Wake Up and Smell the Coffee: The Hard Truths of Starting a Business
Are We Living in Rose-Tinted Glasses When It Comes to Business?
As a passionate 27-year-old navigating the business world, I've seen many fall victim to the "overnight success" attitude. The notion that everything will turn to gold and that success is instantaneous is perpetuated by social media, where people seem to achieve everything overnight. However, these success stories are the exception, not the rule. For most, the journey is tough, overworking, unglamorous, and filled with moments of doubt.
Sobering Statistics About Business Failure
- 20.8% of private sector businesses opened in 2021 failed within a year.
- 40% of businesses established in 2002 failed within the first three years.
- 49.9% of businesses established in 2002 failed within five years.
- 65.8% of businesses established in 2002 failed within ten years.
- By year 15, more than 73% of businesses established in 2002 had failed.
- Nearly 80% of businesses established in 2002 failed before their 20th anniversary.
You might think, "Wow, Louise, glass half empty much?" But understanding these statistics can help you plan and reduce the pressure. Your first year doesn't have to be perfect—and it probably won't be—but you need to do better than the 20.8% that will fail in year one to stick around for another year. Implementing effective strategies early in your planning can help you achieve this.
The Reality Check: It's Not Easy
If it were easy, everyone would do it. What's often missing from glossy success stories is how truly hard it is. You don't just start an Instagram page and a website and suddenly have a successful business. These tools are merely one piece of a very large operation.
Starting a business involves a lot more than just having a great idea. It requires:
Market Research: Understanding your audience, your competition, and the market demand.
Planning and Strategy: Outlining your business model, setting realistic goals, and devising strategies to achieve them.
Networking: Building relationships with potential clients, partners, and other entrepreneurs.
Continuous Learning: Staying updated with industry trends, learning new skills, and adapting to changes.
The Hard Work Behind the Scenes
I've seen the insides of businesses—startups, those with 15+ years, and those with 8 years of experience. None have had smooth sailing. They’ve all faced challenges like financial struggles, bad hires, clients not paying, COVID-19 disruptions, and failed expansions. These experiences are far more common than the overnight success stories we often hear about.
Starting a new business, whether as a self-employed hairdresser, podcaster, or app developer, it’s easy to place the blame on others: "My friends didn't rally around me and like my Instagram page." Even if they had, would that have truly gotten the ball rolling? Are those likes converting to sales? The reality is that YOU have to go after business and customers. YOU have to put yourself out there and hustle every single day.
You can have an amazing product, a stellar team, and all the right resources, but you will always face challenges. The true naivety comes from thinking you won't.
Embrace the Journey
The entrepreneurial journey is not a sprint; it's a marathon. There will be ups and downs, and times when you question why you started in the first place. But remember, every setback is a learning opportunity.
We can learn far more from mistakes, and I wish more businesses and people would be open about the downs as well as the ups. This way, if the worst happens and you do fail, you won’t see it through the lens of "everyone else is successful, why aren't I?"
Celebrate small wins, stay resilient, and keep pushing forward. Surround yourself with a supportive community, seek mentorship, and don't be afraid to ask for help. Success doesn't happen overnight, but with perseverance and dedication, you can turn your dream into reality.
So, let's take off those rose-tinted glasses and embrace the real, sometimes messy, but ultimately rewarding world of entrepreneurship. After all, the best views come after the hardest climbs. 🌟
