The Biggest Obstacles To Starting Your Own Business

Posted by Autumn Shultz on July 26th, 2018

Starting your own business can be challenging, especially if you aren’t an experienced entrepreneur. Although entrepreneurs of all experience levels have to deal with recurring issues like establishing a brand, contending with competitors, and keeping the business profitable, there are some unique challenges that only new entrepreneurs must face. Here are some of the hurdles you can expect to encounter as you get started as a business owner.

Job trade-off

Adding anything to your schedule requires a time trade-off, but starting a business is one of the most challenging trade-offs of all. This is because it’s nearly impossible to build a successful business while managing another career.

To get your business past its infancy, you will likely need to quit your job and go all-in on the endeavor. Walking away from a steady paying job in favor of the unknown can be terrifying, and it’s a puzzle every new business owner will have to crack for themselves before they can see any success. Whether that means going all-in now or later is up to you. Just think through the consequences logically and listen to your instincts.

Finances

78% of full-time workers live paycheck to paycheck. That doesn’t leave a lot of financial wiggle room for starting a new business. And with at least 71% of American workers now in some form of debt, most new entrepreneurs likely don’t have much in the way of disposable income.

Luckily, there are ways to manage your debt and overcome the lack of disposable income. These include student debt relief options like the Public Service Loan Forgiveness plan and the Pay As You Earn repayment plan, as well as financing options like crowdfunding and networking to find investors or business partners.

This hurdle is especially difficult if you’ve never started a business before, as you likely won’t have the investment contacts and client connections a more experienced business person will have made in previous endeavors.

Isolation

If you’ve never held a management position before, starting a business and hiring employees can feel like a shock. The dynamic of boss and employee often forces distance between the owner and those who work for them. There is also the aspect of family, as spending more time on your company’s growth will likely mean you won’t see them as often. Simply put, the life of an entrepreneur is often lonely. Not taking steps to prevent this as you build your business can mean experiencing more health problems down the road.

Rule-Making

Similar to the isolation of entrepreneurship is the act of actually being in charge. That distance between employer and employee is only augmented by the rules and regulations you’re required to create and enforce as the business owner. Addressing these details isn’t fun, but doing so is a necessary component of any successful business. Entrepreneurs with little experience building a company from the ground up can have a difficult time determining how and when these details need to be established.

Fatigue

The guarantee of regular income isn’t the only major trade-off you make when starting your own business. Time is also a major trade-off. When you work for another company, you have set hours, a set payday, and guaranteed vacation and sick leave. When you’re the business owner, none of that is guaranteed unless you make it a priority. To prevent burnout, it’s important to set a schedule and stick to it. Doing so can help you maintain the work-life balance that’s so critical to preserving your relationships, keeping you energized, and preserving the excitement you have for your new business.

The Takeaway

Jumping into a new career as a business owner can be a terrifying, stressful experience; however, it can also be rewarding. No two entrepreneurs have the same startup experience, but these obstacles are some of the most common issues that are run into. Hopefully you’ve learned a bit about what to expect as your start your company and are better prepared.