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Business: Expectation vs. reality

Introduction : Everyone wants to engage in business. Doing business, in whatever form it takes and no matter how little, can be exciting and rewarding; and can also be challenging. Most people who started their businesses are generally looking for freedom. Not just financial freedom, but the freedom to free up your schedule as you please and have more time for your family or social life—the freedom to act promptly on your decisions. What you truly desire is to be your Boss and be independent. But unfortunately, it’s not as simple as it appears.

In this post, I will talk about a few business-related misconceptions and what it’s like. The business expectations and the harsh reality, but do not be discouraged. So, let’s get started!

Expectations vs. reality #1

Expectation : I’ll be my own Boss and have all the time to myself.

Reality: You’re technically never going to be your own boss. You have a duty to your employees and customers when you decide to be independent; they are your “boss” now. These obligations require a lot of work on your interpersonal skills and emotional intelligence; you don’t get to ignore everything because it’s after working hours. You are at liberty to work anytime you want, but you will quickly find that if you’re not working extra hours, day in and day out, mostly at the beginning, you are setting yourself up for failure.

Expectations vs. reality #2

Expectation: I will have my own schedule

Reality: People assume that business owners have a lot of free time to relax and pursue hobbies. The truth is that starting your venture will not give you this freedom, at least not at the start and possibly not forever. Only if you’ve developed a successful and sustainable business or if you’re superhuman and can juggle everything simultaneously can you imagine this kind of independence. This sobering realization can make or break a new business owner. Unlike the 9 to 5 people who have the option to clock in and clock out, you will typically work harder as all the responsibility is on you to keep the business going and avoid any hiccup. You can’t afford to be lazy.

Business owners risk burning out while juggling sales, marketing, business strategy, planning, networking, research, and other related activities, which leaves them with little to no time for personal affairs. And this is why the most successful business owners must master some time management routines to stay ahead of their tasks and attain their goals.

Expectations vs. reality #3

Expectation: Once I determine the right products to sell, the customers I want to sell them to, and the right pricing for my offering, the customers will come, and my business will begin to grow.

Reality: It will shock you to know that not every business that seems to have everything figured out will succeed. There are always several other pieces that need to be put in place before you can have a successful business. There is a need to prepare for uncertainties in doing business. This preparation ensures that even if many pieces fall out of place, there is still a good chance the business will survive. An index measures how easy it is to do business in a particular country and can provide insight into how to tackle the different aspects affecting doing business.

Expectations vs. reality #4

Expectation: My Idea is going to take the world by storm.

Reality: The reality is that you will find many ideas like your own. Finding many ideas like your own lends credence to the validity of your idea and should not be the reason why the idea should be discarded.

Expectations vs. reality #5

Expectation: I can go on my own.

Reality: The truth is that every entrepreneur has this need to do many things independently. But there has to be a little delegation here and there in the course of things to allow you to play to your strength and become exceptionally productive.

Expectations vs. reality #6

Expectation: My business will boom once I put everything in place

Reality: You must be ready to operate at break-even or perhaps even a loss. I cannot say for how long, which may be the harshest reality. Many factors contribute to this, and it can go on for years in some industries. Outsourcing, flexible wholesale agreements, buying on credit from suppliers, and, in extreme cases, downsizing are all options for reducing the pressure on your cash flow. However, let’s hope that doesn’t happen anytime soon.

Expectations vs. reality #7

Expectation: Get rich quick by making more profit.

Reality: Many startups assume they can get rich quickly. But in reality, it can take at least three years for your startup to become profitable. This is true even for the most successful businesses. For instance, the famous electric sports car brand Tesla took a decade to see actual profits. Businesses making new products take more time to become profitable than home-based online businesses since it costs more to manufacture, transport, and sell products. However, you can start an online business with little to no money.

Expectations vs. reality #8

Expectation: It’ll be easy to get a business loan or investors.

Reality: Many business owners think it’ll be easy to get a business loan or investors. The reality, however, is that most entrepreneurs and small business owners don’t get angel or venture capital investors. Over 60% of small businesses struggle with cash flow issues as investors are unwilling to risk capital on most small business ideas. You should be aware of the many business financing options available if you need business funding. For instance, you can bootstrap, leverage small business loans or business lines of credit, apply for business grants, use credit cards, crowdfunding, form joint partnerships, or look into other funding possibilities available for startups and small businesses.

Reconciling Expectations and Reality

How do you ensure that those pieces on your drawing board don’t fall off when you begin implementation? There is a term called the “factor of safety in Engineering.” It is built into any equipment, machine, or product to ensure that a particular machine or product can withstand situations beyond its design.

The simple provision helps to ensure that in the use of that product, there never comes a time when expectation supersedes reality and the product is found wanting. It has always been the case when running a business. The processes that form the backbone of businesses have to be strong enough to withstand any unfavorable policy, uncertainties, and changes in predetermined variables such as capital and working hours.

Final thought

While entrepreneurship is not for everyone, it is not all doom and gloom. It is important to be self-aware enough to know that you can withstand these harsh realities and achieve personal success. It all comes down to having the ability to get through the difficult years first. If you think you have what it takes to weather the storms and hurricanes of entrepreneurship, then go for it!

loyaldetermined

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