How easy is it to start a new business? Well, according to data from U.S. Bureau of Labor Statistics (BLS), new businesses face a failure rate of 45% within the first five years. That means an almost 50:50 chance of survival in the real world, which let’s admit is a scary number for future owners. This number alone might have the potential to remove the thought of starting a new business from some people’s minds, no matter how qualified they are.
Despite the risks, your chances of survival are still high if you took the right road. However, one wrong turn and you’ll find yourself drained out of time, energy, and even funds. So here are 3 challenges you might face as a new business owner, and how to overcome them:
1. Starting From Scratch
Whether you had a good business idea or not, starting a new business will always require you to go through the process of reading, researching, observing, planning, testing, before you start implementing. Which is a long and frustrating process to even think about. If you don’t set a realistic target and look for small wins to achieve, you’ll be overwhelmed with how easily things can get out of hand.
Which always makes me ask the following question:
Why start from scratch?
Seriously, if your idea doesn’t have a high-value advantage that can give you a boost start in your area against other competitors, then why bother? Why go through all that process for a 50:50 chance of survival?
Unless you want to go through the process of training new employees, hire someone with experience. Unless you want to create a new unique application, invest in an existing one. Unless you want to build a new competing business from scratch, buy a franchised business. This is how it’s done in the business world.
2. Tough Market
Doing your market research is time consuming, yet it’s completely worth it if it was done the right way. However, if you just missed one tiny bit of your research, you’ll find yourself facing setbacks and more challenges that you prepared yourself for.
Although this might sound like a small issue, data from CB Insights say otherwise:
Around 42% of new businesses fail due to no market need, while 19% got outcompeted.
This indicates one important thing: It’s a jungle outside. Business can be a battle for survival. Eat or be eaten. If you’re not moving in the right direction, then others will throw you out of business. But here’s a glimpse at the bright side:
You can purchase a proven formula.
Three words: Franchising done right. You can start your own business without going through the long process of marketing your new brand, getting people to accept it, then begging them to visit it with huge marketing campaigns that might empty your pockets.
Buy a known brand instead and get things moving quickly. People hype when they learn that a known brand is opening near them. Why go through all the hard processes when you can skip them? Enter your market with a proven formula, a head start. Franchises are the way to go.
3. Doing it Alone
As an owner, starting a business begins with an idea, but then expands to hundreds of studies to complete, hundreds of tasks to handle, and hundreds of roles to play. A time when new business owners will think they reached the bottleneck of starting their new business, and sometimes without even getting anything running yet. All they need is someone to push them forward and get things back on the right track.
Well, here’s what some people often miss:
You don’t have to do it alone.
Imagine learning to drive for the first time and you have an instructor by your side, showing you the right way to start, sharing their experience with you, and telling you what to look for on the road. How good would your first ride be? Pretty good, right?
The same thing happens in business. With a franchise consultant by your side, giving you the ins and outs of the market, you get their years of experience on a platter of gold serving one purpose only: your own new business.
Franchised businesses allow you to skip starting from scratch, provide you with a proven formula designed to address your market, and with an expert on your side you get to avoid frustrations and level up your work from the very start of your business!
So, let’s get you on the right track today. What do you say?
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Reach out! Don’t stay put. Get someone to watch your back from day one and don’t worry about the cost. Franchisors are the ones paying for the consultant, meaning it’s FREE to you!
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