of IT services produced in Ukraine is the US. They are buying more than 80% of Ukrainian tech exports. What is more, Ukraine has the largest IT labor supply in Europe. Let’s see why cooperation with Ukrainian specialist is a wise decision.
Read more about outsourcing in Ukraine on our blog.
All entrepreneurs fear to fail. There are many reasons, and each of them is listed above except for one. In addition to the risks associated with obtaining no return on investment, losing all savings, being criticized/laughed, and promoting useless product/service, the person who decides to open a business also fears to lose the respect of family members, friends, and other beloved people.
It makes sense that people who put everything at stake worry about failing their mission and making their families disappointed. However, if the person really loves you, he or she will support you no matter which obstacles appear on your way!
These are five words every young entrepreneur fears. Only by resisting your phobias, you will achieve success. No one is able to forecast a long-term market behavior. Thus, if you are sure about the high demand for your product or service today, it is important to take the bull by the horns ASAP!
If you still have questions concerning the overcoming of entrepreneur fears, just contact us.