So, you want to become a business owner? Or maybe you’re already a business owner.
Becoming your own boss is one of the many facets of the American dream. As we all know, the success rate of any new business is very low, with 20% failing in their first year. With that number increasing to 50% after 5 years and after 10 years only 1 out of 3 businesses will stand the test of time.
I began my entrepreneurial journey back in 2017 and 4 years later, I’ve still managed to steer clear of corporate America. Have I interviewed for jobs to go back to the corporate grind? Yes. Have I drained my savings? Not all the way. Have I wanted to quit? Of course.
These are the thoughts that go on when you’re in the thick of a fight or flight circumstance. Nobody cares whether you succeed or not. It’s up to you and you alone to make shit happen. Although this journey is extremely rewarding, it’s a mental test that separates the persistent from the people who relinquish and throw in the towel.
Now, I’m not where I want to be. At this point in time, I’m not considered a person of interest. But, I have noticed a few different areas that can separate you from becoming a statistic of the businesses that fail. OR become one of the few exceptions that make it into the big leagues!
1. Naming Your Company.
Many new businesses use their surname and slap it on their company letterhead. Simple, it can work, but you’re not going to be creating a global brand. Think of Microsoft, Apple, Nike, the major players all have chosen company’s names that have meaning behind them. Yes, there are exceptions such as Johnson & Johnson, Proctor & Gamble, but in this day in age, you need to have something that sets you apart from your counterparts.
2. E-Mail Address is Complicated.
One of my biggest pet peeves is when an e-mail address is complicated. There is nothing worse than having someone having to repeat themselves 3-4 times in order for you to correctly spell something that needs to be simple to spell. It may not seem like a big deal to you.
To the average person, a wrong e-mail address can be the difference between closing business and having deals slip through the cracks. Plus, this is a preventable mistake, and many owners overlook the fact that their e-mail address is complicated.
3. No Compelling Story.
A new business doesn’t have any clout and without it you need a compelling story in order to drive business. One of the most common questions you will receive is,
“What made you decide to name your business XYZ Company?”
“Why did you start your business?”
When you’re just starting out it’s imperative to have a story that will captivate your potential customers. Without one, you’re just going to look like everyone else and in a world with lots of choices, that’s a recipe for disaster.
4. Not Using Social Media.
Building a brand is difficult. So, it’s super important to start using your personal brand as the best way to let the world know what you’re up to in the business world. Start posting videos, pictures, educational content, whatever it takes! Just start making it a habit, but don’t fall into the trap of selling your services with every post.
5. Underpricing Their Services.
I’ve made this mistake at the beginning of my entrepreneurial journey. When you’re starting out valuing how much your services need to be can be difficult especially if you’re not selling a product. Placing a dollar amount on how much to charge hourly or for something that you find easy is hard. Yet, just because it’s easy for you, doesn’t mean it’s easy for your customers.
Joshua Krafchick, “Unconventional Money Guy”
Additional Reading about Business:
1. How to Choose Your Ideal Customer.