Should I start a business?
If you’re asking yourself this question, you’re not alone. Over 31 percent of Americans are looking to venture into entrepreneurship.
But why exactly do you want to start a business? Is it because you have a passion for entrepreneurship? Is it to break away from the 9 to 5 grind? Or is it because everyone around you seems to be doing it?
Heck, do you even need a reason to start a business? Well, starting a business without a reason is a sure way to fail.
Here are six solid reasons to become an entrepreneur.
1. You Have a Viable Idea
Did you know 30 percent of new businesses fail within two years?
One of the reasons behind the high failure rate is offering a product or service that doesn’t meet any market need. This is why you should only become an entrepreneur after ensuring you have a viable business idea.
The challenge is how do you test the viability of your idea?
Toss it your friends and relatives. Their feedback should help you evaluate whether the idea is worthwhile.
Another option is to go online and research. Are the companies offering a similar solution? How many people are facing the problem you’re looking to solve?
Ultimately, a viable business idea must have a sizeable potential target market, and there shouldn’t be a lot of competition in the market.
2. Financing Is No Longer a Major Impediment
Many aspiring entrepreneurs say lack of capital prevents them from starting a business. This alone is enough to discourage you, but we’re here to tell you it’s not all doom and gloom.
As long as you have a viable business idea and know where to look for funding, capital should be least your worries.
For instance, going in for a business loan should be one of your top financing options, and for good reason.
First, banks are no longer the only providers of business loans. Microlenders are fast establishing themselves as the go-to lenders for small business owners.
If credit financing isn’t right for you, look into any of the following options:
- Loans from friends and family
- Venture capital investment
- Equity investors
- Angel investors
- Government grants
Depending on your specific circumstances, you could apply for a term loan or a small business line of credit. Be sure to get help with deciding between these two credit facilities lest you make a costly mistake.
3. Live the American Dream
The American dream is alive and well, and we all want to achieve it.
The bad news is it seems out of reach for most people. In fact, only 20 percent of Americans say they’re living the American dream.
While everyone seems to have their own strategy for achieving the American dream, we can all agree entrepreneurship is one of the key pathways, and it’s easy to see why.
Starting your own business increases your earning potential. If everything works out, you’ll earn the money you need to afford some of the elements that are associated with the American dream, such as homeownership.
4. Create Jobs
In September 2018, the American unemployment rate hit 3.7 percent, a 50-year low.
However, this figure doesn’t really paint an easily digestible picture of the American labor market. There’re still millions of employable Americans without a job. Even many of those with a job aren’t satisfied with their working conditions.
If you’re passionate about our economy and what to make a difference, start a business. As it grows, you’ll need more hands to help you. This is how job creation works.
And if you think your business will be too small to create any tangible difference, think about this. Since the Great Recession, small businesses are responsible for 62 percent of all private-sector jobs.
You don’t have to create hundreds of jobs every year. It’s the few positions created by several businesses that add up to create an economic impact.
5. Be Your Own Boss
Uh, the 9 to 5 cycle! Do you feel like it has robbed you of your life?
Do you wish to wake up at your own pleasure and stroll into your office without caring about your whether your outfit conforms to a certain code?
Well, there is only one way to achieve your wish, become an entrepreneur.
Starting your own business gives you the freedom to do things as you wish. You can work from home, take a vacation whenever you want to, and set your own workplace policies.
Be warned though. You’ll only enjoy these luxuries after your startup has morphed into a successful business. In the early days, you’ll have to put in the hours or risk running your business to the ground.
6. Change the World
When Larry Page and Sergey Brin started Google, they had no idea they were creating a service that would change how the world accesses information. Such is the story of Elon Musk, Jeff Bezos, and several other entrepreneurs whose companies continue to shape the world.
There’s no reason you can’t join these people.
All it takes is a desire to make the world a better place. Whatever business idea you have, don’t shelf it because you’re not sure it’s great. It could well be what changes today’s world for the better.
Should I Start a Business? Yeah!
Entrepreneurship is the cornerstone of the American economy. It’s the heart of the American Dream.
Whether you’re a student or an employee, boomer or millennial, every time you ask yourself “should I start a business,” the answer should be a resounding yes. And why not when we have given you six inspiring reasons to become an entrepreneur?
Explore our business and finance section for more insights and keep the entrepreneurship spirit burning!