The Crippling Fears of Entrepreneurship: Reasons Why People Don’t Start a Business
by Carrie Hinkel on January 24th, 2008
Most Americans, at one time or another, have dreamed about quitting their job and starting their own business. But why don’t more people turn their entrepreneurial dreams to reality? For many, it’s their own fears that are holding them back. Here’s a list of some of the most common reasons why people are afraid to start a business – as well as some tips for conquering those fears.
Fear of failure – This is, by far, the number one fear that keeps people from starting their own business. No one likes feeling like a failure and even just the thought of a collapsing business (and what their friends and family might think) keeps many from even giving entrepreneurship a shot. It’s important to realize that many successful business owners failed at their beginning business attempts. And, it’s also important to remember that those failures didn’t stop them from starting another business. They learned something from the process and then tried again. But, there’s plenty that a new entrepreneur can do to avoid failure all together:
1) Research your ideas, target market, competition, pricing, etc.
2) Force yourself to put together a detailed, in-depth business plan .
3) Try to get as many honest opinions about your business idea as possible. You can prepare a Non-Disclosure Agreement if your idea is proprietary.
Not enough money – True, there are some businesses that take a hefty down payment to get off the ground, but there are plenty of others that don’t. First, don’t assume that your business idea is financially out of your reach. Do the research (ideally, you should prepare a business plan) to find out the exact dollar amount you will need start your business. You may find that you’ll need less money than you assumed, or that some of your costs aren’t needed for the actual start-up. Once you have the amount of start-up cash you’ll need, you can then figure out how much you are able to contribute on your own and how much you’ll need a loan for. There are plenty of options for obtaining a small business loan: bank, Small Business Association (SBA), private investors, family and friends.
Don’t want to be overstressed/overworked – Some people think that all entrepreneurs are working eighty-hour weeks and are always stressing about money and sales. While that may be the case for some, it’s certainly not the case for most. There are plenty of other entrepreneurs who work just a few hours in the morning and then are off doing their own thing. The way you decide to run your business is up to you – that’s what "being your own boss" is all about!
Fear of loneliness – While working for yourself may not mean an office full of people to chat with at the water cooler, it certainly doesn’t mean you’re doomed to live the life of a hermit. You can become active with your local Chamber of Commerce and network with other local business people, attend seminars and participate in business luncheons. There are also plenty of online communities that cater to small business owners and home-based businesses. These are great resources to turn to for business-related questions about your new start-up.
Don’t have the skills – Sometimes entrepreneurs are seen as being a special breed of business person who’s part creative, part risk-taker, part all-knowing genius. Well, in reality, anyone can be an entrepreneur. All it takes is an idea and the drive to turn it into a business. You don’t need to be anything but motivated. You can always hire someone to be the engineer, computer technician or marketing guru.
Fear of procrastination – With your own business you’ll have complete freedom of your workday, but that doesn’t mean you’ll automatically end up on the couch watching soaps with a boxful of bon bons. If you believe in your business idea and are excited about your business idea, then your drive for success is what will keep you working.
So, if you’ve been thinking about starting your own business venture, why wait? Conquer your fears by first understanding them and then realizing that, yes, you can overcome them. Remember, all you need to be an entrepreneur is an idea and some motivation. If you are driven enough, you can make the rest happen all on your own!