If you are a DIY lover, you may be thinking about starting your own business and turning your hobby into a source of income. Maybe you already have a business idea and know what products you can offer and how you will market them. But the crucial question to ask yourself is: "Do I have what it takes to build a business?". We can help you to answer the question by determining if you have the skills and qualities needed.
Prerequisites as an Entrepreneur
For your business plan to succeed long-term you need business acumen. That means:
- Setting goals
- Making clear decisions
- Being able to predict the consequences
- Planning strategically
- Reacting to market changes
- Solving problems
- Taking risks
- Taking responsibility
Are you prepared to take on all these tasks? Do you have business acumen? If the idea of running your own business is appealing to you then you will likely answer all of the above in the affirmative. But you need to be aware of exactly what is involved.
Are you up to the physical demands of self-employment?
Being self-employed means doing most of the work yourself and working all the time. Especially in the first few years you will be doing much more than the average 40-hour week, working evenings, weekends and over the holidays with no proper break.
Can you take criticism and not let it get you down?
Criticism needs to be seen as an opportunity to improve and not a reason to give up. Success often doesn’t come right away which is why patience is an important quality to have as a business owner.
Do you know your personal limits and your performance capability?
As an entrepreneur you need to invest a lot of time and effort whilst still striking a good work/life balance.
Professional requirements as an entrepreneur
You need to ask yourself whether you have professional skills in any particular field that will help you build and run a business.
What are your business and sales skills?
It's all about good communication skills, an affinity for numbers, a willingness to learn, and organisational skills.
Will your previous work experience help with your venture?
If you have any experience in a related field then you will benefit from already knowing the pitfalls in that particular area and help you avoid them.
Are you familiar with marketing and sales?
No matter how good your product is, it is not likely to be a success without marketing. Developing a proper marketing strategy is crucial for the success of your business.
Financial Challenges as an Entrepreneur
There are some initial costs involved in setting up a business, so it is not a bad idea to have some savings. Ideally, you should have enough put aside to pay your living expenses for the first few months. You will also need a back-up plan in case you miscalculate the costs and need more money than expected to keep the business going.
Take a test to find out if you have what it takes to build and run your own business: A quick search online will give you plenty of options.