Do you have a dream? Or some ideas? Or one really good idea? Building a business is a long process, and not for the faint of heart. According to the US Small Business Administration in 2021 there were 32.5 MILLION small businesses in this country. You could be one of them.

In North Carolina, as of 2020 data, we had over 934,000 small businesses, employing 1.7 million people. That’s a lot of jobs and economic impact. Many people say that small businesses are the life blood of our economy. They aren’t wrong.

So what will you face if you decide to really make a go of it? I’ll outline obstacles first, and if you are still game, read on to advantages.

  1. You’ll have to manage your finances carefully. Most businesses don’t start with unlimited funding, and almost no one gets infinite patience when you do have investors. If you aren’t good at finances, too bad. If you don’t get reasonably good at keeping track of your money, I promise someone will come along and “help themselves” to you hard earned cash.
  2. Volume : You’ll have lots of struggles. Many of these are in your head, and part of any new business owner’s anxiety. But some are quite real and you get to tame those dragons like everyone else, one at a time. Struggles will include poor cash flow, bad decisions, failed supply chain issues, stress with employees (if you can find good ones) who don’t show up or have personal issues. The details vary, but the essence is the same. Starting a business is hard work and the sheer number of challenges is a challenge in itself.
  3. You will be on a learning curve for a while. Sometimes it’s lonely, sometimes you have support, and sometimes it’s both. Know how you learn best, and be prepared to get all skills you will need.
  4. Unknown Unknowns : You won’t always know, up front, what your business will need! You won’t know what skills you need to acquire, how much of stuff to order, how to frame your service, how to reach customers and a million other things. See learning curve above. There’s a LOT of trial and error, from ordering, to pricing, to finding good people. It may take a long time to even know if your business is successful. New challenges will come up (COVID anyone?). Be ready for the uncertainty and ambiguity.
  5. Decisions and structure: There is leg work, “paperwork” and digital demands. From filing with the Secretary of State, to building a business plan, shopping insurance and getting organized both in office and online. You will run around making sure you get all the pieces in place for a while. Decision overload is real, and tho it gets easier (some decisions, like your bank account location and structure are only made once, hopefully) the load doesn’t stop.
  6. Socialize: You’ll need to interact with people in some form or another, even when you don’t feel like it. If you are slightly or very introverted, know that no business is an island. You are selling goods and/or services to someone. They will give you money in exchange for your effort, but often, knowing YOU is the special sauce. In some industries you’ll connect digitally but being able to deal with issues, and humanity, is part of the landscape.
  7. Time: There will be days you will desperately want to do X when Y is the emergency/priority and must be done first. In other words, your time is not necessarily your own. You may have more freedom, but fewer choices.
  8. Mental: You will doubt yourself and want to quit. Others will doubt you and customers will have problems. Sometimes you will miss your old job. Or colleagues, even the annoying ones.
  9. Report to : Every customer, especially early on, is your boss. With hard work, a lot of luck, and good timing, eventually you may need or want to turn away some customers. But it can take years or decades to get there. And some businesses never do. You’ll get good at boundaries or you’ll be miserable.
  10. You work with yourself. Sure, you get to bring your assets to the table, but you will also lug along whatever liabilities, or weaknesses you have. Some won’t matter, others will. Some will doom the business if you don’t deal with them. Like a bad temper. Lack of patience, etc.

It may sound bleak but truly, it’s just a reality check. Know what you are getting into, and then work on your great idea. One without the other is doomed. But having both, you got game.

Next week I’ll write about what is great about being in business for yourself. Until then:

“It is not the mountain we conquer, but ourselves.” Sir Edmund Hillary

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