The process of starting and running a business can be riddled with challenges, with entrepreneurs facing a variety of obstacles on the road to success. It is important to be aware of the potential challenges and risks of running a business from the ground up so that you can feel prepared when you approach them.
Marino Sussich is a successful entrepreneur, business executive and business consultant that is all too familiar with the difficulties that may arise with each business venture. See the 7 main challenges and how to overcome them here.
1. Financial challenges
One of the biggest challenges faced by entrepreneurs is financial management. Especially at the outset, a business endeavour requires a large investment of time, money and resources without generating any profit for some time.
To overcome this challenge, it is important that you create a detailed financial plan that denotes realistic revenue or expense expectations. You may also consider sourcing alternative funding in the form of loans, grants or even investments from those you trust such as friends and family.
2. Finding and retaining talent
The foundation of any good business is a strong team that has the skills to create smooth business operations and drive success. A lot of the time, however, finding skillful team members or getting them to stay with the business can be difficult.
To attract and retain talented workers, it is important to offer competitive salaries and other benefits along with curating a supportive and enjoyable work environment to be a part of. Investing in their training and skill development will also help to ensure talent stays with you.
3. Managing growth
As a business grows, operations may also grow and change and it can be difficult to continue managing all areas well. By inputting scalable processes and systems from the beginning that are able to adapt to increasing demand, you will be able to remain prepared for growth.
4. Dealing with competition
There will always be competing businesses or products. The best way to stand out from the crowd of competitors and pull the attention of the market is to make sure your product is different and more valuable to the consumer. Marketing such a product will also be much easier as it speaks for itself.
It is also important to constantly continue assessing the market and adapting your product to the changing trends and needs of the consumer.
5. Remaining motivated
The running of a business can span over many years, and it can be difficult to maintain motivation over the entire course of long-term ownership and management. Staying driven and excited about your work is important to ensure success.
A good way to remain motivated is to have a clear vision for where you want the business to go and what you want it to achieve, and break this vision down into small, manageable steps along the way. It’s also important to celebrate all the smaller successes, and lean on your loved ones for support.
6. Managing risk
Running a business always involves an element of risk. You should be willing to take calculated risks to achieve success, but it’s important to think critically about risky decisions and manage any risk effectively in order to minimise loss.
7. Work-life balance
One of the most difficult elements of running a business is its all-consuming nature. It can be very easy to begin neglecting other areas of your personal life, but it is important to have healthy boundaries in place to ensure you have time for family, friends, self-care or hobbies. Remember that you will not be able to be your best as a business owner if you are not caring for yourself as well.
Business success with Marino Sussich
If you are struggling with entrepreneurial challenges and having difficulty overcoming them, consultant Marino Sussich can assist in guiding you to business success.