4 Decisions All Entrepreneurs Will Face
BY: MEGAN TOTKA ON FRIDAY, AUGUST 25, 2017
There is a multitude of positives associated with being an entrepreneur, but one of the downsides of this role is making difficult decisions. Opportunities usually come hidden as decisions, so this is something all entrepreneurs have to learn to experience if they want to see business growth.
Throughout the life of your small business you’ll be presented with countless decisions, most which will have a small impact on your business. However, some may have an huge impact. Take a look at these four decisions every entrepreneur will face at some point during the life of their business.
If you should turn an idea into a reality.
The first decision you will ever make is whether or not to launch your business initially. Starting your small businesses might involve giving up a full-time, dependable income or it might require putting in a lot of hours as you strive to follow your dream. Accompanying the launch of your business will mean making many decisions, from learning about small business loan options so you can decide which is best for you to scaling back at work so you can spend more time starting your business the right way. Remember that it’s not just about a good idea, but also about taking that idea and running with it.
If you should expand your business or proceed as is.
It probably feels less risky and much more manageable to keep your business small, as it allows you to continue to oversee the majority of the day-to-day operations. Yet it’s likely the desire to expand is strong. Whether it’s the appeal of a new venture or the potential to earn more profit, the decision to expand your business is one of the biggest decisions all entrepreneurs will face.
The decision is one to mull over; if you choose to expand and hire more employees and increase your product selection, make sure you grow wisely. You’ll need to make sure you have the appropriate processes in place to effectively manage growth and ensure you don’t sacrifice your offerings. As a small business, you have to rely on high quality products so your customers don’t lose interest.
Whether to throw in the towel.
Starting a business is a lot of hard work, to say the least. All of the long hours you spend pouring your heart and soul into your venture won’t pay off until months or years in the future. Thoughts of quitting cross every entrepreneur’s mind, sometimes due to the financial constraints that accompany launching a business or a lack of motivation due to poor sales.
Remember that you started a business to find success, so make sure you stay persistent. Don’t give up on a whim. While there may be times that quitting is the only choice, there are often times that, if you are able to summon up the courage to stay strong and persevere, you’ll find success is nearby. Remember that one-half of businesses will survive their fifth year in business, according to the Labor Statistics’ Business Employment Dynamics.
How to price your products or services.
Choosing your “sweet spot” when it comes to pricing your products and services is a major decision that all small business owners are faced with during their years of business ownership. The way you price your products and/or services communicate the perceived value of what you offer and position you against competitors.
As you choose your pricing, there are some factors to consider. You need to make sure you have a solid understating of what your target market will pay. You also need to understand what you should charge and take into consideration the costs related to producing your product.
Entrepreneurs are faced with making tough decisions throughout the life of a small business as it changes and grows. Every decision comes with some risk attached, but remember that smart decision-making and taking educated risks are ways to see your business grow.
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