Business lessons to become a successful entrepreneur

‘Tough times never last, but tough people do’ so goes an old age saying and has strong relevance in today’s entrepreneurial setup. Entrepreneurship has its own set of responsibilities and challenges to deal with. That is, from turning dreams into reality to forming a capable team to arranging finances. An entrepreneur often feels that road leading to success is never-ending and is full of bumpy rides. Depending upon sector or industry sometimes it may take years to make profit which tests entrepreneur’s resilience and persistence. Though everyone cannot become a successful entrepreneur or maybe he/she is not cut to become one.

Business lessonsLet us look at the lessons every entrepreneur should learn along the way towards success.

Search financial opportunities

One of the important steps towards building any business is to have finance in place. With passion alone your company cannot take off, you will require starting capital. It is also important to understand the operational and maintenance cost your enterprise will need.  Before you plan to start your venture you will have to calculate the total required costs that you will incur and you have to manage how to get those funds. You will have look beyond the traditional approach by surrounding yourself with industry insiders who can also invest in your business. Another method is to crowdfund your business. In simple words, you should not leave any stone unturned to see that your finance is in place perfectly.

Aim for the bigger picture

If a business survives for three years consecutively then it has better chances of success. One can see many startups die prematurely due to lack of a visionary leader. One should focus more on long-term goals instead of short-term ones for running the enterprises successfully. There can be few hiccups on the way which the entrepreneur has to overcome. One should understand the fact that success cannot be achieved immediately. You have to make a few years planning to register growth and profit from it. You may not get the expected results right in the first year but it is better to stick to your plan and stay committed to your long-term goal plans.

Learning from mistakes

‘Failures are the pillar to successes’ goes the old age proverb which is true even in this current scenario for the entrepreneur. Every business has few shortcomings along its way. One should have the ability to learn from mistakes that were committed in the past and negative feedback received from the customers and co-workers. One should access the past performance on regular basis to know which thing worked for you and which did not. Entrepreneurship is not about committing mistakes but using them to your advantage for the future.

Hire capable and talented employees

Human capital is one of the most valuable assets of any enterprise.  They function as an intangible source of profit. It is important to hire skilled, hardworking, and efficient employees who give their 100 percent to the enterprise. They may be needed to acquire job-related skills; they should be self-motivated and action-oriented.  Before taking final decision to hire an employee, try to spend some time with him/her. You will understand their thoughts, know their nature, and know their personality. To hire any employee do not base your decision only on academic qualification or an impressive biodata.

Entrepreneur’s job is not an easy one and you need to have a certain amount of commitment before you become a successful one.

How to convert your fabulous new business idea into practice?

There are many youngsters who have great business ideas but are unable to put it to work in a practical world. They do not know how to turn that fabulous new business idea into reality.

new business ideaAccording to a report nearly five hundred and fifty thousand people wish to become entrepreneurs every month or who want to start their own business. There is no sure shot formula to start a successful business but there are steps that you can take in the planning stage itself which will increase your chances of being a successful one.

The first and foremost thing as soon as a new business idea strikes your mind is to determine “why” and the “who” of it. You may think that your idea is awesome and fabulous one but your business will not succeed if you are unable to answer ‘why’ it is a good solution and for whom it would be a good solution. We will focus on “why”.

To begin with, what problem your business idea solves? Does it solve only your problem or the problem of others? If nobody faces the problem that you are facing then ‘why’ will anybody buy your solution?

You will have to think deeply and carefully ‘why’ your business is needed in the first place, who will be the target customers of your business. Think about the demographics to whom you will sell your solutions to, how will you communicate with them and what is important to them. A business is not a business if you do not have a customer.

There will be business similar or somewhat similar to yours out there in the world, which proves that market does exist for what you will be doing. You have to think about your competitor and what exactly they are providing. And what you will do differently or better than what they are doing.

If you want to stand out from your competitors, you should know your unique selling point that sets you apart from them. Research about your competitors, their target audience, how much do they charge, and things like that. It is not necessary to do things from the beginning or scratch but see to it what these companies are lacking in and how you can improve upon in those areas.

After the study of competitors, you should divert your efforts to study your potential customers. Start talking to your potential customers regarding the services/product offered by you that they can use, how much they are ready to pay for it, and comparable product/services that they are using at present.

Another way is to get a survey done by asking people to fill out forms; this will help to know your customers even better. Do not worry about the negative feedback as it can help refine your idea.

Note down all the finer points in details. The offering (product or service you plan), the cost at which you will sell, the marketing model, etc. It will be better if you know the concept of your business inside out. Organize your thoughts in a systematic way and step by step through tools and software available on the internet.