Why Do People Start Businesses? It’s Not What You Think

Deal with your business finances image 111222What’s the first thing that comes into your mind when thinking about starting your own business? If you haven’t done this already, then you probably think about independence, both financially and regarding your work schedule, and the possibility to reach a higher level of wealth.

It’s not always pleasant to have a boss, this is why some choose to be their own bosses. Or their current jobs are not offering the degree of satisfaction they would like to enjoy. So, it may be pretty clear that people choose to have their own business in order to be more independent and earn more. But, in reality, the reasons can be quite diverse.

The reason people jump into creating their own company depends on their niche, their geographical location, type of company, and more. It is wrong to assume that every business owner out there is looking just for freedom. As you are about to find out, there are a number of different factors motivating people to open their own business.

Taking a closer look at the type of company a business is can tell you a lot about its owner. For example, businesses that record rapid growths are, obviously, an engine for gaining wealth fast. So, those choosing to start this kind of company are looking to make a profit as fast as possible. High-growing businesses can be found in several industries, so a bit of research can get you where you want.

Other Reasons People Start Businesses

Other reasons for starting a business include the desire to turn a business idea into something palpable, to enjoy the work culture surrounding start-up companies, the wish to be the owner of a business, and not working for someone else.

Believe it or not, the desire to find freedom didn’t rank that highly on the list of reasons people start businesses. So, people see freedom as a bonus in this case and not necessarily a drive. Most of the people that currently have a small business made this decision in order to make enough money to cover their daily expenses.

Sometimes it could be just something that you stumble on. In other words, if a business can help someone enjoy a good lifestyle, then it is worth the effort. A good number of respondents said that owning a business gives them the chance to control their future. It seems that owning a business is seen as more secure for the future than having a regular job.

Independence, in the case of business owners, depends on the country and culture where the business is created. Thus, in the US, for example, where independence is highly valued, it is indeed one of the main reasons people start a business.

In terms of motivation, most US citizens state that working for themselves is a very good reason to consider having their own company. However, things are different in Brazil. In this country, being able to create jobs and contribute to local communities is more important than earning financial independence.

In other parts of the world, like China, people start businesses out of the desire to create something that can be passed on from one generation to another. So, securing the future of children and family work best as motivators in this country. As far as we can see, only Americans see independence as the a big factor of becoming a business owner.

The Risks Involved (What You Should Know)

However, there’s more to this than the previously mentioned factors. There are other details that influence entrepreneurs to start a business. As you may know, starting a business is not easy and, above all, success is not guaranteed.

There are quite a few obstacles to overcome on your way to starting and successfully running a business, some of them completely unforeseen. There’s always a small risk that things could go wrong. But if you believe that the odds are in your favor then it’s worth the chance.

Being self-effective and having the ability to tolerate risks are two attributes that make the difference between successful business owners and those that quit. Whenever you start a business, there’s a set of risks you need to be aware of. Even if these risks don’t manifest, they are out there and you need to be prepared to face them.

For many people, the feeling of doing something is good enough to be used as a drive for starting a business. It is quite uplifting to know you managed to do something that benefits others and, at the same time, you.

So, being financially independent is not the only goal of business owners. Securing financial stability for the future, leaving a legacy to children, achieving something worthy of your time, and enjoying a decent lifestyle are reasons good enough for entrepreneurs to give it a chance. What is your motivation to start a business? Or, if you haven’t done it yet, what keeps you from starting a business?

The Real Struggle Starting Any Business

The truth is that this process can turn into a struggle many can’t take. You can reach rock bottom or feel like there are no solutions to your problems when wanting to start a business and live your dream. But having the ability to move on and find resources will help you power through.

Starting and running a small business can be a scary thing, this is why many small-business owners are true survivors. They wear most of the hats within the company and strive to make it through the day in the best way possible.

Also, these owners can be passionate individuals with a large amount of creativity. In many cases, you don’t have to be an experienced entrepreneur or a genius to run a business.

You just need to be able to think outside the box and look for solutions in places no one thought about. Doing things differently is, nowadays, a quality more than a sign of rebellion.